``` The huge profits of SK Hynix and Samsung are the opportunities for Chinese storage companies. ```

The soaring prices of memory chips have brought substantial profits to Samsung Electronics and SK Hynix, but this ongoing supply shortage is opening up a market window for Chinese memory manufacturers. Industry experts warn that if the supply-demand imbalance continues into the first half of 2027 or beyond, the boom era for Korean companies may instead become a golden opportunity for Chinese competitors to narrow the technological gap.

According to DIGITIMES on Tuesday, at a recent seminar in Korea on next-generation semiconductor technology trends, Sungkyunkwan University professor Seok-jun Kwon pointed out that the memory industry is experiencing a supercycle, with DRAM prices soaring by 300-400% within just a few months. However, Samsung, SK Hynix, and Micron cannot meet global demand, which creates opportunities for Chinese memory makers to enter the market.

Kwon emphasized that the expansion potential of Chinese companies is not limited to the consumer retail sector, but also includes the enterprise market. Even if they capture only 5-10% of the market share, it would be enough to generate momentum for future growth.

If Chinese companies can gain more technical experience during this window period, it will have a profound impact on the global memory chip landscape.

Speed of Technological Catch-Up Exceeds Expectations

Chinese memory manufacturers are catching up to leading Korean firms at an astonishing speed. In early 2025, while SK Hynix supplies third-generation high-bandwidth memory (HBM3E) chips, Changxin Memory Technologies (CXMT) will still be developing HBM2 technology, but by mid-2025, reports indicate it has already leaped to HBM3 development.

Kwon noted that CXMT's rapid progress is fueled not only by its own financial resources but also by investments from local governments and Huawei. New technology testing is conducted not just at CXMT's own factories, but also frequently in Guangdong and Shanghai plants invested in by Huawei, enabling the company to identify viable solutions before ramping up internal production. This model has allowed CXMT to shorten its R&D cycle and quickly commercialize technological innovations.

Strategic Significance of the Market Window

For Chinese companies, the current market opportunity has dual value. On one hand, global supply shortages have reduced customers' sensitivity to technological gaps, creating market space for relatively less advanced products. On the other hand, the sustained high-price environment provides ample profit margins for Chinese companies to support investment in R&D.

Kwon warns that if the supply shortage continues until the first half of 2027 or later, it actually gives Chinese manufacturers more time to acquire technical expertise. The real risk for Korean companies is that if they fail to convert current windfall profits into higher technological barriers, once the market cools down, Chinese competitors may erode their advantages.

The Technological Watershed of the AI Era

Leading memory manufacturers must adapt to the AI era to maintain their status. The performance bottleneck for AI has shifted from core computing power to memory, and power consumption will especially determine whether memory manufacturers can enter the edge AI market. Although HBM remains the dominant technology, its structural limitations mean that alternatives will inevitably emerge.

According to Kwon, one key trend is increased use of SRAM: although it is more expensive and takes up more space, its ultra-low latency makes it more attractive for certain AI models than traditional DRAM. Future technological advancements will focus on TSV (Through-Silicon Via) density, shortening the distance between memory and the core, and developing new interconnect technologies that go beyond silicon interposers.

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