Samsung Electronics Chairman Lee Jae-yong was recently joined by senior executives from the company's semiconductor and display departments on a rare visit to China. Industry analysts in South Korea say the joint trip is highly unusual and likely points to a strategic pivot in Samsung Group's China operations.
Hanmi Semiconductor has increased the price of its thermal compression bonder (TC Bonder; TCB), a critical piece of equipment for high-bandwidth memory (HBM) production, by 25% starting April 1. This marks the company's first price hike for TCB equipment, according to reports from South Korean media outlets ET News and Money Today.
Samsung Electronics Chairman Lee Jae-yong recently made a high-profile visit to China, meeting with leading Chinese automaker executives and President Xi Jinping. South Korean analysts suggest the trip was more than diplomatic optics—it reflects Samsung's bid to capitalize on China's surging artificial intelligence (AI) demand and revive its faltering semiconductor division.
Hiroshi Kawamoto, Division Officer, Finance Division of Tokyo Electron Limited (TEL), one of Japan's leading semiconductor equipment manufacturers, projects that demand for high-bandwidth memory (HBM) equipment—vital for powering generative AI—will continue to grow. However, he anticipates that sales of front-end semiconductor manufacturing processes in 2025 will likely remain on par with 2024 levels.
Following the announcement of a price increase by Micron, the world's third-largest DRAM manufacturer, South Korean media analysis indicates that the other two major DRAM players, Samsung Electronics and SK Hynix, are also expected to raise their prices soon. According to a report from South Korea's Chosun Biz, demand related to artificial intelligence has exceeded expectations, and the inventory levels of general memory have gradually depleted.
A recent survey from South Korea reveals a significant boost in the country's top 500 companies' performance in 2024. Operating profits soared by 66% compared to 2023, reaching KRW73 trillion (approx. US$51.1 billion), with the semiconductor industry leading the charge. Major players such as SK Hynix and Samsung Electronics are driving the country's IT and electronics sector, contributing to an astounding 854% increase in operating profits for the industry as a whole.
Global investment in front-end fab equipment is projected to increase by 2% year over year to US$110 billion in 2025, marking the sixth consecutive year of growth since 2020, according to SEMI. Expenditure is forecast to rise by 18% the following year, totaling US$130 billion.
SK Hynix announced during its 77th shareholders' meeting that it will determine product volume for its high bandwidth memory (HBM) lineup in the first half of 2025. CEO Noh-Jung Kwak stated that customer negotiations for 2026 HBM product allocations will conclude by mid-2025 to enhance sales stability, according to South Korean media reports, including JoongAng Ilbo and Hangkyung.
Silicon Motion Technology has entered the AI humanoid robotics supply chain and anticipates substantial growth from this area over the next five years, according to the flash device controller specialist.
SK Hynix has completed the full acquisition of Intel's NAND Flash division, concluding a four-year process. The assets will be integrated under Solidigm, SK Hynix's US subsidiary, to enhance R&D collaboration for enterprise-grade SSDs.
Phison Electronics is accelerating its AI push through key partnerships, most notably with Ever Fortune.AI Co. The two companies have launched a joint venture, Chang Lian Technology, to develop AI-driven healthcare robots powered by Phison's proprietary aiDAPTIV+ platform. The first commercial unit is expected to debut as early as 2026, according to MarketScreener.
As the memory chip market re-enters a favorable cycle, industry forecasts predict that Samsung Electronics and SK Hynix's operating profits in 2025 could surge by 40% compared to previous predictions. Samsung's operating profit is expected to reach KRW41 trillion (US$28 billion), returning to levels seen during its peak years. SK Hynix will likely achieve a historic high, with operating profits possibly reaching KRW29 trillion.
The surging demand for artificial intelligence has compelled memory manufacturers to implement widespread price increases. The supply chain has been informed by Micron Technology about impending "across-the-board price increases," according to industry sources.
Innodisk's chairman, Randy Chien, forecasts that while cloud AI dominated in 2024, attention will turn to edge AI in 2025. He anticipates significant growth in edge AI, fueled by the rise of generative AI and the potential for Artificial General Intelligence, with projected annual revenues reaching NT$10 billion (US$300 million).
Micron Technology showcased its latest AI-optimized memory technologies at GTC 2025, unveiling advanced DRAM solutions designed for data center and high-performance computing (HPC) applications. The company emphasized its growing role in accelerating artificial intelligence (AI) workloads—not just with Nvidia, but potentially across a broader ecosystem.
China's AI sector regained traction in early 2025 with the breakout launch of DeepSeek, a homegrown AI model that revitalized industry confidence and reignited momentum across the memory and storage ecosystem.
According to industry sources, all major memory chipmakers aim to boost their quotes for the second quarter of 2025, resulting in a change towards a more bullish market attitude.
SK Hynix is reportedly accelerating equipment installation at its M15X fab in Cheongju, South Korea, moving the original timeline forward from December to October in response to surging demand for high-bandwidth memory (HBM). Supply chain sources say vendors are now operating under heightened urgency as they scramble to meet the new schedule.
Nvidia CEO Jensen Huang visited the Samsung Electronics booth at GTC 2025 on March 20, Pacific Time, where he left a signature including the words "Samsung," "GDDR7 rocks!" and "RTX on!"
Industrial memory module specialist Innodisk has been diligently pursuing order opportunities from Chinese CSPs and network device customers and anticipates that its sales growth in the second half of 2025 will surpass that of the first half.
Micron's strong second-quarter earnings, driven by surging data center and HBM demand, signal a memory market recovery. Exceeding revenue estimates and forecasting continued growth, Micron's results suggest improved profitability and a potential market turnaround despite slight margin fluctuations.
Micron's HBM revenue exceeded US$1 billion this quarter. The company expects multibillion-dollar HBM revenue by 2025 and plans to start HBM4 production in 2026 while expanding capacity. Additionally, Micron noted its limited exposure to mature products despite aggressive production expansion by its Chinese counterparts.
