Samsung and SK Hynix Reset Memory Deals with Google and Microsoft, Moving to 3–5 Year Long-Term Agreements

TrendForce reported on April 9, 2026 that Samsung and SK Hynix are abandoning annual DRAM and HBM contracts with major hyperscalers in favor of 3-to-5-year long-term agreements (LTAs). The structural shift reflects both memory makers' confidence in sustained AI infrastructure demand and their desire to lock in volume commitments as HBM4 production ramps begin in the second half of 2026. Annual contracts, which had been the industry norm, are now viewed as insufficient to provide the supply-chain certainty either side requires.

SK Hynix is in advanced talks with Google on a five-year commodity DRAM deal — potentially extending to seven years with HBM conditions attached — and is simultaneously finalizing a multi-year DDR5 agreement with Microsoft worth tens of trillions of won. Samsung is pursuing similar long-term structures with its own hyperscaler partners, though specific terms have not been disclosed. The timing coincides with both companies' ramp of HBM4 production, which requires significant capital commitment and predictable demand signals.

The transition to LTAs has significant implications for memory pricing and market dynamics. Long-term agreements typically lock in pricing bands that can diverge substantially from spot market rates, insulating both buyers and sellers from volatility. For Google and Microsoft, multi-year supply security reduces the risk of AI infrastructure bottlenecks as they scale next-generation data center deployments. Analysts at TrendForce note that the deals could also put pressure on Micron, the third major DRAM supplier, to offer similarly aggressive long-term terms to avoid being crowded out of hyperscaler procurement cycles as Samsung and SK Hynix lock up the largest customers.