SK hynix and ADATA warn memory shortages may continue beyond 2030
Memory manufacturers and module suppliers are issuing increasingly long forecasts for the current supply shortage. SK hynix expects the pressure to peak in 2027 while ADATA believes memory could remain undersupplied for another decade.
SK hynix CEO Kwak Noh-jung told Reuters that 2027 would be the worst year in the memory industry’s history from a supply perspective. He said customer demand continues to rise while the company remains limited by its available production capacity.
“We still forecast that customer demand will remain higher than our supply capacity even beyond 2030. But we are doing our best to solve the problem.”
— SK hynix CEO Kwak Noh-jung
Kwak expects customer demand to remain above SK hynix production capacity beyond 2030. The company is expanding its operations in South Korea and is considering additional wafer fabrication investments in the United States, Japan and Southeast Asia. No location has been selected.
ADATA chairman Simon Chen issued a similar warning in comments reported by Taiwan’s Commercial Times. Chen said the industry may face memory shortages for another 10 years because new factories and production upgrades cannot keep pace with demand from AI infrastructure.
“Memory shortage will continue for another 10 years, even factory expansion can’t meet demand”
— ADATA’s Simon Chen
Chen believes the market is underestimating demand for computing capacity, memory, storage and electricity. He also dismissed current concerns about an AI investment bubble, arguing that such a discussion should take place after 2030 when the industry can assess whether demand may slow in 2040 or 2050.
© Trendforce HBM production is one reason why additional wafer capacity does not translate directly into more memory for consumer devices. TrendForce estimates that HBM will consume around 30% of total DRAM wafer input among the three largest suppliers by the end of 2027, up from 22% in 2026. HBM is expected to represent only 13% of DRAM bit output during the same year due to its larger dies and more complex production requirements.
SK hynix, Samsung and Micron are investing in additional capacity, but new wafer fabs require several years to construct and qualify. Suppliers are also prioritizing HBM and server memory contracts, which may leave less capacity available for standard DDR5, graphics memory and other consumer products.
Sources: Reuters , Commercial Times , TrendForce
