Reports emerged in June that SK Hynix sealed a multi-year co-development deal with Nvidia to supply the vast majority of advanced memory chips for Nvidia's next-generation AI accelerator platform. For shareholders of the Korean memory giant — now trading on both Seoul and, as of July 10, on Nasdaq — the agreement cements a position of extraordinary leverage in the hottest corner of the semiconductor market. It also deepens a dependency that cuts both ways.
The Deal Goes Beyond a Parts Order
Nvidia and SK Hynix locked in a multi-year agreement to co-develop next-generation memory chips, announced June 7 after Nvidia CEO Jensen Huang met SK Group Chairman Chey Tae-won in Seoul.
This isn't just a supply agreement — it's a full design-and-manufacturing collaboration spanning chip architecture, infrastructure buildout, and product diversification.
Industry analysts estimate SK Hynix holds roughly 60% to 70% of the advanced memory volume allocated to Nvidia's new platform , with Samsung at ~25–30% and Micron getting the rest. That co-development structure means competitors would need years, not quarters, to replicate the integration.
The Financial Engine Is Already Running Hot
SK Hynix posted its strongest-ever quarterly results in Q1 2026: revenue of ₩52.58 trillion (~$35.5 billion), up 198% year-over-year, with operating margins around 72%.
Advanced memory chips grew to represent roughly 77% of SK Hynix's total revenue by mid-2025 , and that share is still climbing. Locking in the dominant allocation for Nvidia's next platform essentially pre-books a huge slice of future revenue at premium pricing — HBM4 stacks are estimated at ~$500 each , roughly 2.5 times the prior generation.
One Customer Means One Risk
Nvidia accounts for an estimated ~90% of SK Hynix's advanced memory supply . That concentration creates a single point of failure: any shift in Nvidia's roadmap, a tariff shock, or a design win by Samsung could ripple directly into SK Hynix's earnings. Unlike the prior generation — where Samsung's quality problems gave SK Hynix a near-monopoly window — HBM4 competition may be stiffer from the outset, with one analyst estimating Samsung could capture 28% of volume by late 2026.
A Nasdaq Listing Raised Billions — and the Stakes
SK Hynix debuted on Nasdaq July 10 at $149 per ADR, raising about $26.5 billion, then opened at $170, up ~14%.
Days later, Seoul shares plunged 15.4% — the worst single-day drop in nearly two decades , a stark reminder that at a P/E of roughly 17×, the stock prices in a lot of good news and leaves little room for stumbles.