SK Hynix Joins $1 Trillion Club as AI Chip Boom Fuels Semiconductor Rally 

SK Hynix crossed the $1 trillion market value milestone as soaring AI-driven memory chip demand lifted semiconductor stocks worldwide. 

SK Hynix crossed the $1 trillion market valuation mark for the first time on Wednesday, joining Samsung Electronics and Micron Technology as global chipmakers benefiting from the booming artificial intelligence (AI) market.

The South Korean memory chip giant saw its shares jump 9.3% by the close after surging nearly 15% during trading. The rally lifted the company’s market capitalisation to a record 1,680 trillion won ($1.12 trillion). The surge also pushed South Korea’s benchmark KOSPI index to a fresh all-time high.

Strong global demand for advanced memory chips used in AI servers and Nvidia-powered AI systems has tightened supply and sharply increased prices. Industry estimates show memory chip prices doubled in the first quarter and could rise by as much as 63% in the current quarter as AI data centre demand continues to outpace supply.

The strong momentum has turned semiconductor companies into the biggest beneficiaries of the AI boom. South Korea has now become the first country outside the United States to have more than one trillion-dollar company, with Samsung and SK Hynix reaching the milestone within weeks of each other. Taiwan’s TSMC remains the only other Asian company in the trillion-dollar club.

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The rally in Samsung and SK Hynix also boosted the broader stock market, with the KOSPI emerging as one of the world’s best-performing indexes this year. Analysts believe the memory chip cycle still has room to grow, with demand expected to exceed supply until at least 2028.

Investor interest has also expanded into semiconductor-focused exchange-traded funds (ETFs). Newly launched leveraged ETFs linked to Samsung and SK Hynix recorded strong gains on their debut as retail investors rushed to increase exposure to the AI-driven semiconductor sector.

Samsung shares have risen 149% this year, while SK Hynix has surged 215%, highlighting the scale of investor optimism surrounding the global AI chip race.

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Nikita Kumari
Nikita Kumari
Nikita Kumari is a Journalist at EFY. She decodes deals, investments, and policy shifts, redefining the semiconductor and tech landscape.

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