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SK Hynix has dethroned Samsung as the leader in the global DRAM market, capitalizing on soaring demand for AI-driven memory solutions. According to data from Counterpoint Research, SK Hynix secured 36% of the DRAM market share in Q1 2025, surpassing Samsung’s 34%.
This shift marks the end of Samsung’s 30-year dominance in DRAM manufacturing and follows SK Hynix’s recent operating profit surpassing Samsung’s in Q4 2024. The driving force behind SK Hynix’s success is its strategic focus on high-bandwidth memory (HBM) chips, which are essential components for AI applications.
“This is a milestone for SK Hynix, which is successfully delivering on DRAM to a market that continues to show unfettered demand for HBM memory,” stated Jeongku Choi, Senior Analyst at Counterpoint Research. He emphasized the complex manufacturing process of specialized HBM DRAM chips and the advantages it provides to early adopters.
Beyond claiming the overall DRAM market lead, SK Hynix has also established a dominant position in the HBM sector, controlling 70% of this high-value market segment, according to Counterpoint Research. HBM chips enhance data processing capabilities by stacking multiple DRAM dies, making them crucial for training advanced AI models.
“It’s another wake-up call for Samsung,” commented MS Hwang, Research Director at Counterpoint Research, highlighting the significant contribution of HBM chip leadership to SK Hynix’s operating income.
Analysts anticipate that SK Hynix will announce strong financial results on Thursday, with forecasts indicating a 38% quarterly increase in sales and a 129% surge in operating profit for the March quarter, according to Bloomberg data.
TrendForce predicts that SK Hynix will maintain its leadership throughout 2025, controlling over 50% of the HBM market in gigabit shipments. Samsung’s share is projected to fall below 30%, while Micron Technology is expected to increase its share to nearly 20%.
Counterpoint Research forecasts stable trends in segment growth and vendor share for the overall DRAM market in Q2 2025, suggesting that SK Hynix’s new dominance may continue in the near term.
However, despite the AI memory boom, analysts caution against potential challenges. Hwang noted the potential impact of tariffs on HBM DRAM, while the robust AI demand makes the segment less vulnerable to trade shocks. Longer-term risks remain, with Counterpoint Research warning of potential threats to HBM DRAM market growth from trade shocks that could trigger a recession or depression. Morgan Stanley analysts echoed this concern, citing that the real tariff impact on memory resembles an iceberg.
Despite SK Hynix’s current advantage, Morgan Stanley still favors Samsung as its top pick in the memory sector, citing its ability to weather a macro slowdown, its attractive valuation, and its future growth potential via HBM. Samsung will release its complete financial statement on April 30.
The evolving competitive landscape highlights the increasing significance of AI-specific hardware components in the semiconductor industry. SK Hynix’s early investment in HBM technology has yielded substantial returns, but the competition with Samsung will continue as data centers expand to support increasingly sophisticated AI models.