Micron’s HBM advanced packaging investment of approximately US $7 billion (SG$9.5 billion) .

In addition to advancements in custom chip design, significant changes are also occurring in the memory market.

SK Hynix will now surely adjust its DRAM production capacity projection as it now suppliers HBM to both Nvidia and Broadcom. It is currently supplies the majority of HBM used by Nvidia for their AI accelerators.

Samsung Electronics has embarked on establishing a test line to improve the yield of its 7th generation (1d) DRAM, a memory two generations ahead, at the 10nm (nanometer, one billionth of a meter) level.

Executive vice president Ahn Hyun was promoted to president and the new post of chief development officer (CDO).

Samsung Electronics is expected to supply its cutting-edge chips to the top graphics processing unit maker Nvidia soon, stepping closer to securing a footing in the lucrative AI chip market.

The HBM4 chip could also be used in Tesla’s AI data centers under development and its self-driving cars, which are currently fitted with HBM2E chips for pilot programs.

According to industry sources on Nov. 19, Samsung Electronics signed a contract in the third quarter to sell and purchase semiconductor equipment for the purpose of expanding production facilities at its Suzhou plant (SESS) in China. The contract is valued at approximately 20 billion won.

The new facilities, expected to be completed by December 2027, will feature advanced packaging lines for HBM chips, which are in high demand due to their essential role in AI computing.

Kwak also said that the company will push Gen 6 HBM, or HBM4, in 12 stacks and 16 stacks as their main products.

Samsung Electronics' R&D investment in the third quarter of 2024 was 8.87 trillion Korean won, an increase of 9.24% compared to the previous quarter. In terms of DRAM, Samsung Electronics plans to expand sales in the fourth quarter in conjunction with HBM production capacity, accelerate the transition of server DDR5 to 1nm, and actively increase the sales proportion of 32Gb DDR5 high-density products. In terms of NAND, we will expand sales of PCIe Gen5 based on the eighth generation (V8) and plan to mass produce QLC NAND 64TB products with high growth potential.

HBM has become SK Hynix's largest growth engine and core business. HBM accounted for over 30% of SK Hynix's total DRAM sales in the third quarter, and is expected to reach 40% in the fourth quarter.

From January to September this year, the share of Chinese Mainland in South Korea's memory export regions dropped to 37.9%, which remained at 40% until May this year, fell to 39% in June, and has continued to decline since then. The proportions for 2022 and 2023 are 51.4% and 44.7%, respectively.

According to ChinaFlashMarket, various manufacturers have recently released prices for DDR5 in the fourth quarter. As supply gradually becomes sufficient, the increase has converged to single digits. However, the huge price difference between DDR5 and DDR4, as well as the trade-off between input-output ratio under high capital investment, have affected the motivation of some customers to promote DDR5 penetration.

In the DRAM area, SK hynix is continuing the rapid transition from existing HBM3 to 8-layer HBM3E products. The company also plans to start supplying 12-layer HBM3E products, which were mass-produced last month, in the fourth quarter as scheduled. This makes HBM sales, which accounted for 30% of total DRAM revenues in the third quarter, expected to reach 40% in the fourth quarter.