South Korean semiconductor giant SK Hynix is engaging in discussions with Intel to produce RAM chips in the United States for the first time, according to a report by Reuters citing anonymous sources. The potential collaboration has included conversations about SK Hynix leasing space at Intel’s upcoming factory in Ohio.
Reports also indicate that the two companies are considering the formation of a joint venture that could involve cloud-service providers. However, SK Hynix clarified on Wednesday that no agreements have been reached. In a statement to TechCrunch, the company noted that while it is exploring various options to bolster its global competitiveness, no specific plans or arrangements have been finalized, including the two scenarios mentioned in recent media coverage.
The discussions come as demand for high-bandwidth memory (HBM) chips, which are critical for AI data centers, has surged. SK Hynix is already investing $3.8 billion in an advanced packaging and research facility in West Lafayette, Indiana. Mass production at that site is scheduled to begin in 2029, utilizing DRAM wafers manufactured in South Korea to create HBM chips.
It remains unclear which types of memory chips would be produced in Ohio if a deal with Intel is struck. The White House has signaled an intent to expand domestic semiconductor manufacturing amid global supply chain concerns. In January, the administration stated it could impose broader tariffs on semiconductor imports while offering relief to companies investing in US production.
SK Group Chairman Chey Tae-won expressed support for US manufacturing in July, suggesting that the company should build factories in America alongside its facilities in South Korea’s Honam region. That same month, SK Hynix listed its American depository receipts on the Nasdaq to broaden access to US investors.
Intel and SK Hynix have a prior business relationship, having transacted in 2020 when Intel sold its NAND flash-memory business to SK Hynix for $9 billion. However, any new agreement involving strategically important chip technology could face scrutiny under South Korean laws designed to prevent the transfer of sensitive technology overseas.
Intel did not immediately respond to requests for comment outside of regular business hours.
Remember 2020? They bought Intel’s NAND business. Now they’re talking lease deals? Who trusts these early rumors anyway?
HBM demand is insane right now. If this partnership happens, it could really shake up the AI chip supply chain dynamics.
No deal yet, obviously, but the India expansion shows SK Hynix is serious about US presence regardless of this Intel talk.
Interesting that they mentioned a joint venture with cloud providers. Would love to know who those potential partners might be.