SK Hynix CEO: In 2027, it will be the most supply-constrained year in the storage industry’s history

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Mars Finance news: On July 12, SK hynix CEO Kwak Roh Jeong said this week that 2027 is expected to become the most supply-tight year in the history of the storage industry. Customers are actively seeking long-term supply agreements, and even with ongoing capacity expansions, demand may still exceed supply after 2030. On its first day of ADR trading, SK hynix shares rose 12.76%. The company raised about $26.5 billion, setting a new record for overseas companies’ IPO financing in the US. The company said the proceeds will be mainly used to invest in fabs, advanced packaging production lines, and lithography equipment, and to further strengthen collaboration with AI customers and build an AI talent pipeline. Meanwhile, Kwak Roh Jeong revealed that the company is exploring a “memory-as-a-service” model, and in the future may provide customers with storage resource leasing services rather than directly selling chips. Industry institutions expect that, driven by AI compute demand, the HBM market will remain undersupplied, and HBM4 prices are expected to double in 2027 compared with 2026. Global HBM manufacturers are locking in capacity by signing 3- to 5-year long-term agreements with leading AI customers.
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