Micron Technology, a leading global producer of Dynamic Random Access Memory (DRAM), announced on December 4, 2025, that it will discontinue its Crucial-branded consumer memory business by the end of February 2026 to redirect resources toward high-bandwidth memory (HBM) critical for artificial intelligence applications. The decision, outlined by Micron's Executive Vice President Sumit Sadana, stems from surging demand in data centers driven by AI hardware needs, which has strained supply chains and inflated costs for conventional RAM used in personal computers and laptops.

Sadana described the move as a "difficult decision" necessitated by the need to prioritize "larger, strategic customers in faster-growing segments." Crucial, Micron's consumer arm, has long offered RAM, solid-state drives (SSDs), and SD cards tailored for everyday users, but the company will cease sales of these products to individuals after February. This shift allows Micron to focus on advanced HBM, which stacks DRAM chips vertically to enhance data processing speed and efficiency while reducing power consumption—key advantages for AI workloads handling massive datasets.

The pivot comes amid a broader industry trend where AI giants like Nvidia, Advanced Micro Devices, and Google are devouring HBM supplies. For instance, Nvidia's latest GB200 graphics processor requires 192GB of memory per unit, far exceeding the 8GB to 32GB typical in consumer devices. This disparity has contributed to a sharp rise in RAM prices over recent months, with Samsung—the world's largest memory chip maker—hiking contract prices for 32GB DDR5 modules by 60 percent to $239 in November from $149 in September. Micron's exit could further tighten consumer-grade DRAM availability, exacerbating the cost pressures on PC builders and end-users.

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Analysts warn that as long as the AI boom persists, relief in RAM pricing seems improbable, especially with massive procurement deals like OpenAI's "Stargate" project potentially requiring up to 900,000 HBM wafers monthly by 2029—double current global production. Micron joins Samsung and SK Hynix in reallocating capacity, underscoring how the AI gold rush is reshaping semiconductor priorities at the expense of traditional markets.

The announcement has implications for consumers, who may face higher upgrade costs for laptops and desktops, and for smaller electronics firms reliant on affordable memory. Micron, which reported robust quarterly earnings buoyed by HBM sales, views this as a strategic bet on long-term profitability, given HBM's premium margins.

As the semiconductor sector navigates this transformation, industry watchers anticipate further consolidation around AI-centric innovations, potentially accelerating the divide between enterprise and consumer tech ecosystems.

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