Memory chipmaker Micron expects revenue drop in line with Wall St view, shares rise

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:Micron Technology Inc on Tuesday forecast third-quarter revenue would tumble nearly 60 per cent from a year earlier but the steep drop was in line with Wall Street expectations and the company's shares rose after the close of regular trading.With a glut still nagging the chip industry, Micron expects the dee

:Micron Technology Inc on Tuesday forecast third-quarter revenue would tumble nearly 60 per cent from a year earlier but the steep drop was in line with Wall Street expectations and the company's shares rose after the close of regular trading.

"We remain confident in long-term demand and are investing prudently to preserve our technology and product portfolio competitiveness," Micron Technology President and CEO Sanjay Mehrotra in the earnings release. Analysts say the expansion of generative AI comes with an acceleration in data to feed large language models and could fuel a jump in need for more storage.

Micron said on Tuesday customer inventories are improving and that it expects gradual improvements to the industry's supply-demand balance.

 

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