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Micron to Exit Consumer Memory Business by 2026, Shifts Focus to AI and Data Center Markets

Prime Highlights

  • Micron Technology is strategically exiting the consumer memory market to focus on high-growth AI and data center solutions, positioning itself at the forefront of next-generation memory demand.
  • The move strengthens Micron’s presence in high-bandwidth memory (HBM) for GPUs, supporting complex AI workloads and enterprise innovation.

Key Facts

  • Micron’s Crucial brand leaves a strong legacy, including milestones like the launch of its first SSD in 2008 and DDR4 memory in 2013.
  • Global demand for enterprise memory is surging, creating significant growth opportunities for Micron in AI-focused data centers and storage solutions.

Background

Micron Technology has announced that it will exit the consumer memory market by February 2026, bringing an end to its long-running Crucial brand that has served consumers since 1996. The company will now fully focus on providing memory and storage solutions for the fast-growing AI and data center sectors.

Global demand for memory has surged sharply as AI-driven data centers expand rapidly. These large-scale expansions have caused shortages in all storage and memory types and driven prices up. Micron has been strengthening its presence in high-bandwidth memory (HBM) used in GPUs, a key component supporting complex AI workloads.

Sumit Sadana, Micron’s Executive Vice President and Chief Business Officer, said the decision is driven by “rapidly growing demand for memory and storage solutions in the AI-focused data center market.” While consumer products have historically been part of Micron’s portfolio, they typically generate lower profit margins compared to enterprise segments.

Another factor behind the strategic shift is the delay in Micron’s planned capacity expansion. Labor shortages and supply chain problems have delayed construction of its megafab in Clay, New York, by two to three years. The earliest expected opening for the facility is now late 2030. Micron is also constructing a semiconductor fab in Boise, Idaho, but slower near-term capacity expansion has made it more challenging for the company to cater to both enterprise and consumer markets at the same time.

Micron’s exit will leave a major gap in the global consumer DRAM and NAND flash market. As the world’s third-largest DRAM supplier, it is expected that its exit will help rivals like Samsung, SK hynix, and SanDisk.

The Crucial brand leaves behind a legacy that includes key milestones from launching its first SSD in 2008 to introducing DDR4 memory in 2013.