[ad_1]
© Reuters
Investing.com– South Korean chipmaker SK Hynix Inc (KS:) posted an working loss for the second quarter on Wednesday, however mentioned that some sectors of chip demand have been starting to select up amid elevated curiosity in synthetic intelligence improvement.
The agency logged an of two.9 trillion received ($1=1,274.54 received) within the April-June quarter, in comparison with a 4.2 trillion received revenue for a similar interval a 12 months in the past, with chip costs remaining weak amid low demand.
The loss was barely larger than a Reuters estimate of two.7 trillion received, however narrowed from the three.4 trillion received loss reported within the Jan-March quarter.
SK Hynix cited some enchancment in gross sales of premium Excessive Bandwidth Reminiscence and high-speed RAM merchandise via the quarter, largely as a consequence of rising demand for server reminiscence for growing AI.
Each merchandise are integral to AI improvement, given the big quantities of information that must be processed rapidly by AI fashions.
“Amid an enlargement in (the) generative synthetic intelligence market, which has largely been centered on ChatGPT, demand for AI server reminiscence has elevated quickly,” the agency mentioned in a press release.
However this was inadequate in offsetting a broader decline in income from laggard private computing and smartphone demand, which pulled chip costs decrease.
Quarterly income fell 47% to 7.31 trillion received, however rose 44% from the prior quarter.
SK Hynix and most of its chipmaking friends, have been scuffling with a slowdown in chip demand over the previous 12 months, amid deteriorating world financial situations and a provide glut within the chipmaking area.
SK Hynix peer Samsung Electronics Co Ltd (KS:), the world’s largest reminiscence chipmaker, had flagged a pointy decline in its second-quarter earnings earlier in July, citing weak chip costs and rising buyer inventories.
Taiwan Semiconductor Manufacturing Co (TW:) (NYSE:), or TSMC, the world’s largest contract chipmaker, additionally reported a weaker revenue for the second quarter, and mentioned that whereas AI improvement was supporting some elements of chip demand, it will be inadequate to offset a broader decline within the trade.
TSMC’s feedback considerably contrasted these of its main buyer, NVIDIA Company (NASDAQ:), which expects AI demand to drive a chipmaking increase this 12 months.
[ad_2]
Source link
