The SK Hynix logo is displayed on a mobile phone screen as shown in this illustrated photo taken on January 30, 2023 in Krakow, Poland.
Jakub Bolzycki | Noor Photos | Getty Images
SK hynixOne of the world’s largest memory chip makers says it will invest Spending US$3.87 billion to build the first chip packaging factory in the United Statesmarking another victory for the Biden administration’s domestic chip production efforts.
The South Korean company announced the West Lafayette, Indiana, project Wednesday at an event at Purdue University attended by officials from the Indiana and U.S. governments.
SK Hynix said the factory, expected to be operational in 2028, will house a production line for SK Hynix’s cutting-edge high-bandwidth memory chips, an important component of Nvidia GPUs used to train artificial intelligence systems such as ChatGPT.
“We are pleased to be the first in the industry to build a state-of-the-art advanced packaging facility for artificial intelligence products in the United States,” SK Hynix CEO Kwak Noh-Jung said in a statement. He added that this will “strengthen the supply chain resilience and developing local semiconductor ecosystems.”
The project will also bring more than a thousand new jobs to the region and will include an R&D facility to develop next-generation wafers, the company said.
US Chip Act
The planned Indiana facility joins a raft of new semiconductor investments announced in the U.S. since the passage of the U.S. Chip and Science Act in August 2022, which aims to build a domestic chip industry critical to the economy and national security. .
The bill provides billions of dollars in incentives for companies to produce chips in the United States on the condition that they do not expand certain semiconductor manufacturing operations in China and other countries considered national security risks.
“The Chip and Science Act opens the door for Indiana to race forward, and companies like SK Hynix are helping to build our high-tech industry,” Indiana Republican Senator Todd Young said in a statement. Technological future.”
In recent years, other Asian chipmaking giants have also been attracted to the United States.Korean Samsung A $17 billion chip manufacturing plant is being built in Texas and Taiwan British SemiconductorThe world’s largest chip foundry company has committed to spending $40 billion to build two chip foundries in Arizona.
While it took more than a year to distribute CHIPS Act funds, last month the White House awarded Intel a grant of up to $8.5 billion, with billions more available in loans.
SK Hynix rose more than 4% in trading on the Korea Exchange on Thursday. The company’s stock has soared more than 120% in the past year on excitement about Nvidia and artificial intelligence.
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