--- title: "Citi: Severe HBM Market Supply Shortage Seen in 2027-2028 as Demand Growth Far Exceeds Expectations" type: "News" locale: "en" url: "https://longbridge.com/en/news/300520785.md" description: "Citi forecasts a severe HBM supply shortage in 2027-2028, with demand surging 62% and 69% YoY respectively, far outpacing supply growth. The supply-demand gap is expected to widen to -36% by 2028. Consequently, HBM4 prices are projected to double to $4-5/Gb, benefiting suppliers like Samsung, SK hynix, and Micron through higher margins." datetime: "2026-09-30T05:40:46.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/300520785.md) - [en](https://longbridge.com/en/news/300520785.md) - [zh-HK](https://longbridge.com/zh-HK/news/300520785.md) generator: "portal-rs" --- # Citi: Severe HBM Market Supply Shortage Seen in 2027-2028 as Demand Growth Far Exceeds Expectations Citi released a research report stating that the recent HBM de-spec trend is not a sign of weakening demand, but rather a pragmatic approach to maximize accelerator shipments amid tight supply conditions. Driven by scaled-out AI architectures, continual learning, and broader adoption of ASICs/GPUs, the bank expects HBM bit demand to surge 62% YoY to 75.2 billion Gb in 2027, and rise a further 69% YoY to 127 billion Gb in 2028, around double market estimates. The bank noted that even as suppliers continue capacity expansion, supply will still significantly lag demand. The supply-demand gap is expected to widen from negative 21% in 2027 to negative 36% in 2028. Citi forecasts HBM supply to grow 64% YoY to 59.3 billion Gb in 2027, and increase 36% YoY to 80.9 billion Gb in 2028. By supplier, Samsung Electronics, SK hynix Inc. (SKHY.US) and Micron Technology, Inc. (MU.US) are expected to increase HBM capacity by 50%, 67% and 52% YoY respectively in 2027, reaching monthly wafer capacities of 240,000, 270,000 and 140,000 wafers respectively. The bank believes the projections reflect a severe supply shortage. Except for isolated cases, prices for HBM4 12hi are expected to surge 100% to 150% YoY from around USD2 per Gb in 2026 to a range of USD4-5 per Gb in 2027. HBM 8hi is expected to command a premium of around 20% to 30% over 12hi, creating substantial upside for memory suppliers in terms of average selling prices and profit margins. (da/ad)(Real-time Streaming US Stocks Quote; Except All OTC quotes are at least 15 minutes delayed.) ### Related Stocks - [MU.US](https://longbridge.com/en/quote/MU.US.md) - [SKHY.US](https://longbridge.com/en/quote/SKHY.US.md) - [SSNGY.US](https://longbridge.com/en/quote/SSNGY.US.md) - [HYNX.US](https://longbridge.com/en/quote/HYNX.US.md) - [MUD.US](https://longbridge.com/en/quote/MUD.US.md) - [MULL.US](https://longbridge.com/en/quote/MULL.US.md) - [MUU.US](https://longbridge.com/en/quote/MUU.US.md) - [MUZ.US](https://longbridge.com/en/quote/MUZ.US.md) - [SK.US](https://longbridge.com/en/quote/SK.US.md) - [SKDD.US](https://longbridge.com/en/quote/SKDD.US.md) - [SKHA.US](https://longbridge.com/en/quote/SKHA.US.md) - [SKHL.US](https://longbridge.com/en/quote/SKHL.US.md) - [SKHN.US](https://longbridge.com/en/quote/SKHN.US.md) - [SKHU.US](https://longbridge.com/en/quote/SKHU.US.md) - [SKHX.US](https://longbridge.com/en/quote/SKHX.US.md) - [SKHZ.US](https://longbridge.com/en/quote/SKHZ.US.md) - [SKUU.US](https://longbridge.com/en/quote/SKUU.US.md) - [07709.HK](https://longbridge.com/en/quote/07709.HK.md) ## Related News & Research - [Samsung Electronics says HBM to account for nearly 30% of industry DRAM capacity next year](https://longbridge.com/en/news/300362037.md) - [WithTech wins KRW 4.15 billion SK Hynix supply contract](https://longbridge.com/en/news/300558733.md) - [Micron Heads Into Earnings as JPMorgan Sees HBM Shortage Lasting Through 2028](https://longbridge.com/en/news/300334938.md) - [Why Micron stock dropped today](https://longbridge.com/en/news/300343531.md) - [Micron Heads Into Earnings With Memory Prices Still Climbing and Supply Nowhere Near Enough](https://longbridge.com/en/news/300284607.md) --- > **Disclaimer: This article is for reference only and does not constitute any investment advice.**