SK Hynix invests $720B to build South Korea’s largest memory factory network

SK Hynix just committed $720 billion to constructing the largest network of memory fabrication plants ever built. The investment, concentrated in South Korea, is the company’s answer to a simple question: who’s going to make all the memory chips that AI needs? The numbers behind the bet On August 7, SK Hynix’s board approved roughly 54 trillion won, approximately $38 billion, as the first major tranche of spending. That money will fund construction of the Yongin Y2 fab for DRAM and high-bandwidth memory (HBM) production, along with the Cheongju M17 NAND fab. Construction on both facilities is set to begin in 2027, with cleanrooms expected to open between 2028 and 2029. In July, SK Hynix raised $26.5 billion through a US listing on the Nasdaq, marking the largest American depositary receipt offering ever by a foreign company. That capital injection is earmarked for both new facility construction and continued R&D in semiconductor technology. SK Hynix’s market capitalization has now surpassed $1 trillion. Why memory chips matter more than ever SK Hynix currently commands 58% of the global HBM market as of the first quarter of 2026. Samsung and Micron each hold 21%. South Korean P...