After nearly four years (since late 2022), the boom in artificial intelligence showed minimal signs of slowing down. SoftBank (SFTBY) closed its investment in OpenAI, worth $40 billion. The firm also agreed to acquire DigitalBridge (DBRG) for just $4 billion.
DBRG stock once traded at $60 nearly a decade ago. SoftBank will buy it for $16 a share in cash.
The OpenAI investment benefits Micron Technology (MU) the most. The AI leader is reportedly booking 40% of the world’s RAM supply. This lifts profit margins and revenue for Micron, SK Hynix, and Samsung (SSNLF).
Investors rushed to buy MU stock to kick off 2026. Intel (INTC) and Advanced Micro Devices (AMD) also rose. So did Analog Devices (ADI), ASML (ASML), Lam Research (LRCX), Applied Materials (AMAT), and KLA (KLAC).
Investors should exercise caution in buying AMD stock. Its AI server solutions will benefit from strong demand. However, customers will still prefer Nvidia’s (NVDA) stack instead. That would give CoreWeave (CRWV) and Nebius (NVDA) a lift. Those firms use Nvidia hardware heavily in their hardware, especially with the latest Blackwell GPUs.
Your Takeaway
Memory chip suppliers are usually the leading indicator for the technology sector. It indicates a boom for semiconductor demand. If MU stock drops sharply, be prepared for a broader technology sector selloff.
