SK hynix, a South Korean memory chipmaker, is studying the feasibility of a joint venture to make memory chips in Japan as AI demand rises and the company seeks to control costs.

SK Inc Chairman Chey Tae-won said in Sendai that SK hynix is considering locations in Japan with reliable power and water.

Semiconductor fabrication plants require large volumes of ultra-pure water, so utilities are a key factor in site selection.

The review comes as SK hynix expands abroad after breaking ground on a US$4 billion advanced memory packaging plant in West Lafayette, Indiana.

It is also pursuing a 54 trillion won (US$39.4 billion) expansion in South Korea.

AI memory is playing a larger role in the company’s strategy, with SK hynix saying AI demand is driving high-bandwidth memory investment and capacity planning.

Japan has offered subsidies and other support to attract chip projects as it seeks to revive its semiconductor industry, which includes memory manufacturing and materials suppliers.

🔗 Source: Bloomberg

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