SK Hynix reportedly wants Intel to make its memory chips in the US

There are apparently two ways this can go: either SK Hynix will lease part of Intel's chip factory in Ohio, or it could form a joint venture with Intel as well as some unnamed "major cloud firms that are keen to lock in memory chip supplies".

There is a possible wrinkle here: whether the Korean government will allow this to happen. It is right now unclear what exact memory chips SK Hynix wants to make in the US, but if a possible agreement with Intel involves advanced memory like HBM or DRAM, the South Korean government may oppose it as "those technologies are considered sensitive". In a statement to Reuters, SK Hynix said that it is "reviewing various measures, including establishing additional production bases, to strengthen the competitiveness of its memory business", while "no matters have been determined at this stage". The talks with Intel are classified by the aforementioned "people familiar with the matter" as "exploratory", which seems to fit with SK Hynix's response. Manufacturing semiconductors in the US is much more expensive than in Korea, but SK Hynix has recently been under increasing pressure from its customers as well as various governments to supply more chips amid the AI boom and global chip shortage. Back in July, SK Group chairman Chey Tae-won told reporters: "I think we need to build a factory in the United States. If possible, I believe we should build it". Meanwhile, the Korean government has been urging SK Hynix to build a new cluster of chipmaking facilities in the country's southwest. Last month, the companyannounced a $38 billion investmentin new DRAM and NAND fabs in Korea. Source