SK hynix Board Approves Yongin Semiconductor Cluster Investment Plan
SEOUL, July 26, 2024 -- SK hynix Inc. announced today that it has decided to invest about 9.4 trillion won (~US$6.79 billion) in building the first fab and business facilities of the Yongin Semiconductor Cluster after the board resolution on the 26th.
SK hynix plans to start construction of the 1st fab to be built in the Yongin cluster in March next year and complete it in May 2027, and have received an investment approval from the board of directors prior to it. The company will make every effort to build the fab to lay the foundation for the company’s future growth and respond to the rapidly increasing demand for AI memory semiconductors.
The Yongin Cluster, which will be built on a 4.15 million square meter site in Wonsam-myeon, Yongin, Gyeonggi Province, is currently under site preparation and infrastructure construction. SK hynix has decided to build four state-of-the-art fabs that will produce next-generation semiconductors, and a semiconductor cooperation complex with more than 50 small local companies.
After the construction of the 1st fab, the company aims to complete the remaining three fabs sequentially to grow the Yongin Cluster into a “Global AI semiconductor production base.”
The amount of investment approved this time included various construction costs necessary for the initial operation of the cluster, including auxiliary facilities, business support buildings, and welfare facilities along with the 1st fab. The investment period was planned to be from August 2024 to the end of 2028, considering the design period to prepare for fab construction and the business support building scheduled to be completed in the second half of 2028.
The company will produce next-generation DRAMs, including HBM, a representative AI memory, at the 1st fab prepare for production of other products in line with market demand at the time of completion.
In addition, SK hynix plans to build a “Mini-fab” within the first phase to help small businesses develop, demonstrate and evaluate technologies. Through the Mini-fab, the company will provide small business partners with an environment similar to the actual production site so that they can improve the technological perfection as much as possible.
“The Yongin Cluster will be the foundation for SK hynix’s mid- to long-term growth and a place for innovation and co-prosperity that we are creating with our partners,” said Vice President Kim Young-sik, Head of Manufacturing Technology at SK hynix. “We want to contribute to revitalizing the national economy by successfully completing the large-scale industrial complex and dramatically enhancing Korea’s semiconductor technology and ecosystem competitiveness.”
About SK hynix Inc.
SK hynix, headquartered in Korea, is the world’s top tier semiconductor supplier offering Dynamic Random Access Memory chips (“DRAM”), flash memory chips (“NAND flash”) and CMOS Image Sensors (“CIS”) for a wide range of distinguished customers globally. The Company’s shares are traded on the Korea Exchange, and the Global Depository shares are listed on the Luxemburg Stock Exchange.
Source: SK hynix
