Published • loading... • Updated
SK Hynix shares plunge 10% amid Asia tech rout as Fed rate hike fears, AI funding worries mount
- On Monday, Chinese chipmaker ChangXin Memory Technologies claimed progress on a dense server memory design, triggering a sharp market selloff. Micron Technology and SK Hynix shares both fell 4%, erasing about $108 billion in combined value.
- The new design utilizes "4F square" stacked DRAM architecture, which CXMT says increases storage density. Both SK Hynix and Samsung Electronics have explored this same technology to fit more memory cells on chips.
- Micron Technology fell 4.5%, erasing about $52 billion, while SK Hynix lost about $41.5 billion in Seoul and Sandisk Corp. dropped 6.6%, or about $15 billion. The Roundhill Memory ETF fell 4%, showing the selloff hit the memory sector exclusively.
- While CXMT plans to release a server product later this year, skeptics warn memory is a boom-and-bust business. Optimists maintain CXMT tech still trails industry leaders "by two or three generations," noting "CXMT may be catching up, but it."
- Micron maintains a strong competitive position with an 87% adjusted gross margin last quarter, up from 45.7% a year earlier. Chief Executive Sanjay Mehrotra forecasts artificial intelligence demand exceeding supply through 2028, positioning the company for sustained growth.
Insights by Ground AI
Podcasts & Opinions
73 Articles
73 Articles
The Economic TimesReposted by 
Times of India
Times of IndiaGlobal Market: Why China’s CXMT is putting global memory chip giants under pressure
Global semiconductor stocks tumbled as Chinese chipmaker CXMTs reported progress on a new memory chip design raised concerns about intensifying competition. Samsung, SK Hynix and Micron face potential pricing pressure as Chinese manufacturers seek to narrow the technology gap. The selloff also reflects growing scrutiny of AI valuations and whether heavy investment in AI infrastructure will deliver sustainable returns.
·Mumbai, India
Read Full Article
Coverage Details
Total News Sources73
Leaning Left4Leaning Right9Center18Last UpdatedBias Distribution58% Center
Bias Distribution
- 58% of the sources are Center
58% Center
13%
C 58%
R 29%
Factuality
To view factuality data please Upgrade to Premium
