SK hynix's 1c DRAM Reportedly Poised to Become Main Process Next Year

1c DRAM Share Rises Steadily, Expected to Surpass 1b DRAM as Mainstream Process in Q1 Next Year

According to industry sources cited by Korea's ChosunBiz, Sthe share of 1c DRAM at SK hynix expanded from around 10% in the first quarter this year to the 13% range in the second quarter. It is forecast to rise to the 24% range in the third quarter and the 34% range in the fourth quarter. In the first quarter of next year, the 1c share is expected to climb into the 35% range, surpassing 1b (33% range) for the first time to become the main process. Furthermore, unlike Samsung, which plans to adopt 1c DRAM starting from HBM4, SK hynix chose a strategy prioritizing mass-production stability with proven 1b DRAM and advanced MR-MUF packaging technology, and first applied 1c DRAM as the core HBM chip starting with HBM4E.

The share of 1b (10-nanometer-class fifth-generation) DRAM appears to have peaked in the 43% range in the second quarter and then turned downward. As the shift to 1c production gains momentum, the share of legacy processes is sequentially shrinking. At last month's second-quarter earnings conference call, SK hynix said that supplies of DRAM using the 10-nanometer-class sixth-generation (1c) process began in earnest in the second quarter. 

SK hynix Holds Steady with 1b DRAM for HBM4, Debuts 1c DRAM in HBM4E

The battle for HBM4 leadership between Samsung Electronics and SK hynix is tied to the speed of the 1c transition. 
SK hynix chose a strategy prioritizing mass-production stability with proven 1b DRAM and advanced MR-MUF packaging technology, and first applied 1c DRAM as the core HBM chip starting with HBM4E. In contrast, Samsung Electronics is applying 1c DRAM starting at the HBM4 stage, touting top performance with an operating speed around 11.7 Gbps. 

A semiconductor industry official said, "The speed of the 1c transition itself is encouraging, but it is meaningful only if actual mass-production Production yield and customer qualification schedules back it up."

Higher Wafer Output per Unit to Boost Cost Competitiveness and Profit Margins

It is said that SK hynix accelerating the 1c transition will yield tangible benefits beyond simple scaling, including in cost and productivity.  As the 1c transition proceeds alongside a higher mix of high-value products for servers and HBM, productivity gains are highly likely to translate directly into improved margins. SK hynix projected that, alongside increased HBM4 volumes in the second half, shipments of general-purpose DRAM based on 1c will grow, pushing bit growth (production growth rate) to a level higher than in the first half.