SK Hynix rebuts concerns about AI investment slowing: will continue to remain solid even after next year

PANews July 29, citing Jintou, SK hynix (SKHY.O) said during the Q2 earnings conference call that: “We have noticed that, as some large technology companies are reexamining their data center leasing business and the rise of efficient AI models, there are concerns that AI infrastructure investment may slow down. We believe these moves are not about cutting AI investment, but about improving utilization and accelerating the monetization of large-scale AI infrastructure.” SK hynix said that the widespread adoption of efficient AI models is unlikely to lead to a decline in demand for infrastructure and memory. As model and system efficiency improve, more users can access a variety of services on the same infrastructure, thereby expanding the accessibility and coverage of AI services. Given that even the recently launched efficient AI models have seen explosive user demand, efficiency improvements are driving broader service adoption and raising overall utilization rates. SK hynix said that in mid- to long-term demand discussions with major customers, the company also confirmed the sustainability of its AI investments. It believes AI infrastructure investment will remain solid after next year as well.