When will the new chip capacity start relieving the memory shortage?

Relief may not arrive until 2028, when 15 to 20 percent of new capacity comes online.

How much are memory prices expected to rise?

Analysts expect 40 to 50 percent increases in Q3 2026, another 30 to 40 percent in Q4 2026, and a further 40 to 45 percent increase in 2027.

What share of the global memory chip market do these companies control?

Samsung and SK Hynix together control close to 80 percent of the global market for high-bandwidth memory chips.

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Samsung and SK Hynix to invest $590 billion（約94兆円） in chip factories as AI demand drives memory shortage

THE DECODER6h ago4 min read

Key takeaway

Samsung and SK Hynix are investing $590 billion（約94兆円） to expand chip production in response to surging demand from AI data centers. The two companies control roughly 80 percent of the global market for high-bandwidth memory chips, and analysts expect memory prices to jump 40–50 percent in Q3 2026, with further increases through 2027. Rising memory costs are already pushing up consumer electronics prices, making this production push significant for both hardware makers and buyers.

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3 Key Points

What happened
Samsung and SK Hynix, backed by South Korea's government, plan to invest $590 billion（約94兆円） in chip production expansion. Of that total, 800 trillion won will go toward four new factories in the country's southwest, 81 trillion won toward a packaging center, and 30 trillion won over 15 years toward next-generation chips.
Why it matters
The two companies together control close to 80 percent of the global market for high-bandwidth memory chips, which AI data centers depend on. Memory prices are already jumping sharply — analysts expect 40 to 50 percent increases in Q3 2026 and another 30 to 40 percent in Q4, with a further 40 to 45 percent increase forecast for 2027. These rising costs are already pushing up prices for consumer electronics, including Apple's recent hikes on Macs and MacBooks.
What to watch
Relief from the price surge may not arrive until 2028, when 15 to 20 percent of new capacity comes online. The investment is being framed as part of President Lee Jae Myung's push to boost regional economic growth.

FAQ

When will the new chip capacity start relieving the memory shortage?: Relief may not arrive until 2028, when 15 to 20 percent of new capacity comes online.
How much are memory prices expected to rise?: Analysts expect 40 to 50 percent increases in Q3 2026, another 30 to 40 percent in Q4 2026, and a further 40 to 45 percent increase in 2027.
What share of the global memory chip market do these companies control?: Samsung and SK Hynix together control close to 80 percent of the global market for high-bandwidth memory chips.

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