According to Business Korea, on Friday, Nvidia is reportedly encouraging competition between Samsung Electronics and SK Hynix, both leaders in the High Bandwidth Memory (HBM) market.
Samsung announced its intention to maintain a technological lead, indicating that competition in the HBM market is intensifying. Analysts suggest that Nvidia aims to lower the costs of HBM supplied to them by fostering competition.
Wall Street sources note that Nvidia’s stock is on a downward trend in the New York Stock Exchange, with competitors like AMD failing to meet market expectations recently.
Concerns about Nvidia’s financial reports are growing as HBM prices have surged, increasing development costs significantly. Since 2023, prices for the third generation of HBM, HBM3 DRAM, have risen more than fivefold.
There is speculation about Nvidia’s ambiguous role in the HBM market, with suggestions that it has leaked information to stir competition among current and potential suppliers to reduce prices.
A meeting in Silicon Valley on March 25 between Nvidia’s CEO Jensen Huang and SK Group Chairman Choi Tae-won is believed to be related to this strategy.
The ongoing price war and technical competition could have positive long-term effects, as Samsung and SK Hynix aim to enhance their technological capabilities, making HBM faster and more cost-effective, thereby boosting their market competitiveness.
Keep visiting for more such awesome posts, internet tips, lifestyle tips, and remember we cover,
“Everything under the Sun!”
Follow Inspire2rise on Twitter. | Follow Inspire2rise on Facebook. | Follow Inspire2rise on YouTube
