SK Hynix to mass produce industry-leading AI chips this year – CEO

“In terms of production, the HBM with 2024 output has already been sold out, while the 2025 volume is almost sold out,” Noh-jung said. The popularity of SK Hynix’s HBM products came in the form of HBM chips, which are integral components used for AI computing. The focus is on the rise of generic AI-like applications, exemplified by models like ChatGPT, reports Yonhap news agency. The South Korean company is considered a leader in the HBM market and a major supplier to US AI chip leader Nvidia. Its latest eight-layer HBM3E was mass produced in March for the first time in the industry.

“The company now anticipates rapid expansion of AI technology from data centers to a wide range of on-device applications such as smartphones, PCs and automobiles,” Kwak said. “AI applications are expected to see explosive growth in demand for ultra-fast, high-capacity and low-power memory products.” According to SK Hynix, AI memory sales, led by HBM and high-capacity DRAM modules, are expected to dominate 61 percent of the global memory chip market by 2028, up sharply from 5 percent in 2023.

Despite challenges from competitors such as Samsung Electronics and Micron Technology, Kwak expressed confidence in overcoming the increasing competition in the global HBM market. Last month, Samsung Electronics announced plans to mass produce 12-high HBM3e chips within the second quarter to keep up with the constantly changing HBM market trends. In line with its strategy to timely meet the demand for AI memory, SK Hynix has decided to invest 5.3 trillion won ($3.85 billion) to build a new DRAM production base called M15X in South Korea, which will begin commercial operations Will be done. Third quarter of 2026. It also announced plans to invest approximately $4 billion in an advanced packaging fabrication and R&D facility to begin mass production of AI memory products, including next-generation high bandwidth memory (HBM) chips in the United States. Half of 2028.