SK Hynix Inc plans to spend about US$14.6 billion building a new memorychip complex in South Korea, preparing to meet rapidly growing demand for semiconductors employed in artificial intelligence (AI) development.
The company intends to set aside an initial 5.3 trillion won (US$3.9 billion) to begin constructing a new factory toward the end of this month, aiming for completion by November next year. The total investment on the site would surpass 20 trillion won as SK Hynix fits it out with equipment over the long term, it said in a statement.
SK Hynix, which is to report quarterly results today, is the leader in a type of advanced chip called high-bandwidth memory (HBM) tailored for AI, outcompeting Samsung Electronics Co.
Photo: Bloomberg
HBM chips work well with accelerators designed by Nvidia Corp, and SK Hynix foresees demand for HBM growing 60 percent annually in coming years, even as sales of regular DRAM climb alongside a proliferation of data centers.
The company plans to locate its newest plant close to its production base in Cheongju. It is also expanding in the US, with plans to spend US$3.9 billion on an advanced packaging plant and research center for AI products in Indiana.
SK Hynix is proceeding with other domestic investments including in the Yongin Semiconductor Cluster, where it is planning to inject about 120 trillion won in the long term.
Separately, Vietnamese tech giant FPT plans to build a US$200 million AI factory using Nvidia technology, the company said on Tuesday, as Vietnam aims to become a semiconductor and AI hub.
Long a low-cost destination to make clothes, shoes and furniture, Vietnam is now eyeing a rapid climb up the global supply chain and has put computer chips at the heart of its development plans.
“FPT is committed to digital transformation, AI, cloud, and education ... working to achieve its vision to turn Vietnam into an AI hub of the world through collaboration with Nvidia in technology, business development, and training,” FPT chairman Truong Gia Binh said in a statement.
The factory will help FPT "accelerate the construction and development of AI platforms and applications," he said.
As part of its collaboration with Nvidia, FPT plans to incorporate the US chip company's programs into university and high school curricula to develop high-tech human resources, aiming to reach at least 30,000 students within five years.
The statement did not give details of where the factory will be built.
Additional reporting by AFP
NEW MARKET: The partnership opens up India to the Dutch company, which already has a strong hold in the semiconductor market of South Korea, Taiwan and China ASML Holding NV entered into a partnership agreement with Tata Electronics Pvt Ltd aimed at ramping up India’s goal to develop domestic chip-manufacturing capabilities. The Dutch company’s technology would help power Tata Electronics’ planned 300 millimeter (mm) semiconductor foundry in Gujarat, according to a joint statement from the two companies on Saturday. The signing of a memorandum of understanding coincides with a visit by Indian Prime Minister Narendra Modi to the Netherlands, which is looking to deepen bilateral relations with New Delhi. ASML, whose top customers include Taiwan Semiconductor Manufacturing Co (台積電) and Samsung Electronics Co, makes lithography machines that can print
TECH RELIANCE: Growth is increasingly reflecting an unequal K-shaped distribution, where technology sectors outperform and other industries struggle, an expert said Standard Chartered Bank has significantly raised its forecast for Taiwan’s economic growth to 9.5 percent this year, up from 7.6 percent previously, citing surging artificial intelligence (AI) demand driving exports, semiconductor production and investment. The upgrade reflects a sustained AI supercycle that continues to fuel demand for advanced chips and technology infrastructure, which form the backbone of Taiwan’s exports, the bank said in a report this week. “We raise our 2026 growth forecast to reflect a much stronger-than-expected first-quarter GDP figure,” Standard Chartered senior economist for greater China and Asia Tommy Wu (胡東安) said in the report. Driven largely by a 35.3 percent
Tokyo Electron's Taiwan unit today said in a written response that it respects the judicial process, takes the court ruling seriously and would not appeal in the Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) trade secrets case. Last month, a court fined the Taiwan unit of Japan's Tokyo Electron NT$150 million (US$4.74 million) in a case involving trade secrets related to TSMC's sensitive chip technology.
Two of Taiwan’s international carriers, Starlux Airlines Co (星宇航空) and EVA Airways Corp (長榮航空), have retained the five-star airline rating awarded by international airline review organization Skytrax. Starlux was awarded the distinction for a second consecutive year, while EVA Air received it for the 11th straight year, Skytrax said in statements released yesterday and on Thursday last week, respectively. The five-star rating is considered one of the airline industry's highest honors and is awarded following professional audits of airline product and frontline service standards, Skytrax said. The ratings are based on in-depth assessments using unified global quality standards rather than customer review scores
RSS