A looming 32% reciprocal tariff from the US on Taiwan is set to reverberate through the memory module industry, with consumer electronics demand likely to bear the brunt. Industry insiders report that US distributors, constrained by lean inventories and depleted low-cost stockpiles, are scrambling to shore up supplies. Upstream memory manufacturers continue to push for price hikes, but the looming tariff costs may precipitate a decline in overall demand, potentially upending the anticipated supply constraints in the latter half of the year.

Surpassing Samsung in DRAM market share for the first time in its 40-year history can be attributed mainly to SK Hynix's dominance in the high bandwidth memory (HBM) market. Samsung's inability to keep pace with the AI era is seen as a significant factor in its loss of the top spot.

As the US-China trade war intensifies, Chinese memory module manufacturers are ramping up procurement efforts to secure inventory for at least two to three quarters. Industry insiders reveal that fears of supply chain disruptions, exacerbated by escalating tariff barriers, have prompted these firms to accelerate stockpiling. This unexpected surge in demand has bolstered upstream suppliers and supply chain operations, enabling some companies to meet sales targets ahead of schedule.

After nearly ten months, SK Group chairman Tae-won Choi's private jet landed again in Taiwan, signaling renewed efforts to deepen ties with key players in the AI supply chain. Exclusive images obtained by DIGITIMES show the jet on the tarmac, marking the start of a discreet two-day visit that includes closed-door meetings with top Taiwanese OEMs such as Inventec and Wistron Corporation, as well as a confidential session with TSMC.

Micron Technology will reportedly add a surcharge to US product sales in response to tariffs implemented during the Trump administration. This move, aimed at offsetting import costs, may impact market demand despite protecting Micron's margins amidst ongoing trade tensions.

At its GTC event in March, Nvidia unveiled the B300 and GB300 AI accelerators, both scheduled for a mid-2025 release. The GB300, featuring significantly higher performance and power consumption than the GB200, will require full liquid cooling and more advanced packaging technologies.

The meteoric rise of generative AI has unleashed an insatiable demand for computational power, propelling the memory industry into a fierce technological crucible. While Samsung Electronics continues to catch up with competitors in high-bandwidth memory (HBM), the company is proactively advancing its storage technologies. At its Xi'an facility in China, Samsung has constructed an in-house data center, embracing immersion cooling to validate the compatibility of solid-state drive (SSD) materials with cutting-edge coolants.

Samsung Electronics plans to increase DRAM and NAND Flash memory prices by 3-5% in response to potential new US semiconductor tariffs, according to reports from South Korean media. The global tech giant is currently negotiating these price adjustments with major clients, with some customers already beginning contract discussions based on the anticipated increases.

These are the most-read DIGITIMES Asia stories from the week of March 31 – April 5. From sweeping US tariff hikes to strategic moves by major tech players, here's a quick look at the headlines that captured industry attention.

Towa, a prominent name in Japan's semiconductor manufacturing equipment industry, has introduced a new technology specifically designed for the sixth-generation high bandwidth memory (HBM4) advanced packaging. In addition to this development, the company revealed a strategic three-year midterm plan set to culminate in March 2028. The aim is to expand its sales channels throughout Asia for its leading equipment. Towa forecasts a 31% increase in consolidated revenue from March 2025 figures, expecting it to reach JPY71 billion (US$473.97 million), while net profit is projected to rise by 39% to JPY10.9 billion.

The memory market has shown signs of stabilization after a notable downturn, with recent price increases indicating a positive shift. This transition comes in the wake of manufacturers announcing impending price hikes, resulting in a rebound in spot market quotes for DRAM and NAND Flash products over the past month.

Samsung Electronics Chairman Lee Jae-yong was recently joined by senior executives from the company's semiconductor and display departments on a rare visit to China. Industry analysts in South Korea say the joint trip is highly unusual and likely points to a strategic pivot in Samsung Group's China operations.

Hanmi Semiconductor has increased the price of its thermal compression bonder (TC Bonder; TCB), a critical piece of equipment for high-bandwidth memory (HBM) production, by 25% starting April 1. This marks the company's first price hike for TCB equipment, according to reports from South Korean media outlets ET News and Money Today.

Samsung Electronics Chairman Lee Jae-yong recently made a high-profile visit to China, meeting with leading Chinese automaker executives and President Xi Jinping. South Korean analysts suggest the trip was more than diplomatic optics—it reflects Samsung's bid to capitalize on China's surging artificial intelligence (AI) demand and revive its faltering semiconductor division.

Hiroshi Kawamoto, Division Officer, Finance Division of Tokyo Electron Limited (TEL), one of Japan's leading semiconductor equipment manufacturers, projects that demand for high-bandwidth memory (HBM) equipment—vital for powering generative AI—will continue to grow. However, he anticipates that sales of front-end semiconductor manufacturing processes in 2025 will likely remain on par with 2024 levels.

Hanwha Semitech is poised to expand its supply of thermal compression bonding machines (TCB) for high-bandwidth memory (HBM) production to SK Hynix.

Following the announcement of a price increase by Micron, the world's third-largest DRAM manufacturer, South Korean media analysis indicates that the other two major DRAM players, Samsung Electronics and SK Hynix, are also expected to raise their prices soon. According to a report from South Korea's Chosun Biz, demand related to artificial intelligence has exceeded expectations, and the inventory levels of general memory have gradually depleted.

These are the most-read DIGITIMES Asia stories from the week of March 24 – March 29.

A recent survey from South Korea reveals a significant boost in the country's top 500 companies' performance in 2024. Operating profits soared by 66% compared to 2023, reaching KRW73 trillion (approx. US$51.1 billion), with the semiconductor industry leading the charge. Major players such as SK Hynix and Samsung Electronics are driving the country's IT and electronics sector, contributing to an astounding 854% increase in operating profits for the industry as a whole.

Global investment in front-end fab equipment is projected to increase by 2% year over year to US$110 billion in 2025, marking the sixth consecutive year of growth since 2020, according to SEMI. Expenditure is forecast to rise by 18% the following year, totaling US$130 billion.

SK Hynix announced during its 77th shareholders' meeting that it will determine product volume for its high bandwidth memory (HBM) lineup in the first half of 2025. CEO Noh-Jung Kwak stated that customer negotiations for 2026 HBM product allocations will conclude by mid-2025 to enhance sales stability, according to South Korean media reports, including JoongAng Ilbo and Hangkyung.

Silicon Motion Technology has entered the AI humanoid robotics supply chain and anticipates substantial growth from this area over the next five years, according to the flash device controller specialist.

SK Hynix has completed the full acquisition of Intel's NAND Flash division, concluding a four-year process. The assets will be integrated under Solidigm, SK Hynix's US subsidiary, to enhance R&D collaboration for enterprise-grade SSDs.

Phison Electronics is accelerating its AI push through key partnerships, most notably with Ever Fortune.AI Co. The two companies have launched a joint venture, Chang Lian Technology, to develop AI-driven healthcare robots powered by Phison's proprietary aiDAPTIV+ platform. The first commercial unit is expected to debut as early as 2026, according to MarketScreener.