Hong Kong Stocks Movement | GIGADEVICE (03986) Surges Over 5% to Hit Record High; Micron Says Memory Chip Shortage Worsens, Supply Constraints to Persist Beyond This Year

Stock News01-20 09:59

GIGADEVICE (03986) rose over 5%, reaching an intraday high of HKD 304.8, marking a new record high since its listing. At the time of writing, the stock was up 3.93%, trading at HKD 301.4, with a turnover of HKD 95.1011 million. Recently, an operations executive from Micron Technology stated in an interview that the memory chip shortage has intensified over the past quarter, reiterating that supply constraints will persist beyond this year, driven by surging demand for high-end semiconductors from AI infrastructure development. Furthermore, to address the supply shortage, Micron Technology is actively expanding production through acquisitions; the company recently announced it will acquire a wafer fab plant and related facilities from Powerchip Semiconductor Manufacturing Corp. for a total of $1.8 billion to boost its memory chip production capacity. Previously, TrendForce pointed out that the current round of price increases is not driven by short-term sentiment but is a result of the combined effect of "limited advanced process capacity + rigid growth in AI server demand," demonstrating significantly stronger sustainability compared to previous cycles. The fundamental driver on the demand side originates from AI data centers. TrendForce predicts that capital expenditure from the world's eight major cloud providers is expected to increase by approximately 65% year-on-year in 2025. Both IDC and Gartner noted in their annual reports that AI servers have become the fastest-growing segment in data center IT investment, with storage systems being a key beneficiary.

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