SK hynix stated at the 2Q earnings announcement today (25th) that “It is possible that profitability may increase compared to HBM profitability, which is determined on an annual contract basis, depending on the price of general DRAM determined on a quarterly basis.”
SK hynix assessed that “Despite the increase in overall capex next year, the tight supply situation for general DRAM is likely to continue as it will be utilized for expanding HBM production.”
They explained, “Despite the increased operating rates by suppliers due to the rapid growth in HBM demand, the available capex for general DRAM production is being maintained at a reduced level.”
Furthermore, they added, “We will explore ways to maximize the profitability of DRAM from a long-term perspective rather than short-term gains.”