Driven by Generative AI, surging demand for high-end storage threatens capacity shortages. Consequently, Micron is expanding its Singapore fab and pivoting strategically: exiting the mobile market to focus resources on high-margin server and enterprise SSDs, aiming to capture long-term data center demand and expand market share.

Key Highlights

• AI-Driven Shortage: Widespread GenAI adoption is escalating storage performance requirements for inference and agents, leading to anticipated severe physical capacity constraints for NAND Flash.
• Singapore Expansion: To bridge supply gaps, Micron is expanding its Singapore fab with increased cleanroom space, ensuring long-term capacity to meet upgraded hardware specifications.
• Strategic Pivot: Micron is decisively exiting the lower-margin mobile market, shifting the vast majority of its capacity to server and enterprise SSDs to maximize profitability.
• Targeting Data Centers: This shift acknowledges slowing mobile growth while focusing on the limitless demand for high-performance storage in AI-driven data centers, aiming to solidify a key position in the computing arms race.

Table of Contents

1. AI Sets Off NAND Flash Shortages: Micron Invests US$24 Billion in Singapore Fab with Emphasis Fully Shifted to Servers
2. Fab Expansions Are Now Necessary as AI Inference Becomes New Driver for SSD Demand
3. Full Throttle towards Enterprise SSD after Forfeiting the Smartphone Market
   • New NAND Flash Fabs

<Total Pages: 4>