SK Hynix, the world’s second largest memory semiconductor maker, will hold a groundbreaking ceremony for M16 Plant in Icheon, Korea on Dec. 19, continuing to invest in facilities despite concerns about a global memory semiconductor oversupply. The chipmaker says it needs to build the new plant to meet future demand and secure a growth engine.
According to the semiconductor industry on Dec. 12, Chey Tae-won, chairman of the SK Group, Park Sung-wook, chairman of the SK Group’s ICT Committee, and Lee Seok-hee, president of SK Hynix, will attend the groundbreaking ceremony for Icheon M16 Plant.
Chey is expected to reiterate his strong will to invest in semiconductors at the groundbreaking ceremony, which will be held as an internal event without inviting outside guests. SK Hynix follows a strategy to expand production capacity by making scheduled investments regardless of the current market situation.
The new plant will be built on a site of 53,000 square meters in SK Hynix’s headquarters in Icheon. The plant is already in the foundation work phase and will be completed by October 2020. SK Hynix is expected to invest a total of 20 trillion won in construction and equipment. Although the company has yet to decide what products the plant will produce, extreme ultraviolet (EUV) equipment for ultra-fine processing is expected to be used to produce next-generation semiconductors.