Chey Tae-won, chairman of SK Group, has raised concerns about the potential geopolitical implications of the global shortage of AI memory chips. As demand continues to surpass supply, Chey suggests that governments are increasingly viewing access to advanced memory chips as a critical issue of economic security. This could potentially lead to international pressure on countries to secure their own supplies.
In outlining the current trends, Chey highlighted that by 2027, customers are expected to need 60% to 100% more AI memory chips than they do today. However, the development of new production capacities is not keeping pace with this rising demand. Among the components facing the most significant shortages is high-bandwidth memory (HBM), which plays a crucial role in AI processors.
In response to these challenges, SK hynix, a key player in the semiconductor industry, is ramping up its investments in new manufacturing facilities within South Korea. Additionally, the company is considering potential overseas locations for further expansion, with the United States being one of the possibilities. Chey emphasized that swiftly expanding production is vital to preserving South Korea’s leading position in the semiconductor sector.
Chey also warned that if production does not increase quickly, prolonged high prices could ensue, potentially attracting new competitors and disrupting the global market. This scenario underscores the importance of addressing the production bottlenecks to ensure stability and maintain competitive advantage in the industry.