SK Group Chairman Chey Tae-won has raised concerns that the ongoing global shortage of AI memory chips might soon become a geopolitical flashpoint as the gap between demand and supply widens. According to Chey, the availability of these advanced memory chips is increasingly being viewed by governments as a critical aspect of economic security, potentially leading to international pressure to ensure a steady supply.
Chey highlighted a substantial surge in customer demand, with requests for AI memory chips projected to rise by 60% to 100% by 2027 compared to current levels. Despite this growing demand, he pointed out that new production capabilities are not keeping pace, particularly in the area of high-bandwidth memory (HBM), which is essential for AI processors and is currently experiencing the most significant shortages.
In response to these challenges, SK hynix is stepping up its investment efforts to expand manufacturing capabilities. The company is fast-tracking the development of new production facilities within South Korea and is also considering potential sites abroad, including in the United States. Chey underscored the urgency of ramping up production to sustain South Korea’s competitive edge in the semiconductor sector and to avoid prolonged high prices that might invite new competitors and disrupt the global market balance.