SK Hynix, the world’s second-largest memory chip producer, declared that it would invest more than 9.4 trillion won ($6.8 billion) in its first chip plant, which is situated in the South Korean city of Yongin.
SK Hynix, the second-largest memory chip manufacturer in the world, announced on Friday that it had chosen to invest over 9.4 trillion won ($6.8 billion) in its first chip plant, located in the South Korean city of Yongin. Since 2019, Nvidia (NVDA.O.), the supplier, has been preparing investments in four new chip facilities at a semiconductor cluster near Seoul. The company published its biggest earnings since 2018 on Thursday and highlighted the increased demand for AI chips. Head of Manufacturing Technology Kim Young-sik of SK Hynix stated, “The Yongin cluster will be the foundation for SK Hynix’s mid- to long-term growth.”
The head of manufacturing technology at SK Hynix, Kim Young-sik, stated that the Yongin cluster will serve as the cornerstone for the company’s mid- to long-term growth. According to SK Hynix in a regulatory filing, the investment intends to safeguard future growth and meet the need for AI semiconductors. According to a statement from SK Hynix, the expansive 4.2 million-square-meter property will eventually house the company’s four planned chip facilities that produce next-generation semiconductors, in addition to more than 50 small local chip sector businesses.
The amount announced on Friday is anticipated to cover utilities (water and electricity) as well as business support and welfare facilities for the first facility through the end of 2028.
As to the company’s statement, it would comprise a research facility called a “mini-fab” that has the capability to manufacture 300-mm silicon wafers. This will enable domestic chip material and equipment companies to test their products in an authentic environment. The announcement comes after the business revealed its plans in April to invest roughly $3.87 billion in Indiana, the U.S. state, for an advanced packaging plant and an AI product research and development center.
The amount announced on Friday is anticipated to cover utilities (water and electricity) as well as business support and welfare facilities for the first facility through the end of 2028. As to the company’s statement, it would comprise a research facility called a “mini-fab” that has the capability to manufacture 300-mm silicon wafers. This will enable domestic chip material and equipment companies to test their products in an authentic environment. The announcement comes after the business revealed its plans in April to invest roughly $3.87 billion in Indiana, the U.S. state, for an advanced packaging plant and an AI product research and development center.
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