Investing.com – South Korean memory chip maker SK Hyniks Inc. (KS:) said Thursday it recently signed an agreement with chip giant TSMC (NYSE:) to develop next-generation memory chips amid growing demand from the artificial intelligence industry.
SK Hynix said in a press release that they will collaborate on the development of the sixth generation of high-bandwidth memory chips (HBM4), which the company plans to begin mass production in 2026. The partnership will see them leverage SK Hynix’s memory chip expertise and TSMC’s foundry. opportunities for developing new chips.
SK Hynix is among the world’s largest memory chip manufacturers and is currently the sole developer of advanced HBM chips, demand for which has surged in recent months amid increased interest in artificial intelligence development.
“Through this collaboration, we will further strengthen our market leadership as an artificial intelligence memory supplier, enhancing our competitiveness in the field of dedicated memory platforms,” said Justin Kim, President and Head of AI Infra Business Unit at SK Hynix. statement.
The firm is a major supplier to AI darling NVIDIA (NASDAQ:), which uses SK Hynix’s HBM blocks in its AI processors.
TSMC, the world’s largest contract chipmaker, has also benefited from increased demand for artificial intelligence. The company this week posted better-than-expected first-quarter earnings, although slightly softer forecasts suggest demand for AI-powered chips may now weaken.
SK Hynix is also facing increased competition in the HBM space as competitors Samsung Electronics Co. Ltd. (KS:) and Micron Technology Inc (NASDAQ:) recently signaled that they will begin developing more products aimed at the artificial intelligence industry.