Micron Stock Hits Record High on $1.8B Taiwan Fab Deal and AI-Driven Memory Demand

Micron Technology's shares surged nearly 8% to an all-time high of $353.08 following Taiwan Semiconductor's robust earnings report, signaling sustained investment in AI infrastructure. The memory chip giant announced a $1.8 billion acquisition of Powerchip Semiconductor's Taiwan fabrication plant, slated for completion by Q2 2026.

CEO Sanjay Mehrotra emphasized the accelerating demand for memory in AI systems, projecting market tightness through 2027. Memory prices are expected to jump 55% in Q1 due to global shortages driven by AI requirements. Micron's strategic moves include breaking ground on a $100 billion New York facility as part of $200 billion in planned U.S. investments.

The company's stock has gained over 250% in the past year, fueled by critical memory shortages. "AI-driven demand is real and here to stay," Mehrotra told CNBC, highlighting memory's pivotal role in keeping data accessible for GPU-intensive AI model processing.