The memory-chip market is showing clearer signs of recovery as demand for high-bandwidth memory (HBM) used in AI servers offsets softness in smartphones and personal computers. DRAM and NAND contract prices have stabilized in recent weeks, with industry observers forecasting a gradual uptrend through the second half of the year.
SK Hynix, the leading supplier of HBM3E to Nvidia, reported that its advanced memory products are sold out through much of 2025. The company is shifting DRAM wafer capacity toward HBM production, a move that tightens supply for commodity DRAM and supports pricing. Samsung Electronics is racing to qualify its own HBM3E products for major AI chip customers after earlier delays.
Inventory levels among PC and smartphone OEMs have normalized after more than a year of destocking, setting the stage for a modest replacement cycle. Chinese smartphone brands are increasing component orders ahead of the year-end shopping season, providing another demand tailwind.
However, the recovery remains uneven. Consumer-grade NAND and low-density DRAM continue to face oversupply, pressuring margins for second-tier suppliers. Analysts expect industry consolidation to accelerate in China, where smaller players are struggling to compete on technology and scale.
MetalSemi Asia maintains a constructive view on memory-leaders SK Hynix and Samsung, citing HBM content growth and AI data-center build-outs. We see commodity memory as a late-cycle beneficiary, with meaningful price recovery likely only after broader consumer demand improves.
