Micron and Samsung Compete for HBM3E Dominance

Reports indicate that due to rising demand driven by supply chain uncertainties, Samsung, Micron, and other HBM (High Bandwidth Memory) manufacturers are fast-tracking their HBM3E production. Samsung's HBM3E solution is limited to 8-layer configurations, while Micron is poised to compete with SK Hynix for the top spot in the market.

The HBM market has experienced a surge in orders from suppliers like NVIDIA, prompting the supply chain to adopt preemptive tariff measures to avoid the impact of potential new duties. Additionally, reports from South Korea suggest that both Samsung and Micron are engaged in fierce competition for the HBM3E market, with each company focusing on 8-Hi and 12-Hi configurations to meet high demand. NVIDIA is also seeking to diversify its supply chain, reducing its dependence on SK Hynix.

According to Sedaily, Samsung expects to begin mass production of HBM3E as early as next month, although it still awaits NVIDIA's certification. Given recent positive remarks from NVIDIA's CEO, Jensen Huang, regarding Samsung's progress in the HBM sector, the South Korean tech giant is confident that a deal will be reached soon. Securing HBM contracts is crucial for Samsung, as it strives to close the gap with its competitors in the HBM technology space.

In a separate report by Sisa Journal, Micron is expected to challenge SK Hynix's dominance in the HBM market, with the company having already commenced mass production of 12-layer HBM3E. This technology is reportedly set to integrate with NVIDIA's upcoming "Blackwell Ultra" B300 AI servers. Micron's HBM3E production lines are already sold out, and the company is actively expanding its capacity, signaling its intention to capture a significant market share currently held by SK Hynix.

The HBM market's expansion shows no signs of slowing down, with industry attention now turning to next-generation solutions like HBM4. This presents significant opportunities for companies like Micron and SK Hynix to leverage their advancements in the evolving landscape.