SK Hynix eyes Intel's Ohio fabs for US memory production

SK Hynix, the South Korean memory chip maker, is reportedly exploring the possibility of producing memory chips in the United States for the first time. According to sources, the company is in discussions with Intel, the American tech giant, about potentially using part of Intel's long-delayed Ohio fabrication site.

Reuters cites three people familiar with the talks, suggesting one option could involve SK Hynix leasing space at Intel's planned facility in Ohio. Another possibility is a joint venture between SK Hynix and major cloud companies as demand for memory chips continues to rise due to the growth of artificial intelligence.

However, SK Hynix has emphasized that nothing has been finalized, stating it is reviewing various options to strengthen its memory business, including the establishment of new production sites. The company's spokesperson added that several countries and locations are being considered for potential investments, without confirming Intel as a partner.

Intel has declined to comment on the speculation, reaffirming its ongoing investment in the Ohio site. SK Hynix already has a US project underway, which is an advanced HBM (High Bandwidth Memory) packaging facility in West Lafayette, Indiana. Construction began last month, with plans for mass production by the second half of 2029.

The difference between the Indiana and Ohio proposals is that under the Ohio agreement, SK Hynix would manufacture the memory chips on site rather than just packaging them. This would mark a significant step towards wafer fabrication in the United States. Intel's Ohio project has faced repeated delays, with the most recent schedule suggesting completion of the first fab in 2030 and production in 2032.

The move could also align with US President Trump's efforts to bring more chip manufacturing back to the country. Trump has threatened tariffs on chipmakers that do not expand American production and has made claims about Apple potentially working with Intel to design and build chips domestically.

One potential challenge could be opposition from South Korea, whose trade ministry noted that investments involving designated national core technology would require review under its industrial technology protection law.