Illustration of the SK Hynix firm brand seen displayed on a smartphone display screen.
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Shares in South Korea’s SK Hynix prolonged beneficial properties to hit a greater than 2-decade excessive on Tuesday, following studies over the weekend that SK Group plans to construct the nation’s largest AI information middle.
SK Hynix shares, which have surged nearly 50% thus far this yr on the again of an AI increase, have been up almost 3%, following beneficial properties on Monday.
The corporate’s mother or father, SK Group, plans to construct the AI information middle in partnership with Amazon Internet Companies in Ulsan, based on home media. SK Telecom and SK Broadband are reportedly main the initiative, with assist from different associates, together with SK Hynix.
SK Hynix is a number one provider of dynamic random entry reminiscence or DRAM — a sort of semiconductor reminiscence present in PCs, workstations and servers that’s used to retailer information and program code.
The corporate’s DRAM rival, Samsung, was additionally buying and selling up 4% on Tuesday. Nevertheless, it is progress has fallen behind that of SK Hynix.
On Friday, Samsung Electronics’ market cap reportedly slid to a 9-year low of 345.1 trillion received ($252 billion) because the chipmaker struggles to capitalize on AI-led demand.
SK Hynix, alternatively, has turn out to be a pacesetter in excessive bandwidth reminiscence — a sort of DRAM utilized in synthetic intelligence servers — supplying to purchasers reminiscent of AI behemoth Nvidia.
A report from Counterpoint Analysis in April stated that SK Hynix had captured 70% of the HBM market by income share within the first quarter.
This HBM energy helped it overtake Samsung within the total DRAM marketplace for the primary time ever, with a 36% international market share as in comparison with Samsung’s 34%.