Prime Highlights:
- SK Hynix is ready to mass-produce its next-generation HBM4 memory chips, keeping it ahead of competitors in the AI market.
- HBM4 is expected to be a key component for Nvidia’s next-generation Rubin architecture, powering advanced AI data centers.
Key Facts:
- The HBM4 chips double the bandwidthand are 40% more energy-efficient than the previous generation.
- HBM sales made up 77% of SK Hynix’s revenuein the June quarter, and the company expects sales to double in 2025.
Key Background:
South Korean memory chipmaker SK Hynix announced on Friday that it is ready for mass production of its next-generation high-bandwidth memory chips, HBM4, signaling continued dominance in the AI server market. The company reported that it has completed its internal validation and quality assurance processes for the new chips, which it describes as “best-in-class.”
HBM, or high-bandwidth memory, is a critical technology used in chipsets for artificial intelligence computing. SK Hynix supplies these memory chips to Nvidia, one of the world’s leading AI hardware companies. The HBM4 chips are expected to be an important part of Nvidia’s next-generation Rubin architecture, helping run more powerful AI data centers.
These chips are the sixth generation of this memory technology. They double the data speed and are 40% more energy-efficient than the previous generation. SK Hynix says these upgrades keep it ahead of rivals like Samsung and Micron, who are still preparing their HBM4 chips for production.
Industry experts note that SK Hynix’s leadership in HBM technology is reinforced by its strong relationship with Nvidia. “SK Hynix is a key supplier for Nvidia, and this development underscores its lead over rivals in high-performance AI memory,” said Dan Nystedt, vice-president at Asia-focused semiconductor investment firm TriOrient.
The market responded positively to the announcement, with SK Hynix shares jumping more than 7% on Friday to their highest level since 2000. This year, SK Hynix’s stock has gone up nearly 90%, showing investors are confident. The company also earned record profits and revenue in the June quarter, mostly because of strong demand for HBM, which accounts for 77% of its revenue.