Memory chip boss admits RAM prices are 'abnormally high'

The head of SK Group, which owns SK Hynix, admitted that current memory semiconductor prices are 'abnormally high' and emphasized the need to increase supply to lower costs. While AI companies can abs... Read original →

SK Group’s acknowledgment of 'abnormally high' memory prices reflects the inevitable mismatch between AI-driven demand and constrained supply. Technologically, HBM’s reliance on EUV lithography raises barriers for advanced DRAM, yet mainstream PC/smartphone segments—still using conventional DDR—lack pricing power, fueling 'chipflation.' Geopolitical pressures accelerate China’s domestic substitution: CXMT and YMTC are now supplying global brands like Lenovo and Corsair, introducing yield and IP compliance risks. Samsung and Micron will likely preserve supply discipline to protect margins, while SK Hynix may front-run capacity expansion to lock in AI clients. Within 12–24 months, as HBM3E/HBM4 ramps and Chinese output surges, the market will likely plunge into a price war, echoing the brutal 2019 downturn.