** Shares of memory chipmakers rise as investors bet on further price gains as a result of global supply crunch

** Micron Technology MU.O up 6.4%; Western Digital WDC.O up 13%

** Seagate Technology STX.O gains 23%; SanDisk SNDK.O up 23%

** An index tracking broader semiconductors .SOX gains 2.3% to hit a record high

** Memory chipmakers started 2026 on a strong note after reports suggest AI infrastructure build up is prompting memory chipmakers to divert manufacturing capacity to meet demand for AI servers, squeezing supply for flash chips used in USB drives and smartphones

** Prices in some categories have more than doubled since February 2025, according to TrendForce

** "DRAM pricing going significantly higher, and that's affecting all the memory players — from Micron to SanDisk and even equipment makers," said Art Hogan, chief market strategist at B Riley Wealth

** Memory chip stocks rallied last year as surging AI-driven demand and a global supply crunch pushed DRAM and flash prices sharply higher, triggering what analysts call a "memory supercycle"

(Reporting by Tharuniyaa Lakshmi and Purvi Agarwal in Bengaluru)

((tharuniyaa@thomsonreuters.com))