As demand for PCs and smartphones remains tepid, prices of commodity 3D NAND and DRAM continue to slide, leading to deepening losses for manufacturers. But in its second quarter financial results SK Hynix now says that it sees recovery of the memory industry thanks to increasing demand for HBM2 and HBM3 memory used by artificial intelligence (AI) servers as well as DDR5 SDRAM that are sold at a premium.
"Amid an expansion in generative artificial intelligence (AI) market, which has largely been centered on ChatGPT, demand for AI server memory has increased rapidly," a statement by SK Hynix reads. "As a result, sales of premium products such as HBM3 and DDR5 increased, leading to a 44% sequential increase in revenue for the second quarter, while operating loss narrowed by 15%."
