A few weeks ago, HK hynix stated that all manufacturing of HBM memories By 2024 it already had an owner. With an increasingly high demand for GPUs for AI, it is not surprising that today we wake up with the news that all production of both HK hynix like Micron by 2025, it will also have an owner.
SK hynix and Micron are the two main companies that manufacture this type of memory for GPUs, so it is a clear indication of what the current market needs are. SK hynix practically dominates the market with a share that is close to 50%, while Micron has a 5-6% market share.
With the production already sold by Micron and SK hynix the last manufacturer that also manufactures HBM memories is Samsungwho at the moment has not commented on the availability of this type of memory, but it is most likely that he has also faced a similar demand and that the estimated production for 2025 has also found an owner.
Looking at the situation for HBM memories, it is easy to conclude that demand exceeds supply. Faced with this problem, the only solution is to increase production lines or have other manufacturers bet on this. type of memoriesthe latter being the least likely due to the billion-dollar investment required.
It’s the AI’s fault
Once again, behind the lack of sufficient supply to cover all demand is the AI. For some time now, the demand for processors for AI training and inference, which affects the demand for HBM memory, which is what the GPUs.
The first HBM memory was designed by HK hynix in 2014 and since then it has become the highest benchmark on the market, a memory that offers greater bandwidth and is much faster than traditional DDR5 and DDR6 that are focused on home users.
This is the main reason why HBM memories have such a high demand in the market. NVIDIA is one of the most important commercial partners of SK hynix and this type of memory is used for the manufacture of the H100 GPU, H200 and GH200Therefore, it is more than likely that NVIDIA is one of the main culprits for the high market demand for this type of memory.
But it is not the only company. amdMicrosoft, Meta, Google and Amazon are also working on projects related to AI, especially Microsoft who announced a few months ago that it is already working on creating its own graphics to stop depending on third parties, specifically NVIDIA.
SK hynix has started production of HBM3E memories, GPU memories of the latest generation and the first shipments will be made in the third quarter of this year and begin to satisfy the high market demand from its privileged position.
