Micron CEO says memory shortages will get worse in 2027

According to The Register, Micron Technology CEO Sanjay Mehrotra said memory demand will exceed supply in 2027 and 2028, with the industry tighter than in 2026, and customers likely paying much higher prices than this year. Micron plans $25 billion in capital expenditure in the first half of its new financial year to bring new factories online in 2028, but says it will take time before supply and demand stabilise. The surge in memory demand comes largely from AI data centres, and Nintendo has already raised Switch 2 prices globally while Sony and Microsoft raised prices for the PS5 and Xbox Series X|S.