As China's Memory Industry Grows, SK Hynix Dismisses Glut Fears: 'We Do Not Believe' Oversupply Is Near
SK Hynix Inc. (NASDAQ: SKHY ) on Wednesday pushed back against concerns that aggressive investment in AI memory production could lead to a supply glut, saying it does not expect its expansion plans to create oversupply in the near future. “We do not believe our medium- to long-term investment plans will lead to oversupply right away,” Song Hyunjong, President of Corporate Center, said during the company’s second-quarter earnings call. AI Demand Continues to Outpace Supply SK Hynix said its investment strategy remains tied to confirmed customer demand rather than speculative capacity expansion, adding that long-term supply agreements and growing adoption of high-bandwidth memory provide confidence in future demand. The company expects 2026 capital expenditure to reach the high end of its previously guided 40 trillion KRW ($27.58 billion) range as it expands high-bandw...
SK Hynix Inc. (NASDAQ: SKHY ) on Wednesday pushed back against concerns that aggressive investment in AI memory production could lead to a supply glut, saying it does not expect its expansion plans to create oversupply in the near future. “We do not believe our medium- to long-term investment plans will lead to oversupply right away,” Song Hyunjong, President of Corporate Center, said during the company’s second-quarter earnings call.
AI Demand Continues to Outpace Supply SK Hynix said its investment strategy remains tied to confirmed customer demand rather than speculative capacity expansion, adding that long-term supply agreements and growing adoption of high-bandwidth memory provide confidence in future demand. 58 billion) range as it expands high-bandwidth memory (HBM) production and advanced packaging capacity. The Nvidia Corp. (NASDAQ: NVDA ) supplier said AI infrastructure bottlenecks could delay some AI projects, but maintained that investment will remain robust beyond next year, driven by cloud providers’ AI spending and broader AI adoption.
55 billion) in Asia’s biggest IPO this year, becoming China’s most valuable listed compan y. 67% share of the global DRAM market in the fourth quarter of 2025. ’s 39% share while remaining ahead of Micron Technology Inc. ‘s (NASDAQ: MU ) 22%.
The South Korean chipmaker expects third-quarter DRAM shipments to rise about 10% and NAND shipments to increase about 3%, while the full-year demand forecast is roughly 25% growth for DRAM and 18% for NAND. 11 billion) consensus estimate compiled SmartEstimate. 67 billion). 37% in the early hours of pre-market trading on Wednesday.
47). edge rankings indicate SKHY has a Value score in the 51st percentile and a Growth score in the 97th percentile. Read Also: Boeing Aircraft Operated by US Government Contractor Linked to Weapons, Drone Transport for Sudan's RSF: Report Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published editors. com