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SK Hynix Unveils $13 Billion Packaging Plant as AI Memory Crunch Deepens

Most 2026 output is committed to AI data centers, leaving consumers to face steep quarterly price hikes.

Overview

  • SK Hynix will build a 19 trillion won advanced packaging facility in Cheongju focused on HBM, with construction starting in April and completion targeted by late 2027.
  • Micron, SK Hynix, and Samsung report 2026 production largely allocated to datacenter and AI customers, and suppliers are favoring short quarterly contracts over multi‑year deals.
  • Industry trackers forecast DRAM prices to jump roughly 50%–55% in Q1 2026, with reports of some contracts rising 60%–70%, as Samsung’s TM Roh labels the shortage unprecedented.
  • New capacity will take years to matter: Micron says an Idaho fab comes online in 2027 with meaningful output in 2028, underscoring that shortages will persist well beyond this year.
  • Higher component costs are squeezing device makers—memory now accounts for about 20% of a laptop or smartphone’s hardware costs—as Apple negotiates pricier supply in South Korea and investors pile into memory stocks.