Micron Technology, Inc. and Ford Motor Company have entered a long-term Strategic Customer Agreement (SCA) to strengthen the supply of memory and storage solutions supporting Ford’s next-generation vehicle production. The partnership aims to secure sustained supply for critical production programs through capacity expansions designed to support long product lifecycles and bolster critical U.S. infrastructure.

Micron is increasing output of key automotive memory solutions as part of its broader efforts to scale supply responsibly. These investments align with accelerating global demand for memory and storage, supporting the broader automotive ecosystem. This agreement is supported by Micron’s ongoing investments to expand and localize manufacturing for automotive customers, including its expansion of advanced DRAM production at its Manassas, Virginia fab.

Strategic Customer Agreement Details

The agreement focuses on securing a reliable supply chain for Ford’s future vehicle lineup. By leveraging Micron’s expanded capacity, Ford aims to integrate advanced memory and storage technologies into its next-generation vehicles.

Executive Commentary

"Producing the high-volume vehicles of the future in the U.S. will require a resilient supply chain," said Jim Farley, President and CEO of Ford Motor Company. "We applaud Micron’s commitment to manufacturing in America, expanding its domestic production and investing in a skilled workforce."

Sanjay Mehrotra, Chairman, President and CEO of Micron Technology, highlighted the importance of the collaboration. "We are proud to extend our collaboration with Ford to help ensure a reliable, long-term supply of memory and storage solutions," he said. "As vehicles become more intelligent and data-intensive, the importance of advanced memory and storage continues to grow, making collaboration and long-term supply increasingly important."

This SCA is one of the 16 discussed on Micron’s fiscal third-quarter 2026 financial conference call.

Micron Technology, Inc., Samsung Electronics Co., Ltd., and SK Hynix Inc. face a proposed federal class-action lawsuit alleging they conspired to restrict supply and inflate prices in the global DRAM market. The complaint, Garciaguirre et al. v. Samsung Electronics Co., Ltd. et al. (No. 3:26-cv-06345), was filed on June 25 in the U.S. District Court for the Northern District of California. The plaintiffs accuse the manufacturers of coordinating production cuts and pricing following the pandemic to artificially drive up memory prices and are seeking damages and injunctive relief under U.S. antitrust laws. Together, the three companies control roughly 90% of global DRAM production, a concentration that the lawsuit argues allows them to manipulate the market effectively. Separately, law firm Scott+Scott Attorneys at Law LLP launched an investigation into whether certain officers and directors of Micron breached their fiduciary duties related to these allegations.

Allegations and Market Impact

The lawsuit alleges violations of Section 1 of the Sherman Act, claiming that commodity DRAM prices have surged roughly 700% over the past four years. Plaintiffs argue that the three manufacturers used a synchronized pivot toward high-bandwidth memory (HBM) as a cover to quietly choke production of older DDR3 and DDR4 modules, thereby reducing mainstream supply and increasing prices. The squeeze has already impacted downstream costs; Apple Inc., not a defendant in the suit, has raised prices across its lineup, lifting its cheapest MacBook Pro by $400 to $1,999, citing memory and storage costs it could no longer absorb.

Legal Precedents and Industry Structure

Price-fixing claims in the memory market have historical precedent. In the early 2000s, the Department of Justice won a criminal DRAM case, with Samsung paying $300 million and Hynix $185 million in 2005, while Micron cooperated and avoided penalties. However, a more relevant precedent failed in 2018 when a near-identical class action was dismissed by Judge Jeffrey S. White in 2020. On March 7, 2022, the Ninth Circuit affirmed the dismissal, ruling the cutbacks were "more consistent with conscious parallelism" than collusion. The industry structure remains highly concentrated, with Samsung leading the market, followed by SK Hynix and Micron.

Investigation into Directors and Officers

Scott+Scott Attorneys at Law LLP is investigating whether Micron’s officers and directors failed to manage the company in an acceptable manner, resulting in damages to Micron and its shareholders. The firm is examining Micron’s participation in the alleged computer memory price-fixing scheme. Shareholders of Micron common stock are being encouraged to join the investigation to determine their rights regarding potential breaches of fiduciary duties.

Investor Outlook and Next Steps

For investors, the lawsuit strikes at the industry's pricing power, a key bullish argument for memory stocks. A motion to dismiss is expected in the coming months. If the complaint is dismissed, similar to the 2018 case, the impact on memory stocks is likely to be minimal. However, if plaintiffs survive dismissal and obtain discovery into internal company communications, the litigation could pose a longer-term risk. Micron, as the only primary U.S.-listed company among the defendants, is the stock most exposed to investor reaction, having rallied over 300% year-to-date prior to the filing.