During a conference call for its second-quarter earnings in Seoul, SK hynix said concerns over slowing AI infrastructure investment were overstated, arguing that major cloud service providers continue to view AI spending as essential to strengthening their core businesses.
"We view these developments not as a slowdown in AI investment, but as a transition toward improving the utilization and monetization of AI infrastructure built over the past several years," it said.
It added improvements in AI model efficiency should broaden AI adoption rather than reduce memory demand, as more users gain access to AI services.
"AI infrastructure investment is expected to remain solid beyond next year," it said, adding that temporary delays in some projects due to power supply or data-center construction constraints would not alter the long-term growth trajectory.
SK hynix also reaffirmed its aggressive investment plans, saying it expects capital expenditure this year to reach the high-40 trillion won range as it expands production capacity to meet structurally growing AI memory demand.
"Our capacity expansion is based on demand visibility secured through long-term customer partnerships and will be carried out in stages with investment efficiency in mind," the company said, adding that the approach should help prevent oversupply.
SK hynix said its capacity expansion reflects confidence in long-term customer demand, including long-term supply agreements, while production ramps will remain flexible depending on confirmed customer demand and investment efficiency.
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