As GPU’s become a bigger part of data center spend, the companies that provide the HBM memory needed to make them sing are benefitting tremendously.
Data center infrastructure companies are now positioning their products as having a superior value proposition based in part on the HBM they selected and integrated onto their GPUs and accelerators. Memory providers are now in a position of significantly differentiating the final solution, unlike in the past where memory and storage were commodities bought primarily on price.
This substantial increase in memory capacity and bandwidth underscores that HBM is no longer a mere commodity but a critical driver of performance in cutting-edge computing applications. Consequently, memory companies have transitioned from being commodity suppliers to becoming critical partners in enabling AI advancements, with increased influence on product development, pricing, competitive positioning, and supply chain dynamics.