Shares of memory and storage product companies dropped on concerns over reduced
demand after Google researchers unveiled a new compression technique,
TurboQuant, which could reduce memory size for large language models. SK Hynix,
Kioxia, Micron, and Sandisk saw losses. However, analysts believe the new
technology may increase demand, citing the Jevons Paradox, which suggests that
improved efficiency often drives greater consumption. JPMorgan analysts stated
there’s no immediate threat to memory consumption despite the short-term
selloff.
