Micron has announced the halt of future mobile NAND Flash development, shifting focus to higher-margin areas like SSDs and HBM. This move addresses market competition and sluggish demand, reallocating resources to more profitable sectors, enhancing competitiveness.

Key Highlights

• Micron has announced the cessation of future mobile NAND Flash development due to weak market demand and slow growth.
• This includes halting UFS 5.0 plans, while maintaining current product supply; other NAND Flash product lines remain unaffected.
• Micron's conservative capacity planning helps concentrate resources on high-profit areas, boosting competitiveness.
• Decision factors include:
  • Intensified competition in the mobile market, especially in China, due to local brands and government policies.
  • Sluggish global smartphone shipments, reducing mobile NAND Flash margins.
  • Desire to allocate resources to high-margin areas like client/enterprise SSDs and high-bandwidth memory.
• Micron's FY3Q25 financial report shows an increase in NAND Flash revenue, but declining margins, with SSDs being the main growth driver.
• The company's strategy focuses on high-value applications, avoiding the overly competitive mobile NAND Flash market, aiming to strengthen its position in the AI and data center markets.

Table of Contents

1. Micron Announces Termination of Future Mobile NAND Flash Development, TrendForce Views It as an Inevitable Shift from Fierce Market Competition to High Profit Margins
   • Changes in Micron's NAND Flash Production Capacity
   • Micron's Memory Business OPM Comparison Between DRAM and NAND Flash
2. SSD Excels in Advantages and Became Centralized Point of NAND Flash Resources for Micron

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