Micron over 75% booked, memory shortage helps Samsung, SK hynix
A worldwide shortage of memory chips is turning out to be great news for South Korea's Samsung and SK hynix.
With supply tight, US chip giant Micron says over 75% of its planned production for fiscal 2027 is already spoken for, and talks for 2028 are underway.
Micron's CEO Sanjay Mehrotra expects things to get even tighter over the next two years, so locking in long-term deals has become the new normal.
Samsung, SK hynix operating profits projected
Samsung and SK hynix aren't missing out: they've both secured big contracts that guarantee business for years.
Thanks to these moves, market consensus compiled by FnGuide projected operating profit for Samsung Electronics at 110.3 trillion won ($81.1 billion), reflecting a 23% increase over the prior quarter, while market consensus compiled by FnGuide projected operating profit for SK hynix at 78.1 trillion won ($57.3 billion), marking a 29% quarterly advance.
All in all, both companies are set for a strong financial boost as chip demand keeps outpacing supply.