SK Hynix to invest 54 trillion won in two AI memory fabs

SK Hynix, the world's second-largest memory chipmaker, announced a massive 54 trillion won (approximately $38 billion) investment on Friday, August 7, 2026, to build two new semiconductor fabrication plants in South Korea. The move is a direct response to surging, long-term demand for memory chips driven by artificial intelligence.

The company's board approved 35.2 trillion won for a new DRAM facility, designated Y2, in the Yongin Semiconductor Cluster in Gyeonggi Province. A further 19.1 trillion won was earmarked for a NAND flash memory plant, called M17, in Cheongju, North Chungcheong Province. This decision executes a mid-to-long-term strategy the company unveiled in June, which outlines a total planned investment of 600 trillion won in the Yongin cluster and 100 trillion won to expand its Cheongju production base.

An SK Hynix official stated the investment was made to seize opportunities aligned with market growth. The company aims to proactively secure production capabilities to become a key partner in AI infrastructure and contribute to stabilizing the global AI semiconductor supply chain. The company views the current demand surge not as a temporary cycle but as a...