SK hynix starts Indiana work on AI memory packaging plant
SK hynix says the Indiana site will be its first U.S. HBM production base, with more than $4 billion in expected investment and mass production targeted for the second half of 2029.
SK hynix said it held a groundbreaking ceremony on Aug. 27 in West Lafayette, Indiana, for an advanced packaging facility the company says will support production of high-bandwidth memory, or HBM, used in artificial intelligence systems.
The company said the site would give it its first HBM production base in the United States and add a domestic step to a supply chain that currently connects production in South Korea with packaging and testing in Indiana. SK hynix said the facility is intended to supply U.S. customers with made-in-USA products after wafers produced in Korea are sent to Indiana for advanced packaging and testing.
In its release, SK hynix said the Indiana fab has a total expected investment of more than $4 billion. The company said the cleanroom is scheduled to open by October 2028 and that mass production of next-generation HBM is targeted for the second half of 2029.
The release also said the fab is projected to support about 1,000 personnel during commercial operations. SK hynix said it expects to create about 7,000 direct and indirect jobs during construction and commercial operations. The company said it is considering more than 100 suppliers for materials, components and equipment.
SK hynix said it will build an Advanced Packaging R&D Testbed alongside the production lines. It also said it signed an MOU with Purdue University for advanced packaging research and development collaboration.
The ceremony, according to the company, included Indiana Gov. Mike Braun, U.S. Sen. Todd Young, Purdue University President Mitch Daniels, Korea-U.S. Alliance Foundation Chairman Robert Abrams, South Korea Ambassador Kang Kyung-wha, and SK Group executives Yu Jeong-Joon, Lee Hyung-hee and SK hynix CEO Kwak Noh-Jung.
SK hynix said the project is part of a broader effort to expand its HBM production footprint and integrate work between the U.S. and South Korea. The company also said SK Group will take part in the USFK Veterans Job Platform to help provide employment opportunities for discharged U.S. Forces Korea service members.
The company said several statements in the release are forward-looking and that the material has not been independently verified.
What happens next will center on construction milestones, including the planned cleanroom opening in October 2028 and the company’s target to begin mass production in the second half of 2029.
Sources
Editorial note: This article was prepared with AI assistance and includes source attribution for reader review.
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