South Korean memory chip giant SK Hynix is in talks with Intel to manufacture RAM chips in the United States for the first time, Reuters reported, citing anonymous sources.
The companies are reportedly discussing various options, one of which is for SK Hynix to lease space at Intel’s planned factory in Ohio to manufacture chips. The semiconductor manufacturer is also said to be considering joint ventures involving cloud service providers.
SK told TechCrunch on Wednesday that nothing has been finalized yet. “SK Hynix is considering various options to strengthen its global competitiveness, but no concrete plans or arrangements have been finalized at this time,” the South Korean semiconductor company said in a statement. “No decisions have been made regarding the two scenarios mentioned in the article.”
The South Korean chip giant, which is benefiting greatly from the surge in demand for high-bandwidth memory RAM chips used in data centers for AI applications, has already built a $3.8 billion advanced packaging and research facility for AI chips in West Lafayette, Indiana, with mass production expected to begin in 2029. The factory will use Korean-made DRAM wafers and package them into HBM chips.
It remains unclear what types of memory chips the company will produce in Ohio if the deal goes through.
As the global semiconductor shortage worsens, the Trump administration is aiming to expand production on the U.S. mainland. The White House announced in January that it could impose broader tariffs on semiconductor imports, while reducing tariffs for companies that invest in domestic manufacturing.
In July, SK Group Chairman Choi Tae-won signaled support for U.S. chip production, saying that if possible, the company should build a factory in the U.S. alongside one in South Korea’s Honam region. That same month, the company listed its American Depositary Receipts on the Nasdaq, expanding access to U.S. investors.
A potential deal with Inter could face domestic scrutiny. The South Korean government says the decision is up to SK Hynix, but Reuters reports that plans involving strategically important chip technology could trigger government scrutiny under laws that prevent the overseas transfer of sensitive technology.
Intel and SK Hynix have done business before, with Intel selling its NAND flash memory business to SK Hynix for $9 billion in 2020.
Intel did not immediately respond to TechCrunch’s request for comment outside of normal business hours.
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