SK Hynix reportedly in talks with Intel to build memory chips in US

South Korean representation spot elephantine SK Hynix is successful discussions with Intel to manufacture RAM chips successful the U.S. for the archetypal time, Reuters reported, citing anonymous sources.

The companies person reportedly discussed assorted options, 1 of which would person SK Hynix leasing abstraction astatine Intel’s planned mill successful Ohio to manufacture the chips. The chipmakers are besides said to beryllium considering a associated task that could see cloud-service providers.

SK told TechCrunch connected Wednesday that thing has been finalized yet. “SK Hynix is exploring assorted options to fortify its planetary competitiveness, but nary circumstantial plans oregon arrangements person been finalized astatine this time,” the Korean semiconductor institution said successful a statement. “No decisions person been made regarding the 2 scenarios mentioned successful the article.”

The Korean spot giant, which has benefited massively from skyrocketing request for high-bandwidth representation RAM chips utilized successful information centers for AI applications, is already gathering a $3.8 billion precocious packaging and probe installation for AI chips successful West Lafayette, Indiana, with wide accumulation expected to statesman successful 2029. The mill volition usage DRAM wafers made successful South Korea and bundle them into HBM chips.

It remains unclear what types of representation chips the institution would nutrient successful Ohio if the woody goes through.

As a planetary spot shortage worsens, the Trump medication is seeking to grow accumulation connected American soil. The White House said in January that it could enforce broader tariffs connected semiconductor imports portion offering tariff alleviation to companies investing successful home manufacturing.

SK Group Chairman Chey Tae-won signaled enactment for U.S. spot accumulation successful July, saying the institution should physique factories successful the U.S., if feasible, alongside those successful South Korea’s Honam region. That month, the chipmaker listed its American depository receipts connected the Nasdaq, broadening its entree to American investors.

The imaginable woody with Intel could look scrutiny astatine home. Seoul holds that the determination would beryllium up to SK Hynix, but immoderate program involving strategically important spot exertion could trigger a authorities reappraisal nether a instrumentality designed to forestall delicate exertion from being transferred overseas, according to Reuters.

Intel and SK Hynix person done concern before: In 2020, Intel sold its NAND flash-memory concern to SK Hynix for $9 billion.

Intel did not instantly respond to TechCrunch’s petition for remark extracurricular regular concern hours.