Elon Musk claimed on X that China will mass-produce memory chips by 2028, sparking market debate over whether South Korean memory makers could face oversupply by 2029.

Micron has expanded long-term customer agreements to 26 contracts through 2030, covering more than 35% of revenue with $150 billion in remaining performance obligations, and most 2027 output is already committed.

Musk praised Micron Technology's pricing as reasonable while warning against high prices from other suppliers, a stance seen as targeting Samsung and SK Hynix.

JPMorgan projects persistent memory shortages through 2028 and expects strong growth in the High Bandwidth Memory market from 2026 to 2028.

Musk’s remarks come amid broader AI-driven memory demand and ongoing debates about pricing power in the memory sector, highlighting the link between tech progress, pricing strategy, and geopolitical competition.

Analysts note China’s potential to disrupt the supply-demand balance if it scales memory production and overcomes hurdles in next-gen architectures like HBM, SRAM, and 3D-stacked RAM.

Market implications include possible restructuring pressure on South Korea’s memory industry as China catches up, with investors reacting to stock moves in Micron, SK Hynix, and SanDisk as CXMT advances.