this post was submitted on 25 Jun 2026
404 points (99.3% liked)

Technology

85745 readers
4363 users here now

This is a most excellent place for technology news and articles.


Our Rules


  1. Follow the lemmy.world rules.
  2. Only tech related news or articles.
  3. Be excellent to each other!
  4. Mod approved content bots can post up to 10 articles per day.
  5. Threads asking for personal tech support may be deleted.
  6. Politics threads may be removed.
  7. No memes allowed as posts, OK to post as comments.
  8. Only approved bots from the list below, this includes using AI responses and summaries. To ask if your bot can be added please contact a mod.
  9. Check for duplicates before posting, duplicates may be removed
  10. Accounts 7 days and younger will have their posts automatically removed.

Approved Bots


founded 3 years ago
MODERATORS
 

Memory-maker Micron has found a way to keep prices for its products sky-high for another five years, by signing 16 “strategic customer agreements” (SCAs) that include a floor price the company says comes with “a very robust gross margin for Micron, well above our peak quarterly margins in any past cycle.”

Micron CEO, president and chairman Sanjay Mehrotra explained the SCAs in prepared remarks delivered during the company’s Q3 earnings call. He explained that Micron has signed 16 SCAs, most of them covering 2026 to 2030, and that they involve a commitment to buy a certain quantity of product and pay for it in a pricing band that has a floor and a ceiling price. The floor price covers the historically high gross margins mentioned above, and the ceiling price means those who commit to an SCA are insulated if memory prices go even higher.

you are viewing a single comment's thread
view the rest of the comments
[–] MrSoup@lemmy.zip 1 points 9 hours ago* (last edited 9 hours ago) (1 children)

Yes but you don't simply sell to datacenters. Who build them must buy from you. But who the hell know you? That's the point.

[–] givesomefucks@lemmy.world 0 points 8 hours ago* (last edited 8 hours ago) (1 children)

Yes but you don’t simply sell to datacenters. Who build them must buy from you. But who the hell know you? That’s the point.

What?

Legitimately, what are you even trying to convey here?

Edit:

Do you mind sharing what country you're from?

Because it seems like everyone in here saying China will but anything over profits is people either from China or an instance that constantly defends China...

[–] MrSoup@lemmy.zip 1 points 7 hours ago (1 children)

Do you mind sharing what country you're from?

I would prefer not to dox myself, but I'm from Europe.

What I'm trying to say here is that more competition in a so oligopolistic market would helps bring prices down. I'm not licking China boots here, it could have been even the brits I don't care.

[–] givesomefucks@lemmy.world 1 points 7 hours ago (1 children)

What I’m trying to say here is that more competition in a so oligopolistic market would helps bring prices down.

No one is saying that's wrong.

I'm saying that those companies wouldn't stop making something with a $1k profit per unit to make something with a $100 profit per unit product.

Consumers will never be willing/able to pay the prices datacenters will pay.

For companies to start switching back to consumer ram. Either the AI bubble needs to burst so demand goes away, or consumers have to be desperate enough to see our prices keep skyrocketing.

They may even know the bubble will burst, at least understand that they won't keep being built at this rate. But it costs money to switch, there is zero reason to switch before that math changes, because it's a relatively quick and easy switch.

Like...

What aren't people understanding here?

[–] MrSoup@lemmy.zip 0 points 7 hours ago* (last edited 7 hours ago) (1 children)

Look, I'm no one. So here's someone:

Since they have no enterprice contractors they must still get known. The point is they can't just prentend to be bigs and sell to datacenters. They are still catching up. This results in trying to enter FIRSTLY the consumer market (which doesn't mean deadly low prices). After that of course datacenters will start buy from them, but from now (as far as I know) only Corsair started buying from them.

If you got more questions, please refer to internet.

[–] givesomefucks@lemmy.world 1 points 6 hours ago* (last edited 6 hours ago) (1 children)

I don't have questions, but you should read your own link...

See, unlike the major DRAM manufacturers, CXMT doesn't even possess the latest cutting-edge tools to produce memory for hyperscalers.

What's preventing them.from Data center contracts is they lack the scalability...

If they develop the scalability to make a dent in consumer RAM, they now have the ability to get datacenter contracts.

The only question is if they'll pay to build up that missing architecture, or if a data center contract will come with the build out costs included.

You're looking at an apple falling out of a tree and expecting it to blast straight thru to the other side of the planet.

You don't understand any of this, but weirdly think you're helping people...

[–] MrSoup@lemmy.zip 1 points 4 hours ago

Re-read my first comment