Nomura Analysts: AI-Driven Memory Chip Shortage Makes Oversupply Fears Overstated

Nomura Securities analysts said in a recent report that market concerns about a "computing power oversupply" may be overstated, arguing the memory chip industry is still far from a downturn cycle, according to 36Kr. The analysts said the market is facing a severe shortage driven by AI demand, as major chipmakers prioritize production of higher-margin high-bandwidth memory (HBM), constraining supply of conventional DRAM and NAND. They added that given the long construction and development cycles in semiconductors, projects announced by South Korean chip giants may not materially affect supply for several years.