AI Supply Chain Demand Surges as UBS Forecasts 95% DRAM Margins by 2027

AI infrastructure expansion drives sustained growth in storage, packaging, and power sectors. UBS projects record margins for DRAM makers, while SanDisk secures $93B in long-term contracts, signaling persistent demand.

Woofun AI notes that AI infrastructure demand is driving sustained expansion across storage, advanced packaging, hash rate financing, optical communication, power supplies, and electronic components. UBS predicts traditional DRAM manufacturers like Micron could achieve 95% gross profit margins by 2027, surpassing HBM products. SanDisk has secured long-term contracts covering two-thirds of its 2028 production capacity, with minimum contracted revenue reaching $93 billion against a current market cap of approximately $239 billion.

CoreWeave has signed agreements to utilize NVIDIA A100 GPUs until 2029, supporting new cloud computing firms such as Nebius and Iren while countering bearish views on older GPU depreciation. Market expectations place Anthropic's 2028 revenue between $190 billion and $200 billion. TSMC executives warn of potential shortages in storage and ABF substrates in coming years, reinforcing the view that the AI supply chain remains in a phase of rapid development.