Memory just became the trillion-dollar problem

In breaking analysis number 322, we shared with you that our forecast of a $1 trillion silicon business arrived two years earlier than we had originally forecast. Now, the reason for our 24-month miss was the bottleneck had moved from GPUs to memory. Micron gave us a pretty remarkable data point in its fiscal year Q3 earnings print. They told us the DRAM prices rose by more than 60% sequentially in the quarter, while the number of bits shipped barely grew. And today we address what that means. The key questions are, is this temporary scarcity or a structural change in the economics of memory?