SK Hynix doubles its foundry production capacity.

SK Hynix welcomed the government's "K-Semiconductor Strategy" announced at Samsung Electronics' Pyeongtaek Campus on the 13th.

SK Hynix Vice Chairman Park Jung-ho announced on this day, “We are reviewing a plan to double our foundry production capacity compared to the current level.”

Vice Chairman Park stated that he would consider various strategic measures, including domestic facility expansion and M&A.

An SK Hynix official said, “By investing in the 8-inch foundry business, we will support not only the development/mass production of domestic fabless (system semiconductor design companies) but also their entry into the global market,” adding, “We can expand the scope of our semiconductor product supply to global companies, including mobile, home appliance, and automotive products.”

SK Hynix is committed to contributing to stabilizing supply amid the recent global shortage of non-memory semiconductors.

It is also Vice Chairman Park's strong will to support domestic fabless companies and revitalize the non-memory ecosystem.

In addition, there is an expectation in the industry that Vice Chairman Park Jung-ho, who recently took office as the CEO of SK Hynix, will soon announce specific investment plans, including M&A, as he is the manager who spearheaded SK Telecom's acquisition of SK Hynix in 2012.

Vice Chairman Park is involved in SK Hynix's major investments, including the investment in Japan's Kioxia (then Toshiba Memory) in 2017 and the acquisition of Intel's NAND business last year.It was here.

With Vice Chairman Park demonstrating his "M&A master DNA," the industry is paying close attention to whether SK Hynix will aggressively enter the non-memory sector as well.

There is also analysis that Vice Chairman Park has already shown signs of M&A in the foundry sector.

At the World IT Show held at COEX in Samseong-dong, Seoul on April 21, he said, “We need to invest more in foundries,” and mentioned that if domestic fabless companies are provided with services on the level of Taiwan’s TSMC, the world’s number one foundry, these companies will be able to develop various technologies.

Also, at SK Hynix's first quarter earnings announcement late last month, Vice President (CFO) Noh Jong-won stated, "We will invest in an 8-inch foundry," concretizing Vice Chairman Park's plan.

As strategic options such as domestic expansion and M&A were concretized in the announcement on the 13th, there are predictions that Vice Chairman Park, an 'M&A expert', will soon engage in M&A or aggressive equity acquisition.

SK Hynix is a typical memory semiconductor company, with non-memory businesses such as system semiconductors and foundries accounting for only 2% of total sales.

Currently, its subsidiary, SK Hynix System IC, is operating a foundry business in China, and there is still some foundry facility space left at the Cheongju plant.