Micron Exits China Data Center Market Amid Tech Tensions, Pivots to Global AI Demand
Micron Technology's strategic withdrawal from China's data center memory chip market marks a decisive shift in its global positioning. The MOVE follows persistent fallout from Beijing's 2023 ban on Micron chips in critical infrastructure—a retaliatory measure in the escalating U.S.-China tech war. While Chinese competitors gain ground in the vacated segment, Micron's record AI-driven demand elsewhere softens the blow.
Shares reflected the duality: a 5.52% rally to $202.53 at Wednesday's close, followed by 2.75% pre-market dip as markets digested the implications. The company now bets heavily on non-Chinese AI infrastructure growth, where its high-bandwidth memory chips command premium pricing. 'Geopolitics is reshaping supply chains in real time,' observes Bernstein's tech hardware analyst, 'but AI capex creates alternative runways.'
