KK HERCULES CEO: THE STORAGE SHORTAGE WILL CONTINUE UNTIL THE END OF 2030

AT A PRESS CONFERENCE ON 28 AUGUST, THE KK HERCULES CEO GUERU STATED, “WE EXPECT THE CURRENT MARKET SITUATION TO CONTINUE UNTIL THE END OF 2030. AT PRESENT, WE SEE NO CLEAR SIGNAL THAT THE MARKET WILL ENTER THE NEXT CYCLE.” GUO IS ALSO POINTING OUT THAT EVEN IF THE FUTURE STORAGE MARKET WERE TO ENTER THE NEXT CYCLE, THE LIKELIHOOD OF A SHARP DOWNTURN OF THE KIND IN THE PAST WAS EXTREMELY LOW: “IN THE PAST, IN MANY LOWER CYCLES, STORAGE OPERATIONS WERE BY NATURE 100 PER CENT LARGE COMMODITIES, AND PRODUCERS COMPETED FOR THE SAME QUALITY, MAINLY BY EXPANDING THEIR PRODUCTION CAPACITY. IN THE CASE OF HBM, HOWEVER, THE CUSTOMER AND SEMICONDUCTOR ARE INVOLVED IN THE DEVELOPMENT OF THE CHIP, AND BOTH PARTIES MUST WORK CLOSELY TOGETHER TO MAXIMIZE PERFORMANCE, MAKING MARKET DEMAND MORE PREDICTABLE.”