SK Hynix CEO Kwak No-jung Predicts AI Memory Supply Shortage to Last Until 2030
Kwak No-jung, CEO of SK Hynix, stated that the shortage of memory semiconductors caused by the spread of artificial intelligence (AI) could continue until after 2030. Customers are anticipating a prolonged supply shortage and are expanding long-term supply contracts. In an interview with Bloomberg on the 10th, CEO Kwak said, "Customers believe that the memory shortage will last longer, which is why they are entering into long-term contracts." He diagnosed that the expansion of AI investments is fundamentally changing the structure of the memory market, explaining that customers are prioritizing securing stable volumes. With data center operators increasing their investments in AI infrastructure, the demand for DRAM and high-bandwidth memory (HBM) is surging, further exacerbating the memory supply shortage. Although memory companies are working to expand production capacity, building new semiconductor factories takes years, making it difficult to meet the rapidly increasing AI demand in the short term. The market believes that as long as investments in AI data centers continue, the memory supply shortage is likely to persist structurally.
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