The investment targets AI-driven HBM and NAND chips but won’t yield production until late 2028 amid tight supply.
SK Hynix approved $38 billion in spending for two new semiconductor plants, marking its largest capacity expansion. The funds will build the Y2 fab in Yongin for HBM and next-gen DRAM, and the M17 facility in Cheongju for NAND flash memory.
The Y2 fab receives 35.2 trillion won ($25.5 billion) with construction starting in July 2027, while M17 gets 19.1 trillion won ($13.8 billion) with groundbreaking in February 2027. Neither plant will produce chips before December 2028, extending the timeline for volume shipments.
The delay highlights the gap between capacity approvals and output in a market where memory prices have surged due to supply constraints. The investment targets AI-driven demand but won’t alleviate near-term shortages.