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Samsung unveiled its zHBM 3D memory roadmap, featuring vertically stacked wafers bonded onto AI accelerators. The solution delivers over 10 times the storage density of conventional HBM5, marking a new paradigm shift to 3D integration for memory technology.
AMD’s Q2 earnings vastly outperformed market expectations. Revenue reached USD 11.54 billion, jumping 50% year-on-year, while adjusted EPS hit USD 1.66, surging 246% YoY. The firm forecasts data center revenue to double by 2027 and plans to launch rack-scale products within the same year.
Memory capacity is poised to be nearly fully booked out by 2027. DRAM and HBM capacity across the three major memory manufacturers has been fully pre-ordered, and NAND allocation is expected to be locked down by late August. Long-term supply agreements (LTAs) spanning 3 to 5 years have become standard industry practice.
The Philadelphia Semiconductor Index staged a four-session rebound with a cumulative gain of more than 15%. It surged 6.5% on August 4 alone, recouping most of its 20.6% plunge in July. Optical communications and memory stocks led the rally, with Coherent and Marvell climbing over 12%.
In-depth Analysis
Optical Communication & Optical Chips：No exclusive major updates today. Nevertheless, the optical communications sector delivered a strong performance on U.S. stocks on August 4: Coherent rose 12%, Lumentum climbed 8%, and Corning gained 9%. On the Hong Kong stock market, Zhongji Innolight surged 17%, Cambridge Technology jumped over 19%, and Yangtze Optical Fibre and Cable Parent Company advanced more than 10%, with the sector rallying in tandem with the rebounding SOX index. No separate industrial news updates emerged for sub-segments including optical chips, optical modules and CPO.
Advanced Packaging：No exclusive major updates today. The market has fully priced in ASE’s over-20% price hike for CoWoS and FoCoS announced back in July. TSMC is pushing forward its CoWoS glass substrate initiative alongside a 10-year packaging partnership with Amkor. Capacity remains tight, yet there were no fresh announcements on capacity expansion or new process nodes in the past two days. Omdia reaffirms that bottlenecks for HBM, advanced packaging and advanced manufacturing nodes will last through at least 2027.
SiC & Third-Generation Semiconductors：No major updates today. Dynanonic previously secured bulk orders for its SiC substrate polishing slurry, while Jingsheng Mechanical & Electrical continues to advance its pilot production line for 12-inch SiC substrates. No new industry developments regarding silicon carbide or gallium nitride have been released in the past two trading days.
Memory & Computing Chips：The most impactful signal: all DRAM and HBM capacity slated for 2027 has been fully sold out, and NAND Flash capacity is expected to be fully pre-booked by late August. Samsung unveiled its zHBM 3D stacking roadmap, delivering a 10x breakthrough in storage density via wafer bonding technology. On the same day, Samsung confirmed that its V10 NAND chips are already shipping to NVIDIA, production capacity for V9 NAND is being steadily expanded, and development of V11 (500-layer) NAND is underway. Microchip partnered with Micron to showcase a PCIe Gen6 memory architecture tailored for AI and data center infrastructure. AMD guided a doubling of its data center revenue by 2027, confirming sustained robust demand for AI compute chips.
Semiconductor Equipment & Materials：CITIC Construction Investment cited SEMI’s projection that global semiconductor equipment sales will reach USD 165.9 billion in 2026, representing a 23.2% year-on-year increase, with growth momentum set to persist through 2028. TSMC raised its 2026 capital expenditure (CAPEX) target to USD 60–64 billion, an upward revision of USD 8 billion or 15% from prior guidance. ASML’s Q2 results beat expectations across the board, marking the second upward adjustment to its full-year targets this year. Semiconductor equipment components are experiencing an unprecedented industry-wide price hike cycle. Lead times have lengthened for overseas suppliers of valves, pipelines, ceramic components, RF power supplies, gas boxes and other parts, reinforcing the thesis of domestic substitution.
Policy & Macro Environment：All semiconductor fabs in Kumamoto, Japan have fully resumed operations: TSMC’s JASM Fab 1 is running at normal capacity, Sony will restore pre-quake output levels by mid-August, and Tokyo Electron as well as Renesas have also restarted production. Supply chain disruptions to global CIS and power semiconductors stemming from the magnitude 7.1 earthquake that struck Kumamoto on July 28 have faded in the short term. Iran and Oman achieved “positive progress” in negotiations concerning the Strait of Hormuz, easing geopolitical risk sentiment. A fund under the third phase of China’s National Integrated Circuit Industry Investment Fund took an equity stake in Shenyang Zhengxin Semiconductor, a subsidiary of Fortune Precision Equipment. The registered capital of the firm was raised from RMB 100,000 to RMB 11.34 million.
Daily Investment Tips
1. Seller’s market for memory chips solidifies at an accelerated pace: With full 2027 capacity pre-sold and long-term supply agreements (LTAs widely adopted), DRAM and NAND price benchmarks enjoy strong support. Nevertheless, investors should watch out for risks of order revisions if AI demand growth decelerates amid overbooked capacity. Track the subsequent capital expenditure (CAPEX) expansion schedules of Samsung, SK Hynix and Micron.
2. Sustainability of the SOX index’s retaliatory rebound: The sharp rally — Nasdaq up 2.59% and SOX surging 6.5% — reflects sentiment-driven recovery after steep declines. However, the core triggers behind the 20.6% plunge in July, including valuation digestion, tariff risks and geopolitical tensions, have not been fundamentally resolved. Focus on earnings releases from Sandisk and Western Digital as well as forward guidance delivered at the FMS 2026 Flash Memory Summit this week.
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