Samsung Electronics initiated mass production of the HBM3E 12-Layer product last quarter and is in the process of supplying it to a number of clients. This product, which utilizes TSV technology to stack 12 layers of DRAM memory chips, is anticipated to have a profound impact on the HBM market as an early entrant before the arrival of HBM4. In February, Samsung Electronics achieved a breakthrough by being the first to realize a 36GB capacity HBM3E 12-Layer product, the largest in the industry.

However, the success of Samsung Electronics in mass-producing the HBM3E 12-Layer product hinges on the timely passage of quality verification by Nvidia; otherwise, there is a risk of stockpiling pre-produced products.

SK Hynix is also gearing up to supply the HBM3E 12-Layer product to Nvidia in the second half of the year. While the HBM3E 8-Layer product is currently being supplied to Nvidia, the 12-Layer version is preparing for mass production in the third quarter and will also need to pass Nvidia's quality verification. It is reported that SK Hynix has not yet received a quality verification request from Nvidia.

In an effort to capture the market, SK Hynix has advanced its mass production schedule for the HBM3E 12-Layer product from next year to the third quarter. The company's ability to maintain its leading position in the HBM market or whether Samsung Electronics can turn the tide will be determined by who can supply the HBM3E 12-Layer product to Nvidia first.

Micron Technology has also completed preparations for mass production of the HBM3E 12-Layer product in the second half of the year and plans to supply it to major customers such as Nvidia next year. With no memory company having confirmed the supply of the HBM3E 12-Layer product yet, Nvidia is likely to actively consider the HBM supply from these three companies to address low pricing and HBM demand.

Industry experts have indicated that although the HBM3E 12-Layer product's price may decrease due to intensified competition, the second half of the year will undoubtedly be a pivotal moment in determining the landscape of the HBM market. The key for each company will be to improve production yield (the ratio of good products).