SEOUL (Reuters) -The world’s second-largest maker of memory chips, SK Hynix, said on Friday it had decided to invest about 9.4 trillion won ($6.8 billion) in its first chip plant in the South Korean city of Yongin. The SK Hynix chip investment aims to address growing demands for advanced semiconductor solutions. #SKHynixChipInvestment
The Nvidia supplier reported its highest earnings since 2018 and noted rising AI chip demand. It has been planning investment since 2019 in four new chip plants near Seoul.
“The Yongin cluster will be the foundation for SK Hynix’s mid- to long-term growth,” said Kim Young-sik, the firm’s head of manufacturing technology.
The investment aims to respond to demand for AI semiconductors and secure future growth, SK Hynix said in a regulatory filing.
The sprawling 4.2 million sq. m. site will house SK Hynix’s four planned chip plants for next-generation semiconductors. Additionally, it will accommodate over 50 small local firms in the chip industry.
Friday’s figure is expected to cover work on the first plant until end-2028, for utilities such as water and electricity, as well as business support and welfare facilities.
The site will include a “mini-fab” research facility for processing 300-mm silicon wafers. This will allow domestic chip makers to test products in a realistic setting. #SKHynixChipInvestment
The news follows the company’s April plan to invest about $3.87 billion in an advanced packaging plant. This investment also includes a research and development facility for AI products in Indiana.
The SK Hynix chip investment aligns with broader industry trends and technological innovations. Therefore, this development is expected to drive future growth and innovation in the semiconductor sector.
