South Korean memory giant SK hynix announced on July 26th its decision to invest approximately 9.4 trillion won (USD 6.8 billion) to establish the first fab and business facilities at the Yongin Semiconductor Cluster. This major investment follows a board resolution and marks a significant step in SK hynix’s long-term strategy.
Construction of the fab is scheduled to commence in March 2025, with completion targeted for May 2027. The investment period spans from August 2024 to the end of 2028. The new facility will focus on producing next-generation DRAMs, including High Bandwidth Memory (HBM), and will adapt production based on market demands at the time of completion.
“The Yongin Cluster will be the foundation for SK hynix’s mid- to long-term growth and a place for innovation and co-prosperity that we are creating with our partners,” said Kim Young-sik, Vice President and Head of Manufacturing Technology at SK hynix. He emphasized the project’s potential to boost Korea’s semiconductor technology and overall economic vitality.
The Yongin Cluster, located on a 4.15 million square meter site in Wonsam-myeon, Gyeonggi Province, is currently undergoing site preparation and infrastructure development. SK hynix plans to build four advanced fabs within this cluster, along with a semiconductor cooperation complex housing over 50 small local companies.
Following the construction of the first fab, SK hynix aims to sequentially complete the remaining three fabs, transforming the Yongin Cluster into a “Global AI semiconductor production base.” The initial investment includes various construction costs for auxiliary facilities, business support buildings, and welfare facilities.
Additionally, SK hynix will develop a “Mini-fab” within the first phase to support small businesses in technology development and evaluation. This Mini-fab will provide an environment similar to actual production sites, enabling small partners to enhance their technological capabilities effectively.
