Name: SK Hynix results give hints to 2026 AI demand
Uploaded: 2025-10-29T08:50:52.230Z
Duration: 2 min 47 s
Description: Memory giant SK Hynix reported a surge in profit for the third quarter and said it would increase its capital expenditure in 2026.

Memory giant SK Hynix reported a surge in profit for the third quarter and said it would increase its capital expenditure in 2026.

Icheon-si

SK Hynix has indicated sustained and growing demand for high bandwidth memory (HBM) used in AI applications, projecting over 20% year-on-year growth in its DRAM segment for 2026. The company has completed supply discussions with customers for 2026 and plans to begin shipments of its next-generation HBM4, with all products for the coming year already secured by customers. SK Hynix also announced plans to increase capital expenditure in 2026, reinforcing its positive outlook for the AI chip market.

In contrast, Samsung has struggled to compete in the high bandwidth memory space, having lost significant leadership to SK Hynix. While Samsung's HBM3 has achieved limited certification for use in NVIDIA systems, the market is closely watching whether its next generation of HBM will receive broader approval. Diversification of the supply base remains a priority for NVIDIA, which could benefit Samsung if it can meet certification requirements.

SK Hynix results give hints to 2026 AI demand

There's so much to unpack here in this earnings and the market with a lot of these chip earnings are looking at, not this next quarter, but certainly into 2026, trying to get some visibility on is this demand for real and is it sustainable? And what we heard from SK Nikes was a very interesting commentary in their earnings. Firstly, they said the shift to inferencing is what we were talking about yesterday with Qualcomm, this actual running of the AI models is increasing the number of users and tokens dramatically, they said. So that's a first sign of demand and what they're seeing so far. But in 2026, they said that their DRAM, this is the dynamic random access memory, this is where high bandwidth memory portion is, will grow over 20% year on year versus high teens percentage this year. So they're already telegraphing more growth next year for that key segment as well. They also said they've completed the 2026 supply discussions with their customers, which is another positive as well. And they're planning to start shipments of their next generation of high bandwidth memory known as HBM4 in the fourth quarter this year, expanding that in 2026. And they said they've secured customers for all of their products for next year as well. So lots of positive commentary in terms of demand for 2026. And the final one, and this has become a key metric for demand for a lot of investors, CAPEX. SK Hynix saying that they're planning to increase CAPEX in 2026 as well. So lots of demand signals from SK Hynix, which you see is very much a key part of the AI chip equation, given its key role in NVIDIA's whole architecture, showing here that 2026 for them remains pretty strong. And so you don't expect some read through when European markets open later, potentially when U.S. markets open as well into the chip sector. OK, so SK Hynix is going great guns. What does this all leave Samsung, though? Look, Samsung has struggled big time in this area of high bandwidth memory, and this high bandwidth memory is very complicated. It's a lot of chips stacked on top of each other, and they go into these very complex NVIDIA systems as well. But these are critical for the movement of data that are required for all these AI applications. Samsung just hasn't been really anywhere near SK Hynix for so long in this area, lost a lot of that leadership. The key here is whether Samsung's next generation of high bandwidth memory can get the green light and the certification from NVIDIA. That's what the market's looking like. Now, there have been reports earlier this year that Samsung's HBM3 has already got some certification, but it's a very, very small part of NVIDIA's sort of architecture at this point. I think the market's now waiting for will Samsung's next generation HBM get that green light, get that certification to be inside NVIDIA systems? And if so, that's going to be a huge boost for Samsung. Look, it's in NVIDIA's interest to try to diversify that supply base. They don't want to only rely here on SK Hynix. And so they are probably crossing fingers that Samsung can come to the party pretty quickly.

FBI Director Kash Patel announced an operation that apparently "thwarted a potential terrorist attack" during Halloween weekend in Michigan. CBS News' Scott MacFarlane has more.

Dearborn

Patel says FBI stopped a potential "terror attack" in Michigan

Washington and Beijing are "in agreement on many things," U.S. President Donald Trump said after the face-to-face meeting that lasted nearly two hours, the first between both leaders in six years.

Busan

Global Tariffs

Trump announces deal with China after talks with Xi in South Korea

U.S. President Donald Trump ordered the resumption of nuclear weapons tests for the first time since 1992. A day earlier, Russian President Vladimir Putin said Russia had successfully tested a nuclear-powered super torpedo.

Washington

Trump orders nuke tests after Russia tests nuclear-powered torpedo

Sudan and the UAE clash at the UN Security Council—Khartoum accuses Abu Dhabi of funding the RSF amid reports of atrocities.

New York

UN Security Council meeting: Sudan and UAE trade heated accusations

U.S.-China tensions cast a shadow over the APEC summit in South Korea — Leaders debate trade, diplomacy, and the bloc’s mission of free trade.

Gyeongju-si

APEC summit: U.S.-China rivalry looms over trade and diplomacy

Microsoft, Meta and Alphabet recently reported their quarterly earnings and one thing is certain: the jaw-dropping investments in artificial intelligence are only just getting started. This all comes just days after Nvidia became the world's first-ever $5 trillion company.

California

Meta stock falls over 10% after commitment to raise AI spending

CBS News has confirmed that the Pentagon ordered all state National Guards to form what they're calling "quick reaction forces" available for rapid deployments to address potential civil unrest.

Pentagon orders state National Guards to form rapid response units

Taylor Taranto has been sentenced to time served plus 36 months of supervised release after being convicted of threatening former President Barack Obama. He was also pardoned on Jan. 6 Capitol rioting charges by President Trump earlier this year.

Taylor Taranto sentenced to time served for Obama threat

Authorities have charged five people in connection with the overdose deaths of three 19-year-olds, including Leandro De Niro-Rodriguez, the grandson of actor Robert De Niro.

Five arrested over overdose death of Robert De Niro’s grandson

Prince Andrew is being stripped of his royal titles and must move out of his mansion, Buckingham Palace announced on Thursday. Andrew has come under intense scrutiny over his friendship with convicted sex offender Jeffrey Epstein.

London

Prince Andrew stripped of royal titles over Jeffrey Epstein ties

French police have now detained seven people over the robbery at France's landmark museum on 19 October.

Paris

Louvre heist: Five new suspects arrested as search for jewels continues

U.S. Treasury Secretary Scott Bessent said Thursday that China has approved a TikTok transfer deal. CBS News White House reporter Willie James Inman has more.

Treasury Secretary Bessent says China approved TikTok transfer deal

As Hurricane Melissa continues its trail of death and devastation through the Caribbean, Jamaica is taking stock. With over 75% of the country without power and $22 billion in damage, experts estimate recovery could take a decade.

Kingston

Jamaica reels as Hurricane Melissa leaves behind devastation

House lawmakers have been told their paychecks will be delayed until Congress passes a new funding bill. CBS News congressional reporter Taurean Small has the latest on the government shutdown.

House lawmakers' paychecks delayed until government reopens

Israeli planes and tanks pounded areas in eastern Gaza on Thursday (October 30), Palestinian residents and witnesses said, a day after Israel said it remained committed to a U.S.-backed ceasefire despite launching more lethal bombardments in the territory.

Jerusalem

Middle East Conflict

Israel strikes Gaza after asserting commitment to ceasefire

In the Netherlands, the centrist D66 party looks on course to beat the far right in the national election. Exit polls have predicted Rob Jetten's party will claim victory, which could lead him to become the country's youngest ever prime minister.

Amsterdam

Dutch centrist party wins big in election as far right loses support

President Donald Trump ordered the U.S. military on Thursday (October 30) to immediately resume testing nuclear weapons after a gap of 33 years, minutes before beginning a meeting with Chinese President Xi Jinping.

Trump tells Pentagon to resume testing U.S. nuclear weapons

President Trump will hold a bilateral meeting with Chinese President Xi Jinping. This is their first face-to-face since Mr. Trump returned to the White House. Jessi Mitchell anchors this Special Report.

Trump, Xi Jinping meet face-to-face in South Korea over trade

The Bank of Canada made a 25-basis-point cut to its key interest rate while governor Tiff Macklem suggested rates will hold where they are as long as inflation stays in the target range of two per cent.

Ottawa

Bank of Canada cuts key interest rate to 2.25%

After leaving Jamaica with widespread power outages and flooding, Melissa caused fatal flooding in Haiti that has killed 25 people and hit Cuba with a storm surge.

Port-au-Prince

Hurricane Melissa causes floods in Haiti, killing at least 25

Fentanyl production tops the agenda as the U.S. and China discuss curbing exports tied to the deadly opioid crisis.

Fentanyl crackdown central in U.S.-China talks

APEC members face economic uncertainty amid rising US-China rivalry—South Korea prepares for potential fallout from high-stakes talks.

U.S.-China trade tensions leave South Korea navigating APEC fallout

President Putin announced that the Poseidon super torpedo was successfully tested and cannot be intercepted, marking a new stage in Russia’s naval capabilities.

Moscow

Russia says its successfully tested nuclear-capable underwater drone

The Justice Department has put D.C. prosecutors on leave after they submitted a court memo describing those who attacked the Capitol on January 6, 2021 as "rioters." The filing was in a case involving Taylor Taranto, who was part of the Capitol riot and is currently facing unrelated weapons charges.

DOJ sidelines prosecutors over Jan. 6 'rioters' court filing

Sean Grayson, the former Illinois sheriff's deputy who shot and killed Sonya Massey in her home in 2024, was found guilty of second-degree murder.

Illinois

Ex-officer found guilty of murder in Sonya Massey shooting

President Donald Trump is sending America's largest aircraft carrier to the Caribbean to help stop small boats he says are transporting drugs to the U.S. Trump says the U.S. is in "armed conflict" with Venezuelan drug cartels.

U.S. masses more naval forces off coast of Venezuela

The U.S. Federal Reserve announced Wednesday that it will lower its benchmark interest rate by 0.25 percentage points in its second straight cut.

Fed lowers interest rates by 0.25 percentage points

The police operation was one of the most violent in Brazil’s recent history, with human rights organizations calling for investigations into the deaths.

Rio de Janeiro

Raid on Rio drug trafficking gang leaves at least 64 dead

Hurricane Melissa made landfall in Cuba on Wednesday after ripping through Jamaica. CBS News' Jarred Hill has more details.

Havana

Hurricane Melissa makes landfall in Cuba after slamming Jamaica

U.S. President Donald Trump landed in South Korea on Wednesday (October 29) for the final leg of his Asia trip, optimistic about striking a trade war truce with Chinese President Xi Jinping after summit talks with South Korea's Lee Jae Myung.

Breakdown