Memory Chipmakers Out-Earn Apple, Microsoft and Amazon on AI Boom

The world's five largest memory chip suppliers have, for the first time, reported higher combined operating and net profit in a quarter than the five biggest US technology companies. The driver is the AI boom, where demand for memory continues to outstrip supply.

According to QUICK FactSet data, the combined quarterly operating profit of Kioxia Holdings, Samsung Electronics, SK hynix, Micron Technology and Sandisk rose tenfold year over year to roughly 32 trillion yen ($204 billion). Alphabet, Microsoft, Amazon, Meta and Apple together earned 25 trillion yen, up about 20%. Apple's figure is based on market forecasts, because the iPhone maker has not yet published its results for the period.

Record results across the sector

Kioxia's operating profit grew 23-fold to 1.99 trillion yen, while net profit jumped 33-fold to 1.36 trillion yen. It was the first time the company's net profit passed 1 trillion yen, a level previously reached among Japanese companies with a March fiscal year-end only by giants such as Toyota Motor and SoftBank Group. Kioxia expects another 1.36 trillion yen in net profit this quarter, a 15-fold increase.

Samsung's operating profit rose almost ninefold to 107 trillion won ($80.2 billion). In its report, the company called itself the world's first technology company to exceed 100 trillion won in quarterly operating profit. It has also already sold out all the high-bandwidth memory (HBM) it plans to produce next year.

Margins near 70%

Operating margins show how sharply the market has shifted: they were around 10% in the first half of 2025 and are now approaching 70%. "Memory prices have risen tenfold over the past year and a half," said Tetsuya Wadaki, senior analyst at SBI Securities.

Big tech companies, with the exception of Apple, are investing heavily in data centers, which tightens memory supply and fuels supplier profits. Doubts are already emerging, however, over whether the industry can sustain its current level of spending in this segment, a question that will shape how long the windfall lasts.