From CNBC · Arjun Kharpal · · 1m 30s
Intel and SK Hynix eye U.S. chip manufacturing partnership
The South Korean memory giant is exploring making chips at Intel's Ohio facility, potentially through a lease or joint venture.
In brief
The South Korean memory giant is exploring making chips at Intel's Ohio facility, potentially through a lease or joint venture. SK Hynix, a leading AI memory chip maker, is in talks with Intel to manufacture in the U.S. for the first time, which could be a major win for Intel's struggling foundry business. Originally…
SK Hynix eyes Intel partnership
SK Hynix is in talks with Intel to manufacture memory chips in the U.S. for the first time. Shares of both companies jumped on the news, with Intel up 5%.
Ohio facility lease under discussion
One scenario has SK Hynix leasing part of Intel's Ohio chipmaking facility. Another option involves a joint venture with Intel and major cloud firms.
Big win for Intel's foundry
Landing SK Hynix would be a major victory for Intel's manufacturing business, a key part of CEO Lip-Bu Tan's strategy to attract marquee customers.
SK Hynix dominates AI memory
SK Hynix is a leading supplier of high-bandwidth memory, a critical component in Nvidia's AI chips. Its stock is up 400% over the past year.
“Demand for HBM is enormous”
South Korea may oppose deal
Manufacturing advanced memory like HBM in the U.S. could face opposition from South Korea's government, which considers the technologies sensitive.
Already expanding in Indiana
SK Hynix broke ground last month on a $4 billion Indiana factory. The CEO said it will become a key HBM production base in America by 2030.
The takeaway
SK Hynix, a leading AI memory chip maker, is in talks with Intel to manufacture in the U.S. for the first time, which could be a major win for Intel's struggling foundry business.
