The Zhitong Finance App learned that on Tuesday, the storage sector continued its decline, with Western Digital (WDC.US) and Seagate (STX.US) falling more than 6%, while Micron Technology (MU.US), SanDisk (SNDK.US), and SK Hynix (SKHY.US) fell more than 5%. According to the news, over the weekend, Dr. Cao Kanyu, President of Changxin Storage, announced at an industry event that the company has made key progress in the next-generation 4F² storage unit architecture and plans to launch DDR5 server memory products based on this architecture by the end of 2026. This news has suddenly heated up concerns about Chinese manufacturers speeding up their penetration into the high-end memory chip market. The sell-off logic of the market is clear: if Chinese manufacturers can enter the high-end memory chip market previously dominated by US and South Korean companies at a lower cost and on a larger scale, the profit margins of related companies will face substantial compression.

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