A Morgan Stanley report revealed that Sanjay Mehrotra, Chairman and CEO of Micron Technology, stated at an investor conference that the supply-demand imbalance for DRAM will persist until 2027. Newly built production capacity is expected to start shipping by the end of 2027 at the earliest, with substantial relief of supply pressure anticipated only by 2028. Expansion efforts are constrained by the construction cycle of wafer fabs and capacity bottlenecks in extreme ultraviolet (EUV) lithography equipment. Meanwhile, the surge in demand for artificial intelligence-driven high-bandwidth memory (HBM) has exacerbated the supply-demand imbalance. By the third quarter of 2025, Micron's market share in HBM had already caught up to its overall DRAM level. However, the production of HBM4/5 may consume DRAM capacity at a ratio of up to 4:1, further squeezing the supply of general-purpose DRAM. To address these structural changes, Micron has initiated 'strategic customer agreements' with five-year long-term contracts and plans capital expenditures of $25 billion in fiscal 2026, increasing to $37 billion in fiscal 2027, to fully deploy EUV equipment.