SK Hynix details HBM4 roadmap, strong LTA commitments, and rapidly declining memory inventory

SK Hynix aims for a dominant market share in HBM4, with preparations for mass production of customer-requested volumes on schedule. They've achieved required HBM4 performance at 1b nano and plan to maintain yields using MR-MUF. Despite maximizing production, demand for HBM products cannot be fully met, and competitors are expected to enter the market. The company notes a shift towards stronger, multi-year long-term agreements (LTAs) due to supplier demand visibility needs and customer interest in securing supply amidst capacity constraints. SK Hynix reports continuous decreases in inventory across DRAM and NAND, particularly for server customers where secured memory volumes are immediately used for set builds. Server companies' purchases are expected to continue due to memory being a data center expansion bottleneck. PC/mobile customers are also facing supply difficulties and decreasing inventory levels. SK Hynix's own inventory decreased in Q4 and is projected to decline further in H2 of the current year, with NAND inventory weeks matching DRAM levels.