SK Hynix has decided to invest 9.4 trillion won or $6.8 billion in building the first fab and business facilities of the Yongin Semiconductor Cluster to address demand for AI memory semiconductors.
SK Hynix, one of the suppliers to Nvidia, aims to start construction of the 1st fab in the Yongin cluster in March next year and complete the project in May 2027.
The Yongin Cluster, which will be built on a 4.15 million square meter site in Wonsam-myeon, Yongin, Gyeonggi Province, is under site preparation and infrastructure construction.
The proposed investment will be between August 2024 and the end of 2028. It will cover construction costs for the operation of the cluster, including auxiliary facilities, business support buildings.
SK Hynix will build four fabs that will produce next-generation semiconductors, and a semiconductor cooperation complex with more than 50 small local companies.
SK Hynix will produce DRAMs, including HBM, a representative AI memory, at the 1st fab prepare for production of other products.
In addition, SK Hynix plans to build a Mini-fab2 within the first phase to help small businesses develop, demonstrate and evaluate technologies.
“The Yongin Cluster will be the foundation for SK Hynix’s business 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.