Micron Plans to Double HBM Capacity by Year-End, Stock Jumps 6.1%

Micron Technology announced plans to significantly expand its high-bandwidth memory production capacity by the end of 2026, aiming to double output to approximately 100,000 wafers per month. The company's HBM output last year was approximately 40,000 to 50,000 wafers per month. Micron is increasing procurement orders from multiple HBM equipment suppliers, with manufacturing primarily based in Taiwan and Singapore fabs, continuously ramping up equipment deployment. Current production is dominated by HBM3E 12-layer, with HBM4 12-layer accounting for approximately 20% to 30% at the beginning of this year, potentially rising to as high as 50% by year-end. The HBM4 12-layer will be used in NVIDIA's latest AI accelerator, Vera Rubin, which Micron began mass-producing in the second quarter of this year. In June, Micron CEO Mehrotra stated on the Q3 earnings call for fiscal year 2026 that the ramp-up speed of HBM4 12-layer is approximately twice that of HBM3E 12-layer, and cumulative revenue from HBM4 shipments has exceeded $1 billion. According to Counterpoint data, global HBM market share in Q2 was 50% for SK Hynix, 32% for Samsung, and 18% for Micron. Industry estimates suggest Samsung and SK Hynix each have HBM capacities of approximately 150,000 to 200,000 wafers per month. Micron also announced employee rewards details, further boosting investor sentiment. The company's entire 2026 HBM3E supply is already sold out under long-term contracts. MU stock jumped 6.10% to lead U.S. market gains, with SK Hynix rising 3.19% and SKHY gaining 8.12%.