SK hynix to spend $74.6 billion on memory business, another $58 billion for AI, semiconductors

SK hynix has announced plans to invest $74.6 billion over the next 3 years to strengthen its dominance of the memory market, which the South Korean memory giant commands 35% of the DRAM market already.

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SK hynix has started construction of its massive $90 billion "mega fab complex" in Gyeonggi Province, with Reuters reporting that SK hynix's parent company, SK Group, will spend another $58 billion on top of its $74.6 billion investment, into AI and semiconductors so that it can "improve its competitiveness by focusing on its AI value chain".

The gigantic new investment streams were outlined during a two-day strategy meeting, aiming to revive the group after SK hynix -- its main money maker -- and SK Group's electric vehicle (EV) battery arm after it "suffered heavy losses" reports Reuters.

• Read more: SK hynix plans $90 billion on 'world's largest mega fab complex' fully complete in 2046
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• Read more: TSMC and Global Unichip win bulk orders for base dies used on SK hynix's next-gen HBM4 memory
• Read more: SK hynix, Samsung, Micron are expanding HBM production, order strength to last throughout 2025
• Read more: SK hynix speeds up HBM development: HBM4 in 2025 and HBM4E now coming in 2026
• Read more: SK hynix GDDR7 memory expected to enter mass production in Q1 2025, behind GDDR7 competitors
• Read more: SK hynix president meets with TSMC CEO to discuss AI chip, HBM future
• Read more: SK hynix says most of its HBM for 2025 is sold out already, 16-Hi HBM4 coming in 2028
• Read more: SK hynix plans $14.6 billion on new chip fab in South Korea to meet 'soaring demand' of HBM
• Read more: SK hynix is now the second biggest company in South Korea by market value, only behind Samsung

SK Group aims to bolster its competitiveness in the AI market, including High Bandwidth Memory (HBM) chips, AI data centers, AI servers, and personalized AI assistants. SK Group Chairman Chey Tae-won said at the time of transition that a "preemptive and fundamental change is necessary".

During the meeting, SK executives agreed to take gradual steps to adjust the number of subsidies in the group to a "manageable range," but Reuters added that the executives didn't specify the scale of the reduction.