Wouldn't Micron benefit from an increase in DRAM prices?
Micron Technology has trashed analysts' claims that a malfunction forced the closure of one of its two fabs. According to market watcher TrendForce, Micron suspended the production line at one of its two plants from the start of this month – a move that could impact PCs, servers and mobile memory chips. “The malfunctioning of …
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Imagine that you were a major chip supplier in a highly competitive, highly cyclical market.
You are currently selling into a very profitable shortage. You've just worked out an issue in your process, and your yields have just jumped. Or perhaps you have caught wind that one of your competitors had just had a breakthrough that allows increased production.
In four months the additional supply will result in a price crash.
An exaggerated story, with a kernel of truth, falls into your lap. It was probably created by someone hoping to make a quick buck on their stockpile of memory chips.
As an ethical company, what statement can you make? As an unethical company, what statement do you make? How do they differ?
Don't the DRAM and HDD price hikes almost universally come from burning stuff down?
Wouldn't it be better just to say "We're cutting capacity to produce a shortage to force you to pay more"? Or is there an insurance scandal involved as well? After all, how likely is it that their insurance company has someone qualified to assess damages to a semiconductor manufacturing clean room on staff?
"Here, look in this microscope. Do you see that blue spec, they're everywhere now and we have to throw away all our obsolete equipment and replace it with the next generation stuff that we need for the next die reduction".
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