Micron locks in historically high memory prices for five years

Micron has secured 16 long-term strategic customer agreements through 2030 that lock in historically high memory prices with substantial profit margins, exploiting persistent supply constraints that the company expects will continue for years. The deals, which will account for 40% of Micron's revenue, include floor and ceiling prices and require upfront customer payments to fund the company's factory expansions. Micron's Q3 results were exceptional with $41.5 billion in revenue and 84.9% gross margins, while the company projects even stronger Q4 performance with 86% gross margins.