SK Hynix announces mass production of updated AI chip, spurring rally in Asian semiconductor stocks

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The South Korean giant has been a main supplier of the high-bandwidth memory chips catering to AI chipsets for companies like Nvidia.

SK Hynix said it has started mass production of a new version of its high-bandwidth memory chips and aims for delivery by year-end.

The development came as the world's second-largest memory chipmaker seeks to continue its dominance in the AI memory chip market. SK Hynix Inc. signage at the company's office in Seongnam, South Korea, on Monday, April 22, 2024. SK Hynix is scheduled to release earnings figures on April 25. Photographer: SeongJoon Cho/Bloomberg via Getty ImagesThe product would be the world's first 12-layer version of HBM3E, which refers to the latest generation of an advanced memory chip that's capable of handling high-end generative artificial intelligence work.

SK Hynix said the chip would have a 36 gigabyte capacity, the largest among existing HBM chips. That's a 50% increase in capacity from the company's previous eight-layer chip, whichThe South Korean giant has been a main supplier of the high-bandwidth memory chips catering to AI chipsets for companies likeThe development came as the world's second-largest memory chipmaker seeks to continue its dominance in the AI memory chip market.

HBM is a type of dynamic random access memory, known as DRAM, where chips are vertically stacked to save space and reduce power consumption. SK Hynix,The largest U.S. maker of computer memory chips expects first-quarter profit of $1.74 per share on $8.7 billion in revenue. That beat market projections for profits of $1.65 per share on $8.28 billion in revenue,

 

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