00:00SK Hynix announcing today that it's going to list in the U.S. a $29 billion listing.
00:04So if you didn't have enough of the memory chip stocks and various other AI related stocks in
00:11your portfolio, you're going to have another chance to add to them. But it is a good point
00:15though, right, Peter? What you say, the only thing I would push back on is if you need memory chips,
00:20you need to renew them in a couple of years, right? So once you gain the business,
00:25assuming the switching costs aren't too high, then you keep the business.
00:32Yeah. Yeah. The numbers in these fundraisings are getting pretty amazing. I mean, it's $29 billion
00:37that SK Hynix is talking about. You know, in past years, we talk about what a stunning record that
00:42is. This may actually get lost this year because we've had the SpaceX IPO. We've had Google's
00:48fundraising for tens of billions of dollars too. But for SK Hynix, this is a big deal. So one of
00:53the key constraints in the memory chip industry right now is capacity. SK Hynix has talked about
00:58this. Samsung has certainly Micron will after the bell today. SK Hynix wants to be able to raise this
01:04$29 billion to be able to build additional capacity. They're building in South Korea. They're also
01:09building some facilities in the United States. So they want to be able to add that capacity.
01:13This is something, of course, that their customers really want because they don't want to see these
01:17prices anymore. But it is a bit of a question mark for the rest of the industry because if you
01:22add too
01:23much capacity and if you end up overbuilding from what the demand is, then you're looking at a future
01:28where maybe that cycle starts to go down. Maybe prices go down, profits go down, revenue go down.
01:34That's bad for everybody in the industry.
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