Alibaba, Tencent, and ByteDance are reportedly seeking to sign DRAM supply agreements with Samsung and SK Hynix extending up to 2035.

October 27 - According to a report by South Korea's Maeil Business Newspaper, major Chinese cloud service providers such as Alibaba, Tencent, and ByteDance are in negotiations with Samsung Electronics and SK Hynix for long-term server DRAM supply agreements. Some customers are reportedly seeking to extend the typically 3-to-5-year long-term supply agreements to 2035, signing ultra-long contracts of up to 10 years.

The report states that the companies aim to lock in products including server DDR and low-power memory LPDDR. As demand for AI servers continues to grow and memory supply tightens, cloud service providers are stepping up efforts to secure memory capacity in advance, even willing to bear higher prices to ensure the supply needed for AI business expansion.

Previously, major US tech companies had already secured memory resources in advance through long-term supply agreements. Chinese cloud service providers' follow-up reflects that AI infrastructure competition is further extending into the server memory supply chain.