Micron Technology (MU)

[ciciagt]

From an article a few days ago:

Big data, big move for Micron with new processor
http://www.idahostatesman.com/2013/12/22/2939880/big-data-big-move-for-micron.html#storylink=cpy

For Micron, the processor is another avenue to develop specific products for specific purposes, as opposed to manufacturing and distributing generic memory chips - the key to the company's business for years. Memory chips are a commodity; Micron makes a profit by keeping production costs below sales costs. But that hasn't always happened in a market known for wild swings in supply and demand.

The Automata processor targets specific customers, much like the company's long-term relationship with car companies that sees it design specific memory chips for automobile systems - a move that gave the company increased margins.

Handy, the semiconductor analyst, said a prime customer for Micron's new processor could be the controversial National Security Administration, which gathers huge amounts of data - such as millions of phone calls - in need of analyzing.

Whoever the customers are, they will be getting a specialized product to fit their needs, said Shirley. That might mean Micron won't sell as many as it would memory chips, he said. But they would be of "much higher value and therefore more profitable."

(Note: "Micron's new processor hasn't left the company's property yet. Researchers are still finessing the device. By mid-2014, Micron hopes to make the Automata processor available to researchers, universities and companies to try on a limited basis.")