HBM competition

Micron to Supply HBM to Nvidia H200 GPUs : Shakes Up Market Leader SK Hynix and Samsung

For Micron, a company that held merely 10 %of global market share , this bold move represents a dramatic turnaround compared to SK Hynix which has 50%.
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Introduction:

Recent developments in HBM have brought the rivalry to an unprecedented peak. Key players like Micron Technology, SK hynix, and Samsung Electronics are vying for supremacy in HBM.

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HBM Market

The current HBM market is experiencing rapid growth. Some estimates are suggesting a market size of around $2.52 billion in 2024 and a projected increase to $7.95 billion by 2029. This reflects a Compound Annual Growth Rate (CAGR) of roughly 25.86% . Here are some key points to consider:

  • High demand: The market is driven by the increasing need for high-bandwidth, low-power memory solutions in various sectors like artificial intelligence, high-performance computing, and advanced graphics applications.
  • Tech giants dominate: Leading companies like Micron, SK hynix, and Samsung control a significant portion of the market. SK hynix is currently holding the largest market share (around 50%).
  • Next-gen advancements: The recent introduction of HBM3E by Micron signifies advancements in the technology. This could potentially shift the market dynamics in their favor, especially with Nvidia adopting it for their upcoming GPUs.

Micron HBM Surprising Move

Micron’s surprise move: Micron recently announced they’re already mass producing the next-gen HBM3E memory, stealing a march on rivals SK hynix and Samsung . This is a significant win as their HBM3E will be powering Nvidia’s upcoming H200 GPUs. For Nvidia’s H100 GPU, the HBM memory supplier was SK hynix.

Tech gap widens: Micron’s HBM3E utilizes 1b nanometer DRAM chips, putting them on par with SK hynix’s current offerings. Samsung, however, is lagging behind with 1a nanometer tech, equivalent to older 14-nanometer nodes .

The fight gets dirty: The competition has intensified to the point where SK hynix went to court to prevent a former HBM researcher from joining Micron. This highlights the fierce battle for talent and technological edge.

For Micron, a company that held merely 10 percent of the global market share last year, this bold move represents a dramatic turnaround.

Read more Korean researchers power share NVIDIA with their new AI Chip – techovedas

SK hynix’s Dominance

SK hynix’s utilization of MR-MUF (Mass Reflow-Molded Underfill) packaging technology, along with its strategic partnerships, has been instrumental in solidifying its position at the forefront of HBM production.

As the sole supplier of HBM3 chips for Nvidia’s H100 processor, SK hynix enjoys unparalleled client credibility and profitability.

Read More:SK Hynix to Unveil 16-layer HBM3E technology for the first time at ISSCC 2024 – techovedas

Samsung’s Catch-Up Efforts

On the other hand, Samsung Electronics, despite facing setbacks in the HBM race, is rapidly catching up.

The company’s recent announcement of the development of a 12-layered HBM3E with a capacity of 36GB positions it as a formidable contender in the HBM space.

Moreover,Samsung’s ambitious plans to showcase its advancements at Nvidia’s GPU Technology Conference 2024 underscore its commitment to innovation and competitiveness.

By focusing on technological breakthroughs and strategic collaborations, Samsung aims to close the gap and establish itself as a key player in the HBM market.

Read More: U.S. Set to Indefinitely Suspend Equipment Restrictions for Samsung and SK Hynix in China – techovedas

Implications for the Future

The fierce competition between Micron, SK hynix, and Samsung Electronics in the HBM sector highlights the vital role of innovation, technology, and partnerships in the semiconductor industry.

Experts predict increased competition in the high-performance memory market as companies compete for dominance and meet growing demand.

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