Musk Praises Micron Pricing Amid $150B Commitments

Elon Musk praised Micron on Oct. 13 for keeping future memory prices reasonable, contrasting its approach with suppliers he called “extortionate” and arguing that customers will reward the company with long-term loyalty. The comments come as AI data-center growth tightens memory supply and raises costs for technology companies, including Musk’s businesses, which use memory in AI infrastructure. Micron has signed 26 strategic customer agreements with about $150 billion in remaining performance obligations; the company says those commitments are expected to cover more than 35% of revenue through 2030. Many agreements include multi-year, take-or-pay purchase commitments and price bands, offering customers greater supply and cost visibility while giving Micron more predictable demand and some protection if market prices fall.