Got $100? 1 Artificial Intelligence (AI) Memory ETF to Buy Right Now.
Yahoo Finance ·
Artificial intelligence chips need to process massive amounts of data quickly -- and to access it in an optimal way, they need that data stored nearby on high bandwidth memory (HBM) chips. For example, Nvidia 's ( NVDA -1.01% ) new Rubin GPU is designed to use as much as 288 gigabytes of HBM4, the fourth generation of high bandwidth memory. That's nearly three times the memory used in Blackwell, its predecessor architecture. And rival Advanced Micro Devices ' ( AMD -3.54% ) MI400 series accelerators are designed to use up to 432 gigabytes of HBM4. Because of these growing needs, there are shortages across the entire memory market, and rectifying that will require investment across the semiconductor supply chain. The iShares Semiconductor ETF ( SOXX -4.40% ) gives investors exposure to Micron Technology ( MU -7.24% ) , the chip designers driving HBM demand, and the equipment suppliers helping manufacturers expand production. Increasing memory supply will require the few major players in that niche to build large and complex new chip foundries -- and they are doing so. However, the pace of their expansion is constrained by long construction times, shortages of skilled workers, permitting requirements, and the need for additional energy infrastructure. Micron management says it expects supplies of DRAM and NAND to remain tight beyond 2027.
DYAX Investor Sentiment
Bullish (Long) 46% · Bearish (Short) 54%
541 participants
Related News
- Ford Just Put Apple Maps in the Dashboard of a $30,000 EV. Apple Didn't Have to Build a Car.
- Samsung nabs $200B chip deal with Broadcom
- The Smartest Way to Invest $5,000 in a Trillion-Dollar Stock Over Private Space Rivals
- Why UPS Is Betting $48 Million on Temperature-Controlled Logistics Growth
- Nvidia to invest $1B in Naver to boost South Korea AI factory infrastructure
- SA Asks: How much of a threat is China's Kimi K3 to US AI labs?
