SK hynix predicts AI memory market growth at 30% per annum to 2030.

SK hynix forecasts a 30% annual growth in the AI memory market until 2030, driven by increasing demand from AI applications. As a leading memory chip manufacturer, SK hynix is well-positioned to capitalize on this trend, which is expected to drive significant growth in the sector.

South Korean memory chipmaker SK Hynix (OTCPK: HXSCF) has forecasted a 30% annual growth in the AI memory market until 2030, driven by increasing demand from AI applications. This optimistic outlook comes from a senior executive at SK Hynix, Choi Joon-yong, who heads the HBM business planning division. The company expects the custom HBM market to reach tens of billions of dollars by 2030 [1].

The strong demand for AI memory chips is fueled by the significant capital spending on AI by major tech companies such as Amazon (AMZN), Microsoft (MSFT), and Alphabet's Google (GOOGL). Choi Joon-yong noted that the relationship between AI build-outs and HBM purchases is "very straightforward," and there is a direct correlation between the two [2].

SK Hynix's projections are considered conservative, factoring in constraints such as available energy. The company anticipates that customers will increasingly seek customized memory solutions, with larger clients like Nvidia (NVDA) already receiving individual customization. The next-generation HBM chips, HBM4, are expected to launch in the second half of 2025 or 2026, with substantial revenue anticipated in 2027 [3].

SK Hynix's optimism is bolstered by the fact that HBM chips are dynamic random access memory (DRAM) chips that provide a wider data channel, lower latency, and reduced power consumption, making them essential for high-performance computing, particularly in AI and machine learning applications. The company's market position is strengthened by its role as the main HBM supplier to Nvidia and Apple (AAPL) [3].

While the AI memory market is poised for significant growth, SK Hynix remains vigilant about potential market dynamics. For instance, Samsung Electronics has cautioned that current generation HBM3E supply may outpace demand growth in the near term, which could weigh on prices [2]. However, SK Hynix is confident in its ability to provide competitive products to meet customer needs.

References:
[1] https://seekingalpha.com/news/4482978-sk-hynix-expects-ai-memory-market-to-grow-30-a-year-to-2030---report
[2] https://www.reuters.com/world/asia-pacific/sk-hynix-expects-ai-memory-market-grow-30-year-2030-2025-08-11/
[3] https://stocktwits.com/news-articles/markets/equity/advantage-micron-sk-hynix-sees-hbm-chip-sales-growing-30-percent-every-year-through-2030/chruk9CRd4r