SK Hynix approves $38 billion investment for new memory fab, not expected to be operational before December 2028
SK Hynix's board of directors approved on August 7 a total investment of 54.3 trillion Korean Won (approximately 38 billion USD) for the construction of two new factories. Of this, 35.2 trillion Korean Won will be allocated to the Y2 factory in Yongin, which will produce High Bandwidth Memory (HBM) and next-generation DRAM; the remaining 19.1 trillion Korean Won will be used for the M17 factory in Cheongju, which will produce NAND flash memory. Construction for the M17 factory is expected to begin in February 2027, with its first cleanroom opening in December 2028; construction for the Y2 factory is expected to begin in July 2027, with its first cleanroom opening in June 2029. The company stated that this investment aims to capitalize on market growth opportunities. As the new capacity will not alleviate supply shortages in the short term, memory prices may remain high until the end of 2028.
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