❗️AI has a memory problem

AI companies can keep buying faster chips. The problem is, those chips are only useful if they have enough ultra-fast memory to feed them.

That memory is called HBM, High Bandwidth Memory. It sits right next to AI processors and moves data at ridiculous speeds, keeping the chip busy instead of making it wait around for information.

And demand is about to go absolutely crazy. Morgan Stanley estimates the AI industry could need up to 50 billion gigabytes of HBM in 2027 alone.

The reason is that AI is evolving from chatbots that answer a question and stop to agents that actually do things.

An agent might research a topic, browse dozens of pages, write code, run tests, analyze the results, remember what happened five steps ago, and then decide what to do next.

Every one of those steps creates more data that has to stay close and instantly accessible.