HBM chips to be double-digit percentage of 2024 DRAM chip sales

South Korea’s SK Hynix, an Nvidia supplier, expects high-bandwidth memory (HBM) chips used in artificial intelligence chipsets to take up double-digit percentage of its DRAM chip sales in 2024, up from a single-digit percentage in 2023, CEO Kwak Noh-Jung said on Wednesday.

HBM chips are advanced memory chips in high demand for use in the graphic processing units (GPUs) produced by Nvidia and others that process vast amounts of data in generative AI.

SK Hynix has led the HBM chip market by virtue of being the sole supplier of the version currently used – the HBM3 – to Nvidia, which has 80% of the market for AI chips.

Analysts have estimated HBM chips will climb to 15% of industry-wide DRAM sales this year, up from 8% in 2023. Reuters