Micron (MU) looked infallible just days ago, until Alphabet (GOOGL) broke the news that memory may no longer be in extreme demand. Google revealed an AI efficiency algorithm called TurboQuant that reduces the necessary compute and memory cost per query. That means that AI could end up needing much less memory than previously thought.

Citi is pushing back on AI efficiency fears, however. The firm recently pointed out that cheaper technology historically expands usage rather than shrinks it. For example, the fear of DeepSeek upending the AI sector did not pan out like the bears thought. AI companies instead learned from AI and used its efficiency to make even better and more powerful AI models. Thus, this event could actually…