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

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.