Sumit Sadana, Chief Business Officer of Micron, at

Sumit Sadana, Chief Business Officer of Micron, at KeyBanc Technology Leadership Forum:

> "All of the efforts we are doing, we still don't have line of sight when supply is going to meet demand. Demand continues to escalate at a very rapid pace over time."

> "Very early stages of how this demand is going to proliferate."

> "HBM is growing significantly."

> "To produce 100 bits of HBM, we have to reduce 300 bits of DDR supply, 3:1 ratio. Closer to 4:1 for HBM4."

> "The number one constraint our customers tell us they have is DRAM."

> "We expect very robust business and financial performance for a very long time."

> "Aggregate demand across all of the segments is at much higher level than it has been."

> "Customers are telling us that despite the fact the prices are at a very high level, they are eager to get more supply because they are not able to meet their own business case requirements."

> "In data center, we are not able to meet any more than half of the demand our customers have."

> "Multi year signals on demand, not just 2026."

> "We have visibility on the engineering side that stretches out to roadmaps of our customers that are beyond 2030 timeframe."

> "Increased level of anxiety of our customers to secure supply."

> "We have signed the most number of SCAs across our industry."

> "Since our earnings, we have signed more SCA agreements with our customers."

> "These SCAs cover a long time horizon. Some customers that are smaller like automotive have 3 year SCAs. The SCAs that cover overwhelming amount of revenue under SCA is going to be 5 year type of terms through the end of 2030."

> "SCAs are binding commitments on purchases of volumes by year, by customer. Take or pay agreements with no contractual outs. Backed up by tremendous amounts of upfront cash like commitments."

> "SCAs are something LTAs never had. Some SCAs are going to be floating pricing, so pricing is going to be consistent with what the market prices at that time. Most of the volume under SCAs is going to have a ceiling price. The ceiling price at time of earnings with 16 SCAs is Q2 pricing. Since then, we have signed more SCAs. SCAs signed in the future is going to have ceiling pricing that is going to be consistent with whatever the market prices at the time the SCAs are signed in the future."

> "Some SCAs have no pricing mechanics and focus on market pricing."

> "The floor pricing is set at a level that provides a gross margin for us well above any prior peak in the cycles of the industry. These provide very high ROI."

> "SCAs have tremendous number of binding terms and no contractual way of backing out. More years can be added to the backend of the SCAs to extend them."

> "Huge amount of growth coming from robotics, which is going to be a ginormous growth driver."

> "This is not going to be the last time you see significant deficit of supply in this industry."

> "Physical AI in its infancy right now and has tremendous potential."

> "Lack of adequate data to train robots."

> "Each single humanoid robots is expected to have hundreds of GB of DRAM and TBs of SSD."

> "Customers struggling to get hands on adequate DRAM supply."

> "Availability of supply leading to despec among customers."

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