SK Hynix Targets Doubling Wafer Capacity as AI Demand Accelerates 

SK Group Chairman Chey Tae-won says SK Hynix plans to double wafer production capacity within five years, betting on sustained growth in AI-driven memory chip demand. 

SK Group Chairman Chey Tae-won said on Tuesday that SK Hynix plans to double its wafer production capacity over the next five years as the company positions itself to capitalize on surging demand driven by artificial intelligence.

Speaking at the Computex technology conference in Taipei, Chey said the memory chipmaker is preparing for continued growth in AI-related applications and is seeking to strengthen partnerships across Taiwan’s semiconductor ecosystem. He noted that collaboration opportunities extend beyond Taiwan Semiconductor Manufacturing Co. (TSMC), the world’s largest contract chipmaker.

Chey also expressed optimism about expanding SK Hynix’s role in the AI supply chain, stating that the company aims to become a key supplier of high-bandwidth memory (HBM) chips for NVIDIA’s upcoming Vera Rubin platform.

The comments come amid strong momentum for SK Hynix, which recently surpassed a market valuation of $1 trillion for the first time. The company’s rise has been fueled by investor enthusiasm surrounding AI technologies and growing demand for advanced memory solutions.

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SK Hynix currently leads the global HBM market with a 58% share in the first quarter, according to Counterpoint Research. Samsung Electronics and Micron Technology followed with 21% each.

Industry analysts increasingly believe that the rapid expansion of AI computing is reshaping the traditionally cyclical memory chip business. Reflecting this outlook, Goldman Sachs recently raised its long-term earnings projections for both SK Hynix and Samsung Electronics, citing expectations of sustained demand for AI-related semiconductors.

Chey had earlier warned that global wafer supply constraints could continue for several more years, underscoring the importance of expanding manufacturing capacity to meet future demand.

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Nikita Kumari
Nikita Kumari
Nikita Kumari is a Journalist at EFY. She decodes deals, investments, and policy shifts, redefining the semiconductor and tech landscape.

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