SK hynix is establishing its first HBM production facility in Indiana, aiming to enhance its responsiveness to local customers while directly integrating into the AI semiconductor supply chain in the U.S.
On August 27, SK hynix announced the groundbreaking of its advanced packaging production base for AI memory in West Lafayette, Indiana, with a total investment exceeding $4 billion. The factory is expected to complete its cleanroom by October 2028 and begin mass production of next-generation HBM in the second half of 2029.
The Indiana facility will operate in conjunction with existing production sites in South Korea. Wafers produced in Korea will be brought to the U.S. for advanced packaging and testing, creating a structure to supply HBM produced in the U.S. to local customers.
This initiative is significant as it marks SK hynix's direct establishment of an HBM supply chain in the U.S. With demand for HBM in AI servers increasing among major tech companies and data centers, the company aims to secure production and R&D bases closer to its customers.
The plant will also feature R&D and testing facilities for advanced packaging. Customers, universities, and business partners will collaborate on developing next-generation packaging technologies, prototype production, and performance validation.
SK hynix is also working to expand the local ecosystem, with over 100 materials, components, and equipment companies discussing entry into West Lafayette. The construction and operation of the plant are expected to create approximately 7,000 jobs, both directly and indirectly.
The Indiana facility will also enhance local R&D capabilities. On the same day, SK hynix signed a memorandum of understanding with Purdue University to collaborate on advanced packaging technology research. Together, they will develop next-generation system integration technologies, including HBM and advanced packaging.
Industry observers note that the Indiana plant could serve as a hub connecting U.S. customers with research institutions and materials, components, and equipment companies, potentially expanding the HBM supply chain from a Korea-centric model to a U.S.-Korea integrated structure.
SK hynix plans to further collaborate with universities and research institutions in the Midwest, aiming to secure local talent and advance technology development to strengthen its HBM competitiveness.
Gwak No-jung, CEO of SK hynix, stated, "The Indiana plant will be the first base to provide HBM produced in the U.S. We will expand our investment and collaboration in the U.S. to become a partner in shaping the future of AI."
* This article has been translated by AI.
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