SK hynix to start US AI chip output in 2029, sees memory shortage through 2030

WEST LAFAYETTE, Indiana — Korean chipmaker SK hynix said on Thursday it plans to begin volume production of its next-generation HBM4E chips at its Indiana facility in the third quarter of 2029, as its chief executive said the company expects a current memory chip shortage to persist through the end of 2030. Chief Executive Kwak Noh-Jung expects the site to eventually reach annual capacity of hundreds of thousands of wafers. The more than $4 billion project marks a major expansion of SK hynix's U.S. operations as surging investment in artificial intelligence drives demand for high-bandwidth memory, or HBM. The chipmaker seeks to bring production closer to major customers including Nvidia, Microsoft and Alphabet's Google. Kwak said he saw no clear signs of a memory downturn and expected any eventual slowdown to involve moderating rather than sharply falling demand, adding that he was not concerned about the outlook beyond 2030. By 2030, the company expects Indiana to become a key HBM production base in the United States. The facility, at the Purdue Research Park in West Lafayette, is sc