SK Hynix Invests $1 Billion in Key AI Memory Chip Technology

  • Korean chipmaker sees packaging as key to meeting AI demand
  • 3D semiconductor expert Lee paved the way for HBM leadership
Lee Kang-WookPhotographer: Woohae Cho/Bloomberg
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SK Hynix Inc. is ramping up its spending on advanced chip packaging, in hopes of capturing more of the burgeoning demand for a crucial component in artificial intelligence development: high-bandwidth memory.

The Icheon-based firm is investing more than $1 billion in South Korea this year to expand and improve the final steps of its chip manufacture, said Lee Kang-Wook, a former Samsung Electronics Co. engineer who now heads up packaging development at SK Hynix. Innovation with that process is at the heart of HBM’s advantage as the most sought-after AI memory, and further advances will be key to reducing power consumption, driving performance and cementing the company’s lead in the HBM market.