[News Article] SK hynix to build chip packaging fab in U.S.
SK hynix to build
chip packaging fab in U.S.
By Baek Byung-yeul,
The Korea Times - SK hynix will invest $3.87 billion to construct its first
advanced chip packaging plant in West Lafayette, Indiana, in cooperation with
Washington, which possesses many big tech companies in the AI sector, the
Korean chip maker said Thursday. The company, which
holds the largest market share in AI memory semiconductors, added that it would
also engage in semiconductor research and development in cooperation with
Purdue University located in West Lafayette, thereby reinforcing its
collaboration with the United States. With this investment
announcement, SK hynix will start producing AI memory products, including
high-bandwidth memory (HBM) chips, also known as AI memory chips, in its
Indiana factory in the second half of 2028. "We are excited
to become the first in the industry to build a state-of-the-art advanced
packaging facility for AI products in the United States that will help
strengthen supply-chain resilience and develop a local semiconductor
ecosystem," SK hynix CEO Kwak Noh-Jung said during the signing event held
at Purdue University, Wednesday (local time). "With this new
facility, we hope to advance our goal of providing AI memory chips with
unmatched capabilities, serving the needs of our customers," the CEO
added. SK hynix said that
the production base and R&D facilities being built there would create more
than 1,000 local jobs, contributing to the development of the U.S. state. In
addition, the company plans to establish partnerships for community development
with the state of Indiana and support the activities of the Purdue Research
Foundation, local non-profits and charitable organizations. The memory chip
industry has seen a surge in demand for high-performance memory chips, such as
HBM, as more AI services started becoming available. To strengthen its
technological leadership in the advanced chip packaging sector, SK hynix
decided to invest in the U.S., the company said. Having secured its
leadership position in the AI memory market, SK hynix decided to invest in the
United States to strengthen its technological leadership in the advanced
post-processing field and has been searching for an optimal site. The country
is home to the AI sector, which has a number of big tech customers and is
active in advanced post-processing technology research. After reviewing
various candidate sites, the company finally chose Indiana. This was because of
the state government's active efforts to attract investment, as well as the
region's rich manufacturing infrastructure necessary for chip production, the
company said, adding that the presence of Purdue, known for its advanced
engineering capabilities, was also highly rated. "Indiana is a
global leader in innovating and producing the products that will power our
future economy, and today's news is proof positive to that fact," Eric
Holcomb, governor of Indiana, said. "I'm so proud to officially welcome SK
hynix to Indiana, and we're confident this new partnership will enhance the
Lafayette-West Lafayette region, Purdue University and the state of Indiana for
the long term." Source: https://www.koreatimes.co.kr/www/tech/2024/04/129_372106.html
2024.04.05