SK hynix has just posted the best quarterly results in its history, and its message to the market fits in one sentence: the memory shortage is not ending soon. On October 28, 2026, the South Korean maker said its DRAM and HBM output is effectively sold out through 2029, with supply tightness expected to last until 2030. For anyone buying a PC or a smartphone, this is worth watching.
Memory shortage: results out of the ordinary
In the third quarter of 2026, SK hynix booked revenue of 104.62 trillion won, up 328% from a year earlier. It is the first time the group has topped 100 trillion won in a single quarter.
Operating profit reached 83.33 trillion won, 632% higher year on year, for an operating margin of about 80% (79.7% exactly, versus 76.3% the previous quarter). Analysts were looking for roughly 77 trillion won, so the result clears expectations by a wide margin. Net profit came in at 39.78 trillion won.
To reward shareholders, the group plans about 100 trillion won in returns for 2026, split between dividends and buybacks.
DRAM and HBM “effectively sold out” until 2029
HBM is the stacked, very fast memory used in AI accelerators. SK hynix says its DRAM and HBM production is effectively sold out through 2029. According to Korean press reports, customers are asking for more than double what it can deliver.
The company has signed long-term agreements with 14 major customers, including global cloud providers, up from 10 in the previous quarter. These deals cover more than 50% of planned 2027 and 2028 production. Some customers are even discussing terms longer than the usual five years.
HBM4 takes the lead
HBM4 is set to overtake HBM3E in both shipments and revenue as early as the fourth quarter of 2026. Production yields are beating targets, and talks on 2027 HBM volumes and pricing are wrapped up. CFO Kim Woo-hyun says 12-high HBM4 deliveries are on the schedule agreed with customers.
Prices keep climbing
The DRAM and NAND numbers speak for themselves. Over the quarter, average DRAM selling prices rose in the high 20s percent, on shipments up roughly 10%. Server DDR5 sales jumped more than 40%. On the NAND side, the average price gained about 25%.
Increases like these reach devices sooner or later. SK hynix itself expects weaker demand from PC and smartphone makers, held back by memory costs. The company is counting on AI to make up the difference.
What it means for PCs and smartphones
To be clear: SK hynix does not put a number on the impact for consumer prices, and neither do we. But the logic is simple. When memory makers favor AI contracts, less is left for PC modules, SSDs and phones, and assemblers pay more for their parts.
- If you plan to buy a PC, RAM or an SSD, the window for good prices may be closing.
- High-memory configurations (32 GB and up) will probably be the most exposed.
- Expect devices to ship with less base memory, or at higher prices, rather than big promotions.
This reading is our own analysis, not an announcement from device makers.
Chinese competition still finding its footing
According to Reuters, China’s CXMT plans to start limited HBM3E production in about two months. Only 20 to 30% of its chips reportedly meet specifications, against roughly 70% at SK hynix. Not enough to shake the market in the short term.
What comes next
The first phase of the Yongin complex is due to come online in 2027, with a sharp rise in investment. Until that capacity runs at full speed, the memory shortage will dictate prices. We will follow upcoming announcements from Samsung and Micron. Does your next purchase depend on memory? Tell us your situation in the comments.
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