SK Hynix Stock Slumps Despite $500B+ AI Deal
SK Hynix Inc.'s stock price dropped by roughly 9% on intraday trading despite a massive $500B-plus AI infrastructure partnership with Nvidia and SK Group. The deal solidifies SK Hynix as a critical supplier of next-generation AI memory for training, AI agents, and physical AI devices.
The partnership, which is expected to last years, includes a long-term high-bandwidth AI memory deal and support for a 2-gigawatt Korean AI cloud buildout. SK Hynix's CEO has also predicted that the global memory chip shortage will last beyond 2030 due to AI demand outpacing supply.
The stock price decline was attributed to sector-wide de-risking in tech as traders question stretched AI valuations, rather than any deal risk. Large, long-term SK Hynix memory supply contracts with major US tech firms are expected to be announced during the South Korean president's San Francisco visit.