For the first time in over two decades, Samsung Electronics has lost its position as South Korea’s most valuable listed company. SK Hynix, a manufacturer of semiconductor memory, has taken the lead, with its market value exceeding that of the long-standing leader.
This is a symbolic moment for the technology sector. As recently as the early 21st century, Hynix was struggling with huge debts and was on the verge of being taken over by the US firm Micron. Today, the company is one of the biggest beneficiaries of the global artificial intelligence boom.
The source of its success has been HBM (High Bandwidth Memory) chips, which are used in AI accelerators. They are an essential component of the infrastructure supporting generative AI models, such as ChatGPT. SK Hynix has been developing this technology for years and currently remains a key supplier to Nvidia, the global market leader in AI processors.
Analysts point out that the company’s advantage stems from its focus on memory for AI systems. Unlike Samsung, which also operates in the smartphone, television and logic chip segments, SK Hynix is capitalising almost entirely on the growing demand for data centre memory.
According to market data, the company currently controls over 60 per cent of the global HBM market, whilst Samsung’s share stands at around 17 per cent. This marks a significant shift in a sector that has been dominated by Samsung for years.
SK Hynix’s rising position reflects a broader trend in the semiconductor industry. In the age of AI, it is not only processors that are becoming crucial, but also memory capable of rapidly processing vast amounts of data. This is shifting some of the value from traditional market segments towards specialised components used in artificial intelligence systems.
For Samsung, this does not mean a loss of significance, but SK Hynix’s growing strength demonstrates just how quickly AI can reshape the hierarchy even in the most mature technology sectors. Just a few years ago, such a scenario seemed highly unlikely.
