Demand for high-performance processors for AI coaching is skyrocketing, and consequently so is the demand for the elements that go into these processors. A lot in order that SK hynix this week could be very publicly saying 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 effectively.
SK hynix at present produces numerous sorts of HBM reminiscence for purchasers like Amazon, AMD, Fb, Google (Broadcom), Intel, Microsoft, and, in fact, NVIDIA. The latter is an particularly prolific shopper 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.
In consequence, HBM reminiscence orders, that are already positioned months upfront, are actually backlogging effectively into 2025 as chip distributors look to safe provides of the reminiscence stacks crucial 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 concerning its HBM3E manufacturing. However of the 2 bulletins, SK hynix’s is arguably essentially the most important but, because the South Korean agency’s HBM manufacturing capability is way better than Micron’s. So whereas issues have been merely “attention-grabbing” with the smallest of the Huge Three reminiscence producers being offered out into 2025, issues are taking a extra regarding (and constrained) outlook now that SK hynix is as effectively.
SK hynix at present controls roughly 46% – 49% of HBM market, and its share will not be anticipated to drop considerably in 2025, in line with market monitoring agency TrendForce. Against this, Micron’s share on HBM reminiscence market is between 4% and 6%. Since HBM provide of each firms is offered out by essentially the most of 2025, we’re seemingly taking a look at 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 to this point. Although with reminiscence being a extremely fungible commodity product, it will be stunning 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.
Individually, SK hynix stated that it’s sampling 12-Hello 36GB HBM3E stacks with prospects and can start quantity shipments within the third quarter.
