The key part of the agreement is indeed the co-development of advanced memory products designed for Nvidia's future platforms. Currently, Nvidia uses HBM, LPDDR5X, DDR5, and 3D NAND memory in various systems, so going forward, SK hynix will develop its new memory with Nvidia in mind. The joint press release says nothing about customization of memory for Nvidia, and while we cannot exclude such a possibility, it looks like the companies will continue to co-develop industry-standard solutions, but will ensure that they are compatible with Nvidia's processors.
In addition, the agreement is intended to address the increasingly long lead times and massive capital expenditures required for the production of advanced types of memory. The two companies will coordinate roadmaps over multiple years. Nvidia will gain greater visibility into future memory availability, while SK hynix secures a guaranteed role in Nvidia's next-generation platforms (i.e., guaranteed demand).
The initial part of the cooperation covers memory destined for NVIDIA Vera Rubin AI systems (HBM4, LPDDR5X, 3D NAND), standalone Vera processors (LPDDR5X), RTX Spark-powered personal computers (LPDDR5X, 3D NAND), and Jetson Thor robotic computing systems (LPDDR5X, 3D NAND).
The deal also extends to semiconductor research and design. SK hynix is deploying Nvidia's CUDA-X libraries to speed up complex chip development workloads, such as technology computer-aided design (TCAD) and computational lithography (CuLitho). In addition, the memory maker is adopting Nvidia PhysicsNeMo to accelerate proprietary simulation software as well as AI-driven physics models used during semiconductor development. In addition, the companies see an opportunity to expand these capabilities into general electronic design automation (EDA) and simulation ecosystems and potentially create tighter relationships within the industry.
AMD and Samsung ink memory supply memorandum for EPYC and Instinct products
Key considerations
- Investor positioning can change fast
- Volatility remains possible near catalysts
- Macro rates and liquidity can dominate flows
Reference reading
- https://www.tomshardware.com/pc-components/dram/SPONSORED_LINK_URL
- https://www.tomshardware.com/pc-components/dram/nvidia-and-sk-hynix-ink-multi-year-memory-co-development-and-supply-agreement-seeks-to-address-extended-development-cycles#main
- https://www.tomshardware.com/subscription
- Grab a huge $550 saving on this 4K-ready gaming PC with an RTX 5070 and 7800X3D right now — just $1,449 for this liquid-cooled iBuyPower rig with 16GB DDR5 and
- Overenthusiastic GTA 6 fan claims to be monitoring oxygen levels, acoustic noise from the bushes at Rockstar North HQ — promises trailer 3 launch is imminent ba
- Demand for data center CPUs has surged, and AI agents are responsible – why the CPU to GPU ratio is more important than ever for hyperscalers
- NVIDIA Enables the Next Era Of Physical AI Research With Agent Skills For Autonomous Vehicles, Robotics And Vision AI
- Elon Musk's first-gen orbital data center craft spans wider than a Boeing 747 and runs an interchangeable chip payload — AI1 satellite compute payload is 120 kW
Informational only. No financial advice. Do your own research.