South Korean chipmaker SK hynix held a groundbreaking ceremony on Thursday in the U.S. state of Indiana, marking the start of construction for an advanced packaging facility dedicated to artificial intelligence (AI) memory, with plans to produce hundreds of thousands of wafers annually at the site.
The ceremony took place at Purdue University in West Lafayette, Indiana. SK hynix is actively advancing its initiative to establish its first next-generation high bandwidth memory (HBM) production base in the United States, with total investment projected to exceed $4 billion. HBM serves as a critical component in advanced chips that power AI applications.
At the Indiana plant, SK hynix intends to activate the cleanroom in October 2028 and begin mass production of next-generation HBM chips in the second half of 2029. The company anticipates that by 2030, this facility will emerge as a key HBM production hub in the U.S., employing approximately 1,000 workers during its commercial operation phase.
The chipmaker also plans to establish an "advanced packaging R&D and testing platform" adjacent to the production line, enabling clients, universities, and commercial partners to collaborate on packaging technology development, prototype manufacturing, and performance validation. According to the company, advanced wafers produced by SK hynix will be shipped to Indiana, where they will undergo sophisticated packaging and testing before being supplied as "Made in America" products to major U.S. tech firms such as Nvidia.
During the ceremony, SK hynix CEO Kwak Noh-Jung stated that the company plans to launch mass production of next-generation HBM4E chips at this facility in the third quarter of 2029. "We expect annual capacity to reach hundreds of thousands of wafers," he said. "This will provide customers with a new source of American-made HBM products, while strengthening the U.S. semiconductor supply chain and fostering economic growth."
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