The chip offers a 10% improvement in heat dissipation and can process up to 1.18 terabytes of data per second.
SK Hynix Inc has initiated mass production of its next-generation high-bandwidth memory (HBM) chips, HBM3E, primarily used in artificial intelligence chipsets. The initial shipments of these chips are expected to be delivered to Nvidia this month.
The new HBM3E chip offers a 10% improvement in heat dissipation and can process up to 1.18 terabytes of data per second. SK Hynix’s HBM capacity is fully booked for 2024, driven by the surging demand for AI chipsets and the high-end memory chips used in them.
The HBM3E chip is at the centre of intense competition, with Micron Technology announcing its mass production last month and Samsung Electronics revealing the development of the industry’s first 12-stack HBM3E chips.
Samsung Electronics could reportedly adopt a chip-making technology used by SK Hynix to boost the production of HBM chips. The company will likely use both-non conductive film or NCF (currently in use) and MUF techniques for its latest HBM chips
SK Hynix has maintained a leading position in the HBM chip market as the exclusive supplier of the HBM3 version to Nvidia, which holds an 80% market share in AI chips. The company anticipates that the successful mass production of HBM3E, combined with its experience as the first provider of HBM3, will strengthen its leadership in the AI memory space.
Kim Un-ho, an analyst at IBK Investment & Securities, stated that SK Hynix has secured a dominant market position and is expected to have the most aggressive volume increase in high-end memory chips among chipmakers.
SK Hynix shares have doubled in value over the past 12 months, indicating its leadership in HBM chips.
