On August 13th, as per a report from Wallstreetcn citing industry sources, it’s indicated that SK hynix has raised the price of its DDR5 DRAM by 15% to 20%. Per the sources, the price hike by hynix is primarily due to the production capacity being squeezed by HBM3/3e. Additionally, the increased orders for AI servers downstream have also strengthened SK hynix’s resolve to raise DDR5 prices.

According to industry sources cited by Economic Daily News, for Taiwanese manufacturers, Nanya Technology has recently started mass production of DDR5, just in time to benefit from this price surge. Module makers such as ADATA and Team Group are also likely to see gains from low-cost inventory.

Nanya Technology has begun shipping its 16Gb DDR5, developed using its 1B process. Nanya Technology is optimistic that the DRAM market is on a clear path to recovery. This may due to last year’s production cuts by the three major memory manufacturers—Samsung, SK hynix, and Micron—as well as the strong demand for HBM driven by generative AI. The resulting chain reaction is expected to positively impact various types of DRAM.

SK hynix previously announced that its entire HBM production capacity for 2024 has been fully booked, with almost all of its 2025 capacity also sold out. To meet customer demand, SK hynix plans to convert over 20% of its existing DRAM production lines to mass-produce HBM.

Samsung, on the other hand, is said to be actively trying to catch up with SK hynix, looking to allocate around 30% of its DRAM production capacity to HBM.

The significant adjustments by Samsung and SK hynix to their production lines have severely squeezed the capacity for DDR4 and DDR5 DRAM, potentially leading to a sharp reduction in supply and causing prices to rise. Reportedly, SK hynix’s price increase for DDR5 primarily targets contract prices.

Read more

• [News] Nanya Technology Chairman Names 10nm 1B Process as Key Expansion Focus for the Year
• [News] DRAM Price Surge Halts, Could HBM Demand Drive Price Increases?

(Photo credit: Nanya Technology)

In the memory sector, the era beyond 10nm seems to be around the corner, as giants have revealed plans on the production of 1c DRAM. SK hynix, according to a report by The Elec, is said to develop a 4F2 (square) DRAM in order to reduce the high cost associated with the extreme ultraviolet (EUV) processes since the commercialization of 1c DRAM.

During an industry conference on Monday, Seo Jae Wook, a SK hynix researcher, questioned the profitability of producing DRAM with EUV technology. Instead, he said that SK hynix is exploring the possibility of manufacturing future DRAMs using vertical gate (VG) or 3D DRAM structure, according to the report.

Sources cited by the report indicate that Samsung and SK hynix are both targeting to apply 4F2 for DRAM at the 10nm node and beyond. According to Seo, by applying VG or the 3D DRAM structure, the cost of the EUV processes can be reduced by half.

SK hynix’s VG, or the so-called 4F2 by memory makers internally, is similar to the vertical channel transistor (VCT) of its South Korean competitor Samsung, The Elec explains.

In short, unlike the traditional 2D DRAM, which only uses the horizontal plane, 4F2, or 3D DRAM, is a cell array structure where transistors are stacked vertically. In the structure, various parts including the source, gate, drain, and capacitor are stacked from bottom to top. As the word line connects to the gate, the bit line connects to the source.

According to the report, arranging the cell array in this manner can reduce the die surface area by 30% compared to 6F2 DRAM.

However, according to a previous report by TweakTown, though the 4F2 design possesses the advantages of being compact and power-efficient, its complexity demands extreme precision in fabrication, higher-quality materials for production, and extensive research to make it scalable and suitable for mass production.

According to TweakTown, Samsung is anticipated to finalize the initial development of VCT DRAM by 2025, with 3D DRAM expected to enter the market by 2030.

Read more

• [News] SK hynix Reportedly Develops NAND over 400 Layers, Eyeing Mass Production Ready by 2025
• [News] SK hynix CEO: Demand for Memory Chips to Remain Robust until 1H25, Driven by HBM

(Photo credit: SK hynix)

Facing increased market demand and the ongoing recovery of the memory industry, a report from Korean media outlet ETNews has reported that Samsung has confirmed its investment plan for the 6th-Generation DRAM production line at the Pyeongtaek P4 plant, with the goal of starting mass production in June 2025.

Reportedly, the 6th-generation DRAM, known as ‘1c ,’ is a next-generation DRAM utilizing 10nm-class technology. Despite it is said to be a product that has not yet been commercialized in the global semiconductor industry, both Samsung Electronics and SK hynix are already preparing for mass production.

Samsung’s Pyeongtaek P4 is a comprehensive semiconductor production center, divided into four phases.

As per ETNews, Samsung plans to initiate 1c DRAM production by the end of this year. The company is said to be considering launching HBM4 using 1c DRAM in the second half of 2025.

Given that HBM consumes significantly more DRAM than traditional memory, it is speculated by the report that Samsung’s construction of the 1c DRAM production line at the Pyeongtaek P4 plant may also be in preparation for HBM4.

As per TrendForce’s latest report on the memory industry, it’s revealed that DRAM and NAND Flash revenues are expected to see significant increases of 75% and 77%, respectively, in 2024, driven by increased bit demand, an improved supply-demand structure, and the rise of high-value products like HBM.

Furthermore, TrendForce also reports that Samsung’s P4L facility will be the key site for expanding memory capacity starting in 2025, starting with NAND production. Equipment installation for DRAM is expected to begin in mid-2025, with mass production of 1c nanometer DRAM slated to commence in 2026.

Read more

• [News] Samsung Develops Custom HBM with Tech Giants, with Commercialization Expected in HBM4
• [News] Overview of Expansion Plans by HBM Giants

(Photo credit: Samsung)

According to TrendForce’s latest memory spot price trend report, neither did the DRAM nor NAND spot prices sees much momentum. DDR5 products are relatively stable, while the spot prices of DDR4 products continue to fall gradually due to high inventory levels. As for NAND flash, the spot market saw no apparent changes from last week at a restricted level of transactions also due to sufficient inventory. Details are as follows:

DRAM Spot Price:

The market has not shown notable changes in terms of momentum, and spot prices of DDR5 products are relatively stable. As for DDR4 products, spot prices continue to fall gradually due to high inventory levels. Overall, spot trading is quite limited in terms of volume due to the constraint imposed by weak consumer demand. The average spot price of the mainstream chips (i.e., DDR4 1Gx8 2666MT/s) dropped by 0.10% from US$1.991 last week to US$1.989 this week.

NAND Flash Spot Price:

The spot market saw no apparent changes from last week at a restricted level of transactions also due to sufficient inventory. Spot prices of 512Gb TLC wafers have risen by 1.17% this week, arriving at US$3.291.

According to TrendForce’s latest memory spot price trend report, neither did the DRAM nor NAND spot prices sees much momentum last week. Spot prices of DDR4 and DDR5 products didn’t show significant fluctuations as the market has not seen a demand uptick. As for NAND flash, the wave of stocking demand during July in response with the peak season in the third quarter of each year didn’t appear. Details are as follows:

DRAM Spot Price:

In the spot market, the overall trading volume has fallen further because the demand for consumer electronics has yet to rebound, and Taiwan’s spot trading was suspended for two days (from July 24th to 25th) due to a typhoon. The spot market as a whole has not seen a demand uptick compared to the previous week, and buyers are mostly waiting for further developments. Consequently, spot prices of DDR4 and DDR5 products have not shown significant fluctuations. The average spot price of the mainstream chips (i.e., DDR4 1Gx8 2666MT/s) dropped by 0.35% from US$2 last week to US$1.993 this week.

NAND Flash Spot Price:

The spot market would usually generate a wave of stocking demand during July in response with the peak season in the third quarter of each year, but has been rather sluggish this year due to the sufficient extent of inventory among end clients, as well as enervated market demand. A small number of spot traders were attempting to lower their quotations tentatively last week in the hope of revitalizing buyers’ demand, which was proven to be quite ineffective. Generally speaking, recent spot market prices have been somewhat lethargic alongside a continuous shrinkage of transactions. Spot price of 512Gb TLC wafers remains unchanged this week at US$3.253.