Samsung says 2024 HBM supply sold out and forecasts memory shortage through 2028
Samsung Electronics announced that all high‑bandwidth memory (HBM) volumes for 2024 are already allocated and that the supply‑demand gap will persist through 2028 as AI infrastructure demand expands. The company will begin mass production of the next‑generation HBM4E in the first half of 2024 and expects HBM4 revenue to more than triple quarter‑over‑quarter. Samsung also highlighted that HBM4 now accounts for about 60% of its total HBM revenue.
Why it matters
The sold‑out status limits available HBM for AI customers, likely keeping prices high and supporting Samsung's earnings visibility for the next two years (the company says tight conditions will benefit earnings visibility). Analysts at KB Securities expect HBM average selling prices to rise 100‑150% year over year.
Key facts
- 1Samsung said negotiations for next year's HBM volumes were completed at target‑level prices and the volumes are already sold out. finance.biggo.com
- 2Third‑quarter HBM4 revenue more than tripled from the prior quarter. finance.biggo.com
- 3HBM4 now represents 60% of Samsung's total HBM revenue. finance.biggo.com
- 4Samsung plans to start mass production of HBM4E in the first half of 2024. mbiz.heraldcorp.com
- 5Samsung's semiconductor division posted cumulative operating profit of 249.4 trillion won in Q3. mbiz.heraldcorp.com
- 6KB Securities forecasts HBM average selling prices to rise 100‑150% year over year. startupfortune.com
Summary written by AlphAI AI Desk from 5 of 5 sources. Not investment advice. Figures are as stated by the linked sources.