Samsung and SK Hynix Market Capitalization Soars $37 Billion Following OpenAI Chip Collaboration Announcement
In a significant boost to South Korea's semiconductor industry, Samsung Electronics and SK Hynix experienced a surge in their market capitalization, collectively adding $37 billion, following the announcement of their collaboration with OpenAI. The partnership, focused on supplying memory chips for OpenAI's data centers, has ignited investor optimism, driving shares of both tech giants to new heights.
Market Response and Stock Performance
The announcement spurred a notable increase in the stock prices of both companies. Samsung Electronics' shares climbed over 4%, reaching levels unseen since January 2021, while SK Hynix shares jumped more than 12% to an all-time high. This surge propelled the benchmark KOSPI index to a record, demonstrating the significant impact of the collaboration on the South Korean stock market. On October 10, 2025, SK Hynix shares jumped 10% on the Korea Exchange (KRX), and Samsung Electronics rose nearly 6%. Samsung's stock has increased by 77% this year, boosting its market capitalization to $393.05 billion.
As of October 2025, Samsung has a market cap of approximately $430.42 Billion USD, making it the 22nd most valuable company in the world. SK Hynix's market cap stands at $207.02 Billion USD, ranking it as the 76th most valuable company globally.
The OpenAI Partnership: A Deep Dive
The collaboration is centered around OpenAI's Stargate project, a $500 billion initiative aimed at building infrastructure to support artificial intelligence. As part of the agreement, Samsung and SK Hynix will work with OpenAI to construct two data centers in South Korea. This partnership aims to expand infrastructure critical to AI development, both globally and within Korea.
The deal stipulates that Samsung and SK will increase their production to 900,000 DRAM wafers per month for use in AI data centers and the Stargate initiative. This represents a significant increase, more than doubling the current industry capacity for high bandwidth memory chips.
Strategic Implications and Industry Impact
The partnership is expected to provide South Korean chipmakers with an early advantage in the world's largest AI infrastructure project, fostering growth in the domestic chip industry. According to KB Securities analyst Jeff Kim, the strategic partnership should resolve concerns about high bandwidth memory prices falling next year due to intensifying competition.
Samsung and SK Hynix are also set to benefit from OpenAI's partnership with Advanced Micro Devices Inc. (AMD), a deal anticipated to fuel memory chip demand amid the global race to scale up AI computing power. Experts estimate that Korea's two chipmakers could capture as much as 15 trillion won ($10.6 billion) in related sales, given that HBM accounts for 10% to 15% of an AI accelerator's total cost.
The Broader AI Landscape
The surge in market capitalization reflects the broader trend of increasing demand for semiconductors, driven by the global AI boom. This demand has led to rising exports for South Korea, with exports rising in September at the fastest pace in 14 months.
SK Hynix, in particular, has been a key player in the high-bandwidth memory (HBM) market, essential for AI applications. The company's strategic focus on HBM has delivered exceptional financial results, with operating profits surging 158% year-over-year in Q1 2025. SK Hynix expects the market to continue growing at a 30% annualized rate through the end of the decade.
Future Outlook
Analysts predict continued strong performance for both Samsung and SK Hynix, with sales expected to increase in the coming quarters. The long-term outlook for the AI-focused memory chip market remains positive, with projections indicating substantial growth in the coming years.
