Micron Technology has announced a strategic reorganisation of its business units to better align the company with AI-led growth opportunities. The overhaul will restructure its operations into four dedicated business units, with the aim to position the memory chipmaker effectively across various market segments.
The transition to the new business structure is set to begin immediately and is expected to be completed by the start of the company’s fiscal fourth quarter on 30 May 2025. Micron will begin reporting its financial results under this new structure in the fourth quarter of the fiscal year 2025.
New business unit structure and leadership
The first of the specialised divisions is Cloud Memory Business Unit (CMBU). Led by senior vice president and general manager Raj Narasimhan, it will focus on delivering memory solutions to hyperscale cloud and data centre clients. Jeremy Werner will head the Core Data Center Business Unit (CDBU), which will focus on providing memory solutions for OEM data centre customers and storage solutions for all data centre customers.
Micron created the Mobile and Client Business Unit (MCBU) to serve the mobile and client markets. MCBU will be led by Mark Montierth. Lastly, the Automotive and Embedded Business Unit (AEBU), led by Kris Baxter, will serve the automotive, industrial, and consumer sectors.
Each unit will report to Micron executive vice president and chief business officer Sumit Sadana.
“This reorganisation completes our evolution to a market segment-focused business unit structure, with exciting AI-led growth opportunities in every business unit,” said Sadana. “This structure sharpens our ability to partner deeply with customers and build on our tremendous portfolio momentum with differentiated solutions for all end markets.”
Micron focuses on developing and selling memory and storage solutions. Reportedly, the company recently implemented a surcharge on specific memory products sold to US customers. This was in response to new trade measures introduced by US President Donald Trump.
Last month, Micron forecasted a fiscal third-quarter revenue of $8.8bn, surpassing analysts’ predictions of $8.5bn. This growth is attributed to the continued demand for its high-bandwidth memory (HBM) chips, essential for AI applications. Micron anticipates third-quarter revenue to be around $8.8bn, with a possible variance of $200m, exceeding analysts’ $8.5bn estimate. This projection comes after a 38% increase in second-quarter revenue year-over-year, reaching $8.05bn, reflecting the expanding use of AI-driven memory solutions.
Read more: Micron raises revenue forecast as AI memory chip demand accelerates
