Samsung, SK Hynix Partner with OpenAI for AI Chip Boost, Driving South Korea's Tech Industry
Samsung Electronics and SK Hynix have entered into a significant partnership with OpenAI, boosting South Korea's tech industry and stock market. The deal, announced on June 1st, involves providing chips and equipment for OpenAI's ambitious Gemini project. This news has driven a rally, pushing the KOSPI index past 3,500 points for the first time.
The partnership has sparked a surge in South Korea's semiconductor exports, driven by global demand for AI chips. Both Samsung Electronics and SK Hynix are trading at their highest in a year following the announcement. SK Hynix shares surged more than 10 percent, reaching a one-year peak, while Samsung Electronics rose 4.7 percent, its strongest level in nearly five years.
OpenAI's Gemini project, launched under the US government's AI infrastructure drive, requires substantial memory capacity. OpenAI's chief executive, Sam Altman, praised South Korea's industrial base and pledged close cooperation to make it an AI hub in the Asia-Pacific region. The project's memory demand is projected to reach up to 900,000 DRAM wafers per month, which both Samsung Electronics and SK Hynix will help supply. This figure is more than twice the current HBM industry capacity.
The partnership between Samsung Electronics, SK Hynix, and OpenAI signals a significant boost for South Korea's tech industry and its role in the global AI landscape. The deal has driven record-breaking stock prices and export figures, with both companies playing a crucial role in meeting OpenAI's substantial memory demands. This collaboration is set to strengthen South Korea's position as a key player in the AI sector.
