China’s CXMT prepares to produce advanced memory chips rivaling Samsung, SK Hynix

China's state-backed ChangXin Memory Technologies is preparing to produce advanced smartphone memory chips on par with the industry's most cutting-edge designs, according to Bloomberg, marking a leap that has renewed pressure on established memory-chip leaders.straitstimes

Nearing LPDDR6 Mass Production

CXMT, which completed a blockbuster initial public offering on the Shanghai Stock Exchange in July, is preparing to manufacture sixth-generation low-power double-data-rate memory chips, known as LPDDR6, in small quantities around the end of the year, people familiar with the matter told Bloomberg. Mass production would follow at a later date.straitstimes

The chipmaker, blacklisted by the Pentagon over its alleged ties to China's military, has nearly completed research and development validation for its first LPDDR6 chip, Chinese outlet Yicai reported. The chip is designed to reach a peak data rate of 12,800 megabits per second with a 16-gigabit die density, specifications that closely mirror those disclosed by SK Hynix ↘ 3.12% when it announced its own LPDDR6 chip in March.chinadaily+4

SK Hynix is preparing to begin mass production of LPDDR6 in the second half of 2026, while Samsung Electronics showcased its own version at CES 2026 in January but has not confirmed a production timeline. Micron Technology ↘ 2.22% acknowledged on its June earnings call that demand would shift toward LPDDR6 without disclosing concrete development plans.biz.chosun+1

Memory Stocks Under Pressure

The news adds to weeks of selling pressure on memory-chip stocks that began with CXMT's IPO, which saw shares surge 466% on their first trading day and valued the company at roughly $484 billion, according to The Wall Street Journal. Micron shares fell early Monday before recovering, while SK Hynix's American depositary receipts also dropped in premarket trading, Barron's reported.investors+2

Since CXMT's listing on July 27, memory stocks have faced repeated bouts of weakness. CNBC reported that SK Hynix plunged more than 10% in South Korea the following session, while Samsung Electronics fell over 8%.cnbc

The Broader Competitive Landscape

Despite its rapid progress, CXMT still trails incumbents on market share: the Hefei-based company held roughly 7.6% of global DRAM revenue in the first quarter of 2026, compared with Samsung's 39% and SK Hynix's 29%. Analysts at Morningstar have cautioned that the current memory undersupply driving strong DRAM prices is temporary, forecasting sharp capacity growth from memory makers in late 2027.valueaddvc+1

Apple ↘ 0.80% executives have lobbied U.S. policymakers to allow procurement of chips from CXMT amid a global memory shortage that has driven up device prices, but lawmakers have resisted, warning against reliance on a U.S. adversary for crucial components.straitstimes