Memory chip stocks climbed in after-hours trading after Amazon and Apple warned that memory prices are expected to continue rising due to strong AI-driven demand. Shares of Micron, SanDisk, Western Digital, and SK Hynix gained between 2% and 8%, supported by strong earnings from Microsoft and Lam Research.
Executives from both Apple and Amazon said increasing memory costs are a direct result of hyperscalers expanding AI data centers, which has tightened supply of DRAM and NAND memory chips. Apple CEO Tim Cook noted that memory procurement costs rose during the June quarter and are expected to increase further in the September quarter, adding that the market remains dominated by only a few major suppliers.
Amazon also raised its projected 2026 capital expenditures to $220 billion, up from an earlier estimate of $200 billion, citing higher memory costs as a key factor. The company spent $53 billion on property and equipment during the second quarter, with much of its investment directed toward AI infrastructure.
The comments reinforced expectations that AI-related demand for memory chips remains strong despite investor concerns that hyperscalers may eventually slow their spending. Samsung also warned that the global memory chip shortage could persist until 2028, highlighting the ongoing supply constraints.
Investor sentiment toward memory chip makers remained positive, with retail traders expressing bullish views as AI infrastructure spending continues to fuel demand across the sector.
