Demand for high-performance processors for AI coaching is skyrocketing, and consequently so is the demand for the elements that go into these processors. So a lot in order that SK hynix this week could be very publicly asserting that the corporate’s high-bandwidth reminiscence (HBM) manufacturing capability has already offered out for the remainder of 2024, and even most of 2025 has already offered out as nicely.
SK hynix at present produces numerous forms of HBM reminiscence for purchasers like Amazon, AMD, Facebook, Google (Broadcom), Intel, Microsoft, and, after all, NVIDIA. The latter is an particularly prolific client of HBM3 and HBM3E reminiscence for its H100/H200/GH200 accelerators, as NVIDIA can be working to fill what stays an insatiable (and unmet) demand for its accelerators.
As a end result, HBM reminiscence orders, that are already positioned months upfront, at the moment are backlogging nicely into 2025 as chip distributors look to safe provides of the reminiscence stacks essential to their success.
This has made SK hynix the secnd HBM reminiscence vendor in current months to announce that they’ve offered out into 2025, following an earlier announcement from Micron relating to its HBM3E manufacturing. But of the 2 bulletins, SK hynix’s is arguably probably the most vital but, because the South Korean agency’s HBM manufacturing capability is much larger than Micron’s. So whereas issues had been merely “interesting” with the smallest of the Big Three reminiscence producers being offered out into 2025, issues are taking a extra regarding (and constrained) outlook now that SK hynix is as nicely.
SK hynix at present controls roughly 46% – 49% of HBM market, and its share just isn’t anticipated to drop considerably in 2025, in accordance with market monitoring agency TrendForce. By distinction, Micron’s share on HBM reminiscence market is between 4% and 6%. Since HBM provide of each corporations is offered out via probably the most of 2025, we’re doubtless a situation the place over 50% of the trade’s complete HBM3/HBM3E provide for the approaching quarters is already offered out.
This leaves Samsung as the one member of the group to not touch upon HBM demand up to now. Though with reminiscence being a extremely fungible commodity product, it will be shocking if Samsung wasn’t going through comparable demand. And, finally, all of that is pointing in the direction of the indusry getting into an HBM3 reminiscence scarcity.
Separately, SK hynix stated that it’s sampling 12-Hi 36GB HBM3E stacks with prospects and can start quantity shipments within the third quarter.
