BY COMFORT OGBONNA
Samsung Electronics said customers have strongly endorsed the competitiveness of its next-generation high-bandwidth memory chips, known as HBM4, with some declaring that “Samsung is back,” signaling renewed confidence in the South Korean technology giant’s position in the fast-growing artificial intelligence chip market.
In a New Year address, co-CEO and head of Samsung’s semiconductor division Jun Young-hyun said feedback from customers on HBM4 had been especially encouraging, even as he acknowledged that further work was needed to strengthen the company’s edge. Samsung has been racing to close the gap with rivals as demand for advanced memory chips used in AI systems accelerates worldwide.
The company has been in talks since October to supply its HBM4 chips to U.S. artificial intelligence leader Nvidia, a key potential customer as Samsung seeks to regain momentum after losing ground to competitors, including domestic rival SK Hynix, in the AI memory segment. Securing major AI customers is seen as critical as the industry shifts toward increasingly sophisticated chips required to power data centers and advanced computing workloads.
SK Hynix, currently the market leader in high-bandwidth memory, also struck a confident yet cautious tone. CEO Kwak Noh-Jung said the company benefited last year from favorable external conditions, as demand for AI chips emerged more quickly than anticipated. However, he warned that competition was intensifying rapidly, noting that AI demand has now become a baseline expectation rather than an upside surprise. He added that the business environment in 2026 would likely be tougher than in the previous year, underscoring the need for continued bold investment and sustained effort to prepare for future challenges.
According to data from Counterpoint Research, SK Hynix led the global HBM market in the third quarter of 2025 with a 53% share, followed by Samsung at 35% and Micron at 11%. Despite trailing its rival, Samsung’s recent technological progress and customer feedback appear to be improving investor sentiment.
That optimism was reflected in the stock market, where shares of Samsung Electronics surged 7.2% on the first trading day of the year, while SK Hynix shares rose 4%. Both stocks hit record highs, significantly outperforming the benchmark KOSPI index, which gained 2.3%.
Beyond memory chips, Samsung also highlighted momentum in its contract chip manufacturing, or foundry, business. Jun said recent supply agreements with major global customers have positioned the foundry unit for what he described as a “great leap forward.” In July, Samsung signed a $16.5 billion deal with electric vehicle maker Tesla, a major win that underscored its ambitions to expand in advanced chip manufacturing and compete more aggressively with industry leaders.
In a separate New Year message, Samsung co-CEO TM Roh, who oversees the company’s device experience division covering smartphones, televisions, and home appliances, cautioned that 2026 could bring heightened uncertainty and risk. He pointed to rising component costs and increasing global tariff barriers as key challenges that could weigh on the business environment.
Roh said Samsung plans to reinforce its core competitiveness by proactively diversifying its supply chain and optimizing global operations. These steps are aimed at managing risks related to component sourcing and pricing, as well as mitigating the impact of global trade barriers. Together, the remarks from Samsung’s leadership reflect a company seeking to capitalize on renewed technological confidence while preparing for a more competitive and uncertain global landscape.
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