gaming

SK hynix to invest 100 trillion won ($65B) in South Korea chip plants

SK hynix will invest 100 trillion won (~$65 billion) to build new chip facilities in South Korea, splitting the funding between NAND flash production and a chip packaging plant. About 80 trillion won targets NAND memory and 20 trillion won is for a packaging plant expected to be operational by late 2027. The move aligns with South Korea’s broader AI chip push, backed by government investment plans, while manufacturers warn that tight memory supply and long-term contracts point to a prolonged market imbalance. Industry comments suggest memory shortages and elevated demand may persist beyond 2028.

• 100 trillion won total: 80T for NAND flash, 20T for packaging (online by late 2027)
• Part of a larger South Korean AI chip investment push with government backing
• Multi-year contracts (e.g., Biwin $2B) indicate buyers expect stable or rising pricing
• Manufacturers say demand outstrips supply; memory tightness could continue past 2028