Forget the Artificial Intelligence (AI) Capex Bubble: SpaceX CEO Elon Musk Says the Memory Shortage Will Drive Costs Even Higher

The article argues that SpaceX CEO Elon Musk’s comments on earnings are bullish for memory-chip makers, especially Micron. Musk said memory supply is growing about 20% a year while demand is increasing around 200% a year or more, indicating a severe supply-demand imbalance. The piece frames AI capex spending not as a bubble but as evidence of a long runway for data-center buildouts, with memory seen as the bottleneck. That scarcity should support rising memory prices, stronger margins, and continued investment in Micron’s advanced DRAM and HBM products. It also notes Micron shares had recently sold off after hitting an all-time high, which the article presents as an opportunity rather than a warning sign. Overall, the market implication is constructive for memory-chip investors and particularly bullish for Micron’s pricing power and longer-term earnings outlook.