TNB Tech Minute: Chipmaker Micron Rides AI Wave But Is Squeezed by Costs
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Here's your TNB Tech Minute for Friday, March 21. I'm Victoria Craig for The Wall Street Journal. Chipmaker Micron is getting squeezed by the costs of producing critical components for the artificial intelligence boom. Late yesterday, the company reported better-than-expected revenue last quarter thanks to a 50 percent surge in sales of its high-bandwidth memory that's used for AI systems designed by companies including NVIDIA.

However, its gross margins, or the amount of money Micron holds onto after expenses, disappointed Wall Street, along with expectations for the current quarter. Elsewhere, President Trump has tapped Boeing to build what might end up being the most expensive jet fighter ever made. Cost estimates haven't been released by the Pentagon for the aircraft, which the Air Force says is vital to deterring China's military in the future.

But experts say the total could top $50 billion. The Air Force's head of war gaming last month said that new Boeing jets would be used alongside drones to fight wars in the future against highly capable adversaries. They've also argued piloted planes with cutting-edge technology like sophisticated sensors, powerful engines, and use alongside semi-autonomous drones is crucial for future missions.

Finally, a scoop about a deal we told you about earlier this week. Google's blockbuster acquisition to buy cybersecurity startup Wiz could turn a nearly $300 million investment into a more than $4 billion windfall for New York venture capital firm Index Ventures.

The Wall Street Journal has an exclusive look at the firm's total investment, which makes it Wiz's biggest outside investor. Investments like these were once a dime a dozen for venture firms, but companies have been less in a rush to go public, putting investors in a holding pattern to cash out. If regulators give the deal their blessing, investors hope Google's $36 billion buy will pave the way for similar startup exits in the future.

For a deeper dive into what's happening in tech, check out Monday's Tech News Briefing podcast.

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