Latest news with #HBMchips
Free Malaysia Today
3 days ago
- Business
- Free Malaysia Today
China wants US to relax AI chip-export controls for trade deal
Investors focus on HBM chips for their role in powering AI alongside Nvidia's graphic processors. (AP pic) BEIJING : China wants the US to ease export controls on chips critical for artificial intelligence as part of a trade deal before a possible summit between Donald Trump and Xi Jinping, the Financial Times reported on Sunday. Chinese officials have told experts in Washington that Beijing wants the Trump administration to relax export restrictions on high-bandwidth memory chips, the newspaper reported, citing unnamed people familiar with the matter. The White House, state department and China's foreign ministry did not immediately respond to requests for comment on the report. HBM chips, which help perform data-intensive AI tasks quickly, are closely watched by investors due to their use alongside AI graphic processors, particularly Nvidia's. The FT said China is concerned because the US HBM controls hamper the ability of Chinese companies such as Huawei to develop their own AI chips. Successive US administrations have curbed exports of advanced chips to China, looking to stymie Beijing's AI and defence development. While this has impacted US firms' ability to fully address booming demand from China, one of the world's largest semiconductor markets, it still remains an important revenue driver for American chipmakers.
CNA
26-06-2025
- Business
- CNA
Micron shares rise on bets of strong demand for AI-related memory chips
Micron Technology shares rose 2 per cent in premarket trading on Thursday, after a robust forecast from the chipmaker for fourth-quarter revenue on booming demand for its memory chips that power AI data centers. The company saw a nearly 50 per cent jump in sales of high-bandwidth memory (HBM) chips for the third quarter compared to the previous three months. Micron is one of the providers of HBM chips besides South Korea's SK Hynix and Samsung "AI servers are giving Micron an over-caffeinated growth spurt... (and) Micron is the only kid on the block shipping HBM3E at scale," said Michael Ashley Schulman, partner at Running Point Capital Advisors. Micron said it will continue to invest in HBM chips which reflects the growing demand from AI chip front runners - Nvidia and Advanced Micro Devices, who are customers of the company. said it expects Micron's HBM chip sales to accelerate, hitting a $8 billion annualized revenue run rate over the next one to two quarters. Micron's Chief Business Officer Sumit Sadana told Reuters the extent of tariff-related pull-ins from customers in the third quarter was fairly modest. "Strength in AI set to be a material contributor to results, we see a scenario where the narrative isn't all about tariff impacts," Morgan Stanley analysts said in a note. Following the results, at least 10 brokerages raised their price targets on the stock. Shares of peers AMD, Nvidia and Marvell Technology rose between 1-2 per cent in premarket trading. Micron is up 51.2 per cent, while AMD and Nvidia have gained about 19 per cent and 15 per cent, respectively, so far this year. Micron has a 12-month forward price-to-earnings ratio of 11.85, compared to SK Hynix's 6.48 and Samsung's 11.57.
