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Google's TurboQuant is making memory stocks nervous

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Utkarsh Deoli
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Utkarsh Deoli
Just a developer for fun
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Google just dropped something interesting. Their research team announced TurboQuant - a new AI memory compression algorithm that can run large language models using six times less memory without losing accuracy.

Yes, you read that right. 6x.

The tech world is already calling it Google’s “DeepSeek moment” - remember when DeepSeek proved you could train competitive AI models at a fraction of the typical cost? Now Google’s showing you can run them cheaper too.

How it works
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Without getting too technical: TurboQuant tackles something called the KV cache. That’s the working memory LLMs use to keep track of conversation context. As you chat with an AI, this memory fills up. Run out of KV cache and the AI starts forgetting what you just said.

TurboQuant compresses this using vector quantization - basically organizing data into efficient boxes instead of storing everything individually. They hit a Weismann Score of 5.2, which is apparently very high in compression terms.

The two methods making this possible are PolarQuant (the quantization technique) and QJL (the training optimization). Google’s presenting the full research at ICLR 2026 next month.

Why Micron’s stock dipped
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This is where it gets interesting for investors.

Micron just reported record quarterly revenue - $23.9 billion, nearly tripled from last year, driven by AI demand for HBM memory chips. Supply is so tight Micron can only give customers a fraction of what they’re ordering.

But after Google’s announcement, Micron’s stock fell anyway. Samsung, SK Hynix - all dropped. Investors figured if AI companies need way less memory to run models, they might buy fewer chips.

Some analysts are calling it an immediate repricing risk for HBM. Others say it’s overblown - real-world deployment takes time, and Micron’s HBM advantage is still massive.

The catch
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TurboQuant is still a lab result. Hasn’t been deployed anywhere yet. And it only helps with inference (running the model), not training - which still needs enormous amounts of memory.

So Micron’s not going anywhere immediately. But the efficiency breakthroughs keep coming, and eventually hardware has to follow.


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