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Micron flags hit to its DRAM supply from Taiwan earthquake
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Micron flags hit to its DRAM supply from Taiwan earthquake
Apr 11, 2024 4:59 AM

April 11 (Reuters) - Memory chipmaker Micron Technology ( MU )

said on Thursday the April 3 earthquake in Taiwan would

hurt a calendar quarter of its dynamic random access memory

(DRAM) supply by up to a mid-single digit percentage.

The company is present in four locations in Taiwan, which

plays an outsized role in the global chip supply chain and the

earthquake had raised concerns of a potential disruption.

Micron said it was not yet at full DRAM production following

the earthquake, but added there would be no impact to its

long-term DRAM supply capability.

DRAM is used extensively in data centers, personal

computers, smartphones and other computing devices.

Investors have driven a rally in Micron's stock as demand

sky-rockets for its chips from the booming AI industry.

Micron said in February it had started mass production of

its high-bandwidth memory (HBM) chips for use in Nvidia's ( NVDA )

H200 graphics processing units used in AI applications.

The company's HBM chips, which are used in the development

of AI applications, were sold out for 2024 and a majority of

2025 supply had already been allocated, CEO Sanjay Mehrotra said

in March.

Micron has previously described HBM chips as a stacked DRAM

technology. The company did not specify whether its HBM supplies

will be hampered by the earthquake.

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