Former Samsung boss says when the memory crisis will be over

The memory crisis may finally be on the verge of ending by the second half of 2027, driven by a surge in Chinese manufacturing capacity.

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That's at least according to former Samsung Electronics semiconductor division president Kyung Kye-hyun, who spoke at the National Academy of Engineering in Seoul. Kyung pointed to a coming wave of new memory production from China that could alleviate the ongoing shortage and stabilize pricing.

Kyung emphasized that the increase in Chinese manufacturing is expected to flood the market with additional memory chips, potentially lowering prices for consumers. This comes as Samsung and SK Hynix continue to ramp up production to meet surging demand, particularly from AI applications.

The broader semiconductor industry has been watching closely, with some analysts forecasting a potential downturn in memory prices and demand after 2028, but that, of course, depends on many moving factors, such as whether AI companies slow as demand for greater compute ramps. Kyung theorized that AI companies could, in fact, slow the demand for components to upgrade services due to the lack of a positive return on investment for the hardware.

Essentially, Kyung has said that if AI companies don't start making more than they are spending, which they currently aren't doing, then those AI companies will slow down their purchases of hardware, alleviating the pressure on the market. Kyung's comments suggest the shift may arrive earlier than expected. For PC and console hardware buyers, this could mean a much-needed break from the blisteringly expensive current pricing.

In other news, the developers behind Kingdom Come: Deliverance have confirmed they are working on a new Lord of the Rings open-world RPG game.