NVIDIA Urges Samsung to Expedite HBM4 Amid AI Chip Race
South Korean Firms Dominate Global HBM4 Market, Controlling Over 80% as AI Demand Surges
NVIDIA, the undisputed leader in AI semiconductors, has reportedly requested Samsung Electronics to expedite the supply of its sixth-generation high-bandwidth memory (HBM4). Samsung is currently conducting final quality inspections for mass production of HBM4 in February, but NVIDIA has asked for immediate supply regardless of test results. This move is seen as a race to secure HBM4 inventory amid fierce competition from rivals like AMD and Google, which are also designing AI chips. Analysts suggest that domestic memory firms, riding the “memory supercycle,” have risen to the status of “super suppliers” in the industry.
◇Dominant Position of K-Memory
NVIDIA reportedly asked Samsung to supply HBM4 even before completing reliability and quality evaluations. Both Samsung and SK Hynix are currently finalizing quality tests for HBM4. Given that the product has already passed basic quality checks, NVIDIA is pushing for accelerated supply despite minor pending tests. This marks a reversal from Samsung’s previous position, where it anxiously awaited NVIDIA’s approval for HBM3E. NVIDIA plans to integrate HBM4 into its next-generation AI chip, “Rubin.”
This underscores the dominant role of South Korean memory firms in the global AI and semiconductor supply chain. While NVIDIA and big tech companies previously held the reins of the AI ecosystem through GPU production and AI model operations, the landscape has shifted. Without HBM to support computational performance, cutting-edge AI accelerators cannot function. As HBM availability directly impacts AI chip launches and data center expansions, Samsung and SK Hynix now control critical bottlenecks in the global AI industry.
According to Counterpoint Research, SK Hynix is projected to hold 54% of the global HBM4 market share this year, with Samsung securing 28%, collectively dominating over 80%.
Kim Dong-won, head of KB Securities’ research division, stated,
Samsung and SK Hynix now resemble TSMC, which commands the majority of advanced semiconductor production and sets prices unilaterally.
”In the AI era, GPUs were essential assets, but this dominance is now extending to memory.”
The shortage of general-purpose memory, caused by focused HBM production, has further strengthened the bargaining power of memory firms. DRAMeXchange reports that consumer DRAM prices surged from $1.35 in January last year to $11.50 in January this year—a 750% increase. NAND flash prices also rose from $2.18 to $9.46 during the same period. NVIDIA CEO Jensen Huang, after a dinner with Taiwanese supply chain executives on the 31st, remarked, “Memory will be in high demand this year. The entire supply chain will struggle due to overwhelming demand.”
◇Soaring Performance of K-Semiconductors
The shifting influence of memory semiconductors is reflected in the improved earnings forecasts for Samsung and SK Hynix. Morgan Stanley projects their operating profits for this year at 24.5 trillion and 17.9 trillion Korean won, respectively—a four- to fivefold increase from last year’s 4.36 trillion and 4.72 trillion.
Morgan Stanley noted,
Both companies entered an unprecedented supply-constrained phase in 2026, with all memory inventory sold out this year.
”Compared to the past, they now operate with higher capital efficiency and a high-margin structure.”
READ the latest news shaping the AI Chips market at AI Chips News
NVIDIA Urges Samsung to Expedite HBM4 Amid AI Chip Race, source
Add comment