Heard on the Street: Micron's AI Boost Comes With Big Price Tag

Micron, a memory manufacturer that works with Nvidia’s chips in AI systems, has raised its annual capital expenditure forecast to $8 billion. This increase in spending is in response to the growing demand for chips from tech giants like Microsoft, Google, Amazon, and Meta Platforms, who are expanding their capital spending to power generative AI services in their networks. This trend is driving component makers to increase their own spending to keep up with the rising demand.