SK Hynix approves $4.9 billion investment for HBM chip production
SK Hynix has approved an additional KRW 7 trillion ($4.9 billion) investment for its P&T7 facility in Cheongju, South Korea. The capital injection aims to accelerate the construction and commissioning of its High Bandwidth Memory (HBM) backend production lines.
SK Hynix is significantly expanding its production capacity for High Bandwidth Memory (HBM) chips.
The company's board has approved an additional KRW 7.09 trillion (approximately $4.9 billion) investment for the P&T7 facility located in Cheongju, North Chungcheong Province, South Korea. This funding is part of a previously announced total investment plan of KRW 19 trillion for the site.
The primary goal of this new capital is to expedite the timeline for the cleanroom enablement and bring the HBM production lines online faster. This move addresses the surging demand for HBM, a critical component for advanced AI applications and high-performance computing.
The P&T7 facility spans 230,000 square meters, with a total of 150,000 square meters dedicated to cleanroom space. The facility is designed to house both wafer-level packaging (WLP) and wafer testing (WT) lines.
This substantial investment underscores SK Hynix's commitment to fortifying its position in the HBM market, a key area of growth driven by the global artificial intelligence boom.