Micron Technology, Inc. · NASDAQ:MU
Micron Technology — Investor Presentation (May 2020)
25 slides from Micron Technology's investor presentation, May 22, 2020
Slide 1: Winning in the 5G Era
Winning in the 5G Era Raj Talluri, SVP & GM of Mobile Business Unit May 2020 ©2020 Micron Technology, Inc. All rights reserved. Information, products, and/or specifications are subject to change without notice. All information is provided on an “AS IS” basis without warranties of any kind. Statem
Slide 2: Safe Harbor Statement
Safe Harbor Statement During the course of this meeting, we may make projections or other forward-looking statements regarding future events or the future financial performance of the Company and the industry. We wish to caution you that such statements are predictions and that actual events or resu
Slide 3: Raj Talluri, SVP, Mobile Business Unit GM
Raj Talluri SVP, Mobile Business Unit GM ▪ 25 years of semiconductor industry experience prior to Micron ▪ 9 years at Qualcomm ▪ 16 years at Texas Instruments ▪ Ph.D. in electrical engineering from the University of Texas in Austin 3
Slide 4: Agenda
Agenda 5G Opportunity MBU Strategy MBU Results 4
Slide 5: 5G Opportunity
5G Opportunity 5
Slide 6: 5G Presents a Huge Opportunity
5G Presents a Huge Opportunity 10x+ Change in Proliferation of Mobile Unit Mobile Content Network Connected Growth Catalyst Growth Driver Performance Devices 6
Slide 7: Magnitude of Change Is Unlike Anything Before
4G 5G 20x faster download speed 4G 5G Download a full-length HD movie in seconds 1Gbps 20Gbps Media-rich experiences: streaming HD and 360° Magnitude videos or mobile AR and VR any time, anywhere of Change Is Unlike 10x lower latency 4G 5G Real-time multi-player cloud gaming 10ms 1ms including VR/
Slide 8: 5G Will Connect Everything
5G Will Connect Everything Mobile Edge Automotive Industrial IoT Networking Datacenter New memory and 5G speeds & V2X Enables real time data 20x more 5G Enterprise and cloud storage solutions connectivity feed with <1ms latency, infrastructure datacenters grow enhance real-time on-board AI for suppo
Slide 9: 5G Enables Streaming Video Everywhere
5G Enables Streaming Video Everywhere 8K live streaming, VR-enabled content, AR map, AR education and multi- channel broadcasting offering alternative viewing angles 5G streaming video everywhere is data-heavy and requires: Speed ▪ Faster download to enable 4K (eventually 8K) streaming ▪ Faster
Slide 10: 5G Use Cases Will Drive Content Growth
5G Use Cases Will Drive Content Growth Mobile Segment 5G Use Cases 4G to 5G Content Growth (2020) ▪ 100MP+ snapshots ▪ 8K video capture/playback DRAM 6GB+ 8GB+ Flagship ▪ Multitasking + 5G upload NAND 128/256 256/512GB ▪ Desktop-level gaming ▪ 64MP+ snapshots DRAM 6GB+ 8GB+ High-End ▪ 4K video capt
Slide 11: 5G Is a Catalyst for Mobile Unit Growth
5G Is a Catalyst for Mobile Unit Growth ~450M 5G unit shipments forecasted for 2021 Slightly negative due to slowing 5G-driven resumption of replacement cycle and COVID-19 smartphone replacement 2016 to 2020 2021 to 2024 (Before) (After) 11 Sources: Micron, IDC
Slide 12: 5G Will Drive Strong Mobile Bit Growth
5G Will 2019-2022 Mobile Industry Bit CAGR Forecast Drive Strong Mobile Bit ~15% Growth DRAM ~30% NAND 12 Sources: Micron, IDC
Slide 13: MBU Strategy
MBU Strategy 13
Slide 14: Micron Is Well-Positioned to Win in 5G Era
Micron Is Well-Positioned to Win in 5G Era Technology & Team Execution Product Leadership 14
Slide 15: Global Team and Footprint Enables Close Collaboration
Mobile Manufacturing Sites Customer Collaboration Sites Europe China South Korea United States Japan Taiwan India Global Team and Singapore Footprint Enables Close Malaysia Collaboration With Customers and Partners 15
Slide 16: Industry's Best Talent Organized to Drive Success
Industry’s Best Talent Organized to drive product and customer success Chipset System & architecture Qualification optimization OEM Application performance Qualification Enhance end-user experience Carrier Qualification Expertise from silicon to Go-to market coordination Collaboration across the cus
Slide 17: The New Micron Is Rapidly Improving Execution
The New Micron Is Rapidly Improving Execution More mobile industry firsts, enhancing our customer value proposition Product FY18 FY19 FY20 LPDDR5 1x nm LPDDR4 1z nm LPDDR4x 1st to support 6400Mbps speed Memory Lagged industry by 1+ years 1st to ramp in mobile and 12Gb monolithic die UFS2.1 UFS3.0
Slide 18: Redefining the End-User Experience
Redefining the End-User Complete Experience ▪ AI & machine learning Mobile ▪ Rapid high-resolution photo/video capture ▪ Longer battery life Mobile Portfolio ▪ Shorter app launch times ▪ Multitasking capability Tech & Qualified with all major chipsets LP5 Power Consumption Memory 8k Video R
Slide 19: MBU Results
MBU Results 19
Slide 20: Mobile Business Unit Results
Mobile Business Unit Results Gaining in Market Share Strong Cross-Cycle High-Value Opportunity Profitability Solutions 20
Slide 21: Strong Revenue Growth Outpacing the Industry
Strong Revenue Growth Outpacing the Industry Mobile Revenue Growth Micron MBU Revenues CY16 to CY19 104% $5.6B $2.8B 28% CY16 CY19 Industry Micron Sources: Micron, Yole 21 Micron CY16 MBU revenues represents sum of FQ2-16 through FQ1-17 Micron CY19 MBU revenues represents sum of FQ2-19 through FQ1-
Slide 22: Gaining in Mobile High-Value Solutions
Gaining in Mobile High-Value Solutions Micron’s mobile high- High value solutions make up the value solution revenue majority of the mobile market. more than tripled 2019 Industry TAM ~$39bn from 2016 to 2019, 9% 33% outpacing the industry. Mobile Mobile Component Discrete NAND DRAM We have more 5
Slide 23: Strong Cross-Cycle Profitability
50% 45% MBU 40% OpM% 35% Strong 30% FY16 to FY19 = 33% 25% Cross-Cycle 20% Profitability 15% 10% FY16-FY19 5% 0% FY-16 FY-17 FY-18 FY-19 23 33% represents the aggregate FY16 to FY19 MBU operating profits divided by revenue for the period
Slide 24: Winning in the 5G Era
Winning in the 5G Era 5G is Micron & MBU Our business transformational are positioned results continue to win to improve 24
Slide 25: Micron
25 Micron Confidential