Micron Technology stock was rising early Monday. The company is gaining market share in the memory-chip business but the threat from a Chinese rival is also increasing.

The shares were up 3.1% at $855 in premarket trading. The stock is down 12% in the past month but has risen more than 660% over the past 12 months.

There was positive news for Micron in newly released figures about the dynamic random-access memory market, which accounts for nearly 80% of the company's revenue. Micron's DRAM market share by revenue came to 25% in the second quarter, up from 22% in the first quarter, according to Counterpoint Research.

The shift leaves Micron just behind the 26% DRAM share of South Korea's SK Hynix, although it remains well behind the market leader Samsung Electronics which had a 39% share during the quarter.

"Micron's DRAM revenue has increased fivefold since Q2 2025, positioning the company to surpass SK Hynix and likely claim the second spot soon," said Counterpoint's vice president of research Neil Shah. "Micron has normally been quite conservative and modest about this, but we believe the competition is strong and it will all boil down to who has enough capacity to not leave money on the table for others to grab."

However, Micron wasn't the only one increasing its share. China's ChangXin Memory Technologies claimed 7% market share for the second quarter, which was up more than eightfold from the same period the previous year.

"If CXMT can expand its capacity and capability to meet domestic and overseas demand, starting with PCs and potential Tier-1 international customers, the supplier's market share will balloon and look a lot different a year from now," Shah said. "The question is not about 'how' but 'when' CXMT will be able to break into the Big Three Memory Club."

CXMT, which recently listed in China, has advanced rapidly in conventional DRAM and is now setting its sights on high-bandwidth memory (HBM), crucial for artificial-intelligence servers. CXMT is set to increase its share of global HBM wafer supply from 1% in 2025 to 12% in 2028, according to semiconductor and AI research firm SemiAnalysis