ChangXin Memory Technologies announces breakthrough in memory chip technology, triggering declines in Samsung and SK Hynix shares.

PANews October 13 news, according to Bloomberg, ChangXin Memory Technologies (CXMT) President Cao Kanyu announced at an industry conference in Shanghai that the company will launch a new generation of data center server memory chips using a 4F² architecture by the end of the year. The 4F² design can integrate the same number of memory cells in a smaller area, a technical threshold that Samsung and SK Hynix have been unable to achieve for years. If true, it means CXMT has made the breakthrough first despite being sanctioned by the United States and unable to obtain ASML's top-tier equipment. Cao Kanyu said the solution stacks transistors through a Vertical Surrounding Gate to reduce leakage. The news triggered a selloff in global chip stocks, with Samsung and SK Hynix falling more than 7% in Korean trading on Tuesday, while Micron closed down 4% overnight. CXMT's DRAM market share has risen from 4% in the same period last year to 10% in the second quarter of this year.