Who helped define the semiconductor industry’s early history?

Pioneers and visionaries laid the groundwork for today’s global semiconductor industry. The “Who” episode reveals the history of some of the sector’s most influential figures and their contributions to the industry.

Having learned about the pioneers of the industry, the next step is to discover more about semiconductors themselves, including the various types.

So what types of semiconductors are there?

Semiconductors are generally classified based on their functionality. On this basis, the “What” episode details the three main types of chips and their functions.

These chips, especially semiconductor memory, have transformed how society interacts with technology and have become increasingly integral to daily life in recent years.

If semiconductor memory is so crucial, when did it become essential in daily life?

As technology has advanced and data generation has skyrocketed, semiconductor memory has grown in importance. The “When” episode traces the increasingly vital role of memory over the years, from its applications in the first home PCs to today’s AI-driven systems.

Without memory chips, modern computing, the internet, and AI would not exist. As demand for these semiconductors has surged, specialized manufacturing facilities have ramped up production to meet demand.

Where are semiconductors manufactured?

Before semiconductor components become finished products, they must undergo several manufacturing stages. The “Where” episode reveals how various facilities are responsible for different parts of this manufacturing process, from wafer manufacturing to packaging.

These facilities play a critical role in meeting rising demand for semiconductors. In the age of AI, these chips—particularly semiconductor memory—have become vital for AI applications.

Why do we need semiconductor memory in the AI era?

In the AI era, semiconductor memory plays a key role in ensuring the smooth operation of AI applications. The “Why” episode breaks down the core tasks of AI memory which enable systems to manage ever-growing amounts of data.

With AI driving rapid advancements, the demand for semiconductors continues to fuel significant growth across the entire market.

This surge in demand raises a critical question: just how big is the semiconductor market?

The semiconductor market has grown exponentially over the decades, evolving from a niche industry into a global economic powerhouse. The “How” episode reveals the current value of the market and shows how the industry is poised for even greater expansion in the coming years.

The semiconductor industry’s growth underpins global innovation, and companies such as SK hynix are at the forefront, developing advanced solutions to meet ever-expanding demands.

The Role of Semiconductors Today, Tomorrow, and Beyond

From the pioneering breakthroughs of early visionaries to AI-driven technologies today, semiconductors have transformed the world. SK hynix played a critical role in this evolution, providing memory solutions that power the technologies shaping daily life. As AI and emerging technologies continue to grow, the company remains at the forefront, advancing memory technologies for the future. Explore the full journey of these chips in the Semiconductor 101 series.

<Other articles from this series>

[Semiconductor 101] SK hynix’s Guide to Who’s Who in the Semiconductor Industry

[Semiconductor 101] SK hynix Explains “What’s What” in the Semiconductor World

[Semiconductor 101] When Semiconductors & SK hynix Made Their Mark on the World

[Semiconductor 101] “Where” in the World Are Semiconductors Made and Applied? SK hynix Reveals All

[Semiconductor 101] “Why” Modern Tech Needs Semiconductors & SK hynix’s Key Contributions

[Semiconductor 101] SK hynix Explores How Semiconductors Are Made & How to Build a Career in the Growing Industry

The post Semiconductor 101 Roundup: SK hynix’s Quick Guide to Semiconductors first appeared on SK hynix Newsroom.

From designing intricate circuit boards to fabricating chips thinner than a human hair, the journey from concept to creation in the semiconductor industry is extraordinary. This final episode of the Semiconductor 101 series delves into how semiconductors are made, detailing each step in a sophisticated and precise process. The article also covers how semiconductor chips operate, explores how the industry has progressed, and shares insights on how to break into this dynamic field.

How do semiconductors work?

As their name suggests, semiconductors are materials between conductors, which allow electricity to flow easily, and insulators, which block it. Typically made from silicon, semiconductors are capable of controlling electrical current which makes them crucial in electronic devices.

These materials are used to make semiconductor chips, which come in various types, including memory, logic, and DAO (discrete, analog, and other) chips. Although these chips have different functions, they all rely on the same basic principles. A typical semiconductor chip includes the following components, among others, which are essential for managing electricity and ensuring functionality:

• Transistors: These are the primary components in semiconductors, acting as on/off switches for electrical current. By controlling the flow of electricity, they enable semiconductors to perform computations and process data.
• Diodes: Diodes function like one-way streets for electricity, allowing it to flow only in one direction. This feature prevents the backward flow of current, which could potentially damage the device.
• Capacitors: These components act as temporary storage units for electrical energy in semiconductors. They store and release electrical energy as needed, playing a crucial role in regulating voltage, filtering signals, and stabilizing the power supply in electronic devices.
• Resistors: As the protective components of a semiconductor, resistors limit the flow of electrical current by ensuring the circuit receives the appropriate amount of power. This regulation prevents electrical overloads that could damage or disrupt the chip’s operation.

Semiconductors feature various components which support functionality and electricity management

An integrated circuit (IC) combines all the above components into a single chip. Think of an IC as a miniature city, where various elements work together to ensure smooth operation. The IC organizes electrical flow, directs current, stores and releases energy, and protects the device—all within a tiny, energy-efficient package. This integration allows ICs to perform complex functions while saving space, making them essential in everything from cellphones to cars and medical devices.

How are semiconductors made?

Semiconductor development is a complex process, starting with planning, running through to the manufacturing phase and ending in mass production. Let’s look in detail at the key steps involved in this procedure.

Semiconductor development involves product planning, design, manufacturing, and mass production

Product Planning & Design

Development generally starts with market research and analysis, as well as consideration of specific customer requirements. Attention then turns to design specifications which involves tasks such as evaluating circuit specifications and establishing performance requirements. The planning phase also includes logistical steps such as setting project timelines and a budget.

After planning wraps up, the chip design phase begins which includes selecting the product’s design architecture and function as well as finalizing its physical layout. Verification tools are then used to optimize and validate the design. Once complete, a prototype is tested to ensure performance and functionality before production.

Manufacturing

The manufacturing process itself can be broken down into the following three stages:

1. Wafer¹ manufacturing: The process begins with producing silicon wafers—the foundation of semiconductor devices. This includes purifying the silicon, slicing it into thin wafers, and polishing them. The finished wafers are sent to a fabrication plant (fab) for the next stage.
2. Front-end process: This involves building the actual semiconductor devices on a wafer through several key processes such as: oxidation (creating a protective layer), photolithography (etching the circuit pattern onto the wafer), etching (removing excess material), deposition (adding thin layers of material), and metallization (establishing electrical connections).
3. Back-end process: This mainly includes packaging and testing. While packaging involves protecting the chip from damage and building mechanical and electrical connections, testing ensures a product’s quality and reliability.

Mass Production

Following successful testing and validation, production ramps up. Focus is placed on yield optimization, increasing the number of functional chips per wafer through process refinements and defect reduction. Effective supply chain management ensures the smooth flow of materials, while continuous monitoring and optimization throughout mass production ensure consistent, high-quality results. The finished products are then shipped to customers.

How big is the semiconductor industry?

While the origins of semiconductor technology can be traced back to the 19th century, the industry only began to experience explosive growth since the 1980s in line with technological developments. By tracking the semiconductor industry’s expansion over the years, one can truly appreciate the current size of the sector. (Check out the When episode for further information on the progress of semiconductor technology.)

Following decades of growth, the semiconductor market is now more than 18 times larger than in 1987

1980s-1990s: Foundations for Growth
The computer industry’s growth in the 1980s, which brought PCs into people’s homes for the first time, led to increased demand for memory, logic, and DRAM products. In 1987, the global semiconductor market was worth 33 billion USD, rising to 102 billion USD in 1994² which set the stage for future growth.

2000s: Decade of Rapid Expansion
By 2001, the global semiconductor market reached 139 billion USD and it continued to grow rapidly throughout the decade. Despite the 2008 financial crisis, demand for consumer electronics, PCs, and mobile devices kept semiconductor sales resilient.

2010s: Diversification & Innovation
The semiconductor market was worth 298.3 billion USD in 2010 and expanded over the following years, propelled by the advent of technologies such as cloud computing and proliferation of mobile devices. SK hynix responded to and drove such technological developments throughout the 2010s, advancing its LPDDR³ mobile DRAM lineup among other innovations.

2020s: Surging Industry Demand & Future Projections
By 2023, the global semiconductor market reached 611 billion USD—more than 18 times bigger than it was back in 1987—as the sector has transformed into a cornerstone of the global tech landscape and economy. The industry’s growth in this decade has been driven by increased demand from industries such as AI, machine learning, and autonomous vehicles. Innovations from companies like SK hynix, including its world’s best-performing HBM3E⁴, have solidified the company’s AI memory leadership and drove industry growth. Looking ahead, the semiconductor market is expected to surpass $1 trillion by 2030 as demand for high-performance chips continues to surge.

How can one start working in the semiconductor industry?

As shown in the previous question, the semiconductor industry is growing, creating exciting career opportunities for those looking to break into the sector. Here is how to get started:

1. Define professional goals: Before entering the industry, it is important to understand career goals and identify roles that align with one’s interests. A clear vision helps in making informed decisions.
2. Obtain relevant education: Most semiconductor roles require at least a bachelor’s degree in fields such as computer science, software engineering, applied physics, or materials science.
3. Develop technical & soft skills: Both technical and soft skills are crucial. Proficiency in programming, data analysis, and semiconductor processes is key. Internships or hands-on experience help develop these skills.
4. Consider internships: Internships offer valuable industry experience. SK hynix offers annual internship programs designed to educate, engage and encourage the thinkers of tomorrow to expand their horizons.

The semiconductor industry welcomes people from a diverse range of fields

The semiconductor field is no longer limited to traditional engineering roles. It is now a multidisciplinary domain, welcoming talent from not only typical fields such as electrical engineering and mathematics but also economics and social sciences. Some examples of in-demand positions for the future may include:

• Cybersecurity analyst: Ensures the security and integrity of company operations by protecting intellectual property and sensitive data, as well as preventing cyberattacks.
• Environmental engineer: Focuses on ensuring the sustainability of the semiconductor manufacturing process and compliance with environmental regulations.
• AI & machine learning specialists: Integrates AI into the manufacturing processes, optimizing the entire production pipeline or advancing the supply chain.

With such a wide range of positions available in the industry, it is important to take the time to find a suitable role. As Vice President Jang Jieun, head of Volume Product Design at SK hynix, advises: “People perform at their best when doing what they love, so keep exploring what truly excites you.”

This concludes the Semiconductor 101 series, which has provided an overview of the world of semiconductors and a glimpse into its future. With a clear understanding of the basics of this vital technology, one will find it easier to follow the latest breakthroughs as the industry continues its evolution.

¹Wafer: A thin, flat slice of silicon used as the base for fabricating semiconductor chips, where intricate circuits are formed during the manufacturing process.
²Source: Statistics for this section are from Statista’s report “Semiconductor market revenue worldwide from 1987 to 2025,” which uses data from the Semiconductor Industry Association (SIA) and World Semiconductor Trade Statistics (WSTS).
³Low Power Double Data Rate (LPDDR): Low-power DRAM for mobile devices, including smartphones and tablets, aimed at minimizing power consumption and featuring low voltage operation.
⁴HBM3E: HBM3E is the fifth generation of High Bandwidth Memory (HBM), a high-performance memory technology that boosts data processing speeds by stacking multiple chips and connecting them with through-silicon via (TSV).

<Other articles from this series>

[Semiconductor 101] SK hynix’s Guide to Who’s Who in the Semiconductor Industry

[Semiconductor 101] SK hynix Explains “What’s What” in the Semiconductor World

[Semiconductor 101] When Semiconductors & SK hynix Made Their Mark on the World

[Semiconductor 101] “Where” in the World Are Semiconductors Made and Applied? SK hynix Reveals All

[Semiconductor 101] “Why” Modern Tech Needs Semiconductors & SK hynix’s Key Contributions

Semiconductor 101 Roundup: SK hynix’s Quick Guide to Semiconductors

The post [Semiconductor 101] SK hynix Explores How Semiconductors Are Made & How to Build a Career in the Growing Industry first appeared on SK hynix Newsroom.

Much of the semiconductor world remains unseen. The chips themselves are the hidden force behind modern technologies, while few have seen inside the facilities where these advanced devices are painstakingly crafted. To shed light on where semiconductors are made and used, this latest episode of the Semiconductor 101 series takes an inside look into the facilities and regions that produce these chips, as well as the main applications of semiconductors.

Where are semiconductors manufactured?

As shown in the first Semiconductor 101 article, various companies operate facilities which handle different aspects of the semiconductor manufacturing process. While there are a range of these facilities, the following are three of the most common types for each stage of the manufacturing process:

• Wafer manufacturing facility: Companies such as SK siltron, Sumco, and Shin-Etsu Chemical produce silicon wafers that act as the substrate, or foundation, for semiconductor devices. Crucial steps in wafer production take place at these facilities, including purifying the sourced silicon, slicing the purified silicon into thin wafers, and polishing. These wafers undergo further processing steps such as doping¹ to deliver desired features and structures before they are supplied to fabs.
• Fabrication plant (Fab): A fab is a specialized, highly secure facility which manufactures semiconductor devices such as integrated circuits². In other words, fabs handle the front-end semiconductor manufacturing process. They must therefore contain advanced equipment to conduct key processes including oxidation, photolithography, etching, and deposition.
• Assembly and test facility: These facilities are responsible for the back-end manufacturing process, which essentially consists of packaging and testing. While packaging involves protecting the chip from damage and building mechanical and electrical connections, testing ensures a product’s quality and reliability. These facilities are generally run by OSAT³ companies, which receive fabricated wafers from customers and turn them into finished semiconductor products.

Various facilities are responsible for different aspects of the semiconductor manufacturing process

Where in the world are different types of semiconductors designed and manufactured?

The global semiconductor supply chain is spread across various regions that each specialize in one or a few stages of the design and manufacturing process. As a result, semiconductor chips are generally not made in a single location or country, but instead must be shipped across the world to be finished.

In terms of design, which involves defining the product requirements and the physical layout of the individual circuits, the U.S. leads the way—particularly for advanced logic chips. Meanwhile, the latter manufacturing stages are dominated by East Asian countries. As different nations specialize in certain types of chips, let’s look at where three common semiconductor types are manufactured around the world based on a report from the Semiconductor Industry Association (SIA)⁴.

• Memory: Boasting leading semiconductor memory companies including SK hynix, South Korea heads the memory field in terms of production capacity. The nation commands a majority share of DRAM fabrication capacity, well ahead of its nearest rivals. South Korea is also the joint leading producer of NAND flash⁵, alongside Japan, where companies like Kioxia play a major role.
• Logic: Taiwan is the undisputed worldwide leader of logic semiconductor⁶ production thanks largely to the global behemoth of semiconductor fabrication, TSMC. Taiwan holds a 69% share of manufacturing capacity for logic wafers under 10 nanometers (nm), and also leads the way for those measuring between 10 nm and 22 nm. Only China has a bigger market share in logic semiconductors that are larger than 28 nm.
• Discrete, analog, and other (DAO): These chips that serve various applications are manufactured all over the world. While Japan and China produce the most DAO chips with 25% of the market share each, European countries and the U.S. also contribute significantly to the global production of these diverse devices.

Different nations across the world specialize in manufacturing certain semiconductor chips

Where is the largest semiconductor memory market?

With the explosion of data in the AI era, high-performance memory solutions such as DRAM and NAND flash are becoming increasingly critical to store and process this data. This growing importance is reflected in the projected growth of the global semiconductor memory market from an estimated 111.6 billion USD in 2023 to 240.6 billion USD by 2030. Breaking the market down by region, a Precedence Research report reveals the world’s largest semiconductor memory markets in terms of revenue.

In 2023, Asia-Pacific was far and away the leader, commanding around 43% of the market. Coming in second is North America with a 27% share, followed by Europe with a 22% share. Meanwhile, Latin America and Middle East and Africa held a 5% and 2% share of the market, respectively.

Asia-Pacific is home to the largest semiconductor memory market, followed by North America

Where are SK hynix’s semiconductor memory products manufactured in South Korea?

Currently, SK hynix operates four semiconductor memory production facilities in South Korea. To meet heightened demand for memory products, the company is set to boost its domestic manufacturing capacity by constructing additional sites in the future.

Current Sites

SK hynix operates three fabs at its headquarters in Icheon—M10, M14, and M16. The most recent facility is M16, which was built in 2021 to mainly produce DRAM products. In Cheongju, the company runs a fab called M15 which strengthens the company’s NAND flash business.

Future Sites

Scheduled for completion in 2027, the Yongin Semiconductor Cluster will enable SK hynix to boost production of AI memory products. The 4.15 million-square-meter site, the equivalent of around 580 soccer fields, will include four state-of-the-art fabs and a semiconductor cooperation complex. The company will also invest about 5.3 trillion KRW (4 billion USD) for the construction of M15X in Cheongju, enabling it to expand production capacity of next-generation DRAMs including the flagship HBM⁷.

SK hynix operates DRAM and NAND flash memory production sites in South Korea and plans to build an AI memory facility

Where is semiconductor memory applied today?

From the moment you wake up to the morning alarm on your smartphone, semiconductor memory plays a key role in your daily routine. These advanced memory solutions are the foundations for modern technologies which can be found in everyday locations and situations, some examples of which are listed below:

Home

Whether checking social media, playing games, or doing just about anything on your phone, semiconductor memory is required for data storage and ensuring smooth performance. The laptop and smart TV in your home also require internal storage to store and retrieve data, as well as learn usage patterns. Following advancements in on-device AI memory chips, many household appliances now possess customized functions that boost security, speed up processes, and reduce power consumption.

Car/Public Transport

When driving to work, you benefit from memory-backed advanced driver assistance systems (ADAS) such as lane departure warnings, as well as advanced infotainment technology. As you’re stuck at traffic lights, memory is used in the signal’s control systems which store data to manage traffic flow and keep intersections safe. Taking public transport instead? Subways and train control systems require memory to maintain precise schedules and manage train movements on time. Meanwhile, bus tracking and management systems monitor buses and their arrival times at stops.

Hospital

Having your annual health checkup? In hospital, medical imaging devices such as MRI and CT scanners use memory to store images required for diagnosis. Patient monitoring systems, which keep track of data including heart rate and blood pressure, also rely on memory along with electronic health record systems which store patients’ medical history, test results, and doctor notes.

Classroom

As the AI revolution has also impacted education, teachers and students alike can now benefit from a range of AI tools backed by semiconductor memory. For teachers, AI applications can boost productivity in areas such as lesson planning and grading, while students can use such tools for research, writing assistance, and tailored support.

Semiconductor memory is found in many essential technologies used around the world

¹Doping: Process where specific impurities are intentionally added to modify the electrical properties of the silicon.
²Integrated circuit: A collection of components including transistors, resistors, and capacitors grouped on a single board of semiconductor material.
³Outsourced semiconductor assembly and test (OSAT): Vendors that provide third-party semiconductor assembly, test, and packaging (ATP) services.
⁴Source: Statistics for this section are based on wafer production capacity and are from the SIA’s report “Emerging Resilience in the Semiconductor Supply Chain” (May 2024), which uses data from the U.S. Department of Commerce, SEMI, and BCG Analysis.
⁵NAND flash: A non-volatile storage chip that does not require power to retain data.
⁶Logic semiconductor: Semiconductor chips that are known as the “brains” of electronics as they can process information and perform calculations to execute various tasks.
⁷High Bandwidth Memory (HBM): A high-value, high-performance product that revolutionizes data processing speeds by connecting multiple DRAM chips with through-silicon via (TSV).

Having looked at “where” semiconductors are manufactured and used, the next episode will ask “why” these intricate devices are crucial in today’s world.

<Other articles from this series>

[Semiconductor 101] SK hynix’s Guide to Who’s Who in the Semiconductor Industry

[Semiconductor 101] SK hynix Explains “What’s What” in the Semiconductor World

[Semiconductor 101] When Semiconductors & SK hynix Made Their Mark on the World

The post [Semiconductor 101] “Where” in the World Are Semiconductors Made and Applied? SK hynix Reveals All first appeared on SK hynix Newsroom.

When the earliest semiconductor devices emerged in the 19th century, a revolution was set in motion that would reshape the technological landscape. One scientific breakthrough after another, these milestones mark the dawn of an era in which innovation and progress became the new normal. Ultimately, these discoveries changed the way people live, work, and connect. In this Semiconductor 101 episode, the milestones and key turning points of the semiconductor industry, and SK hynix, will be examined to better understand how semiconductor technology reached today’s unprecedented levels.

When was the first semiconductor made?

As shown in the first episode, the development of semiconductor technology throughout history cannot be attributed to one person or a single moment. Instead, a long and intertwined web of pioneers and innovators contributed to the field’s evolution.

Starting with the first documented observation of a semiconductor effect by English scientist Michael Faraday in 1833, progress in the semiconductor world began to gather pace with several key discoveries. In 1874, German physicist Karl Ferdinand Braun invented what is widely considered to be the first-ever semiconductor diode¹. The mid-20th century then witnessed a number of key inventions including the transistor² in 1947, the integrated circuit³ in 1958, and the MOSFET⁴, in 1960.

The origins of semiconductor memory can be traced back to the 1960s

A number of these innovative technologies would go on to be applied in the memory field, leading to the first semiconductor memory products. Developed by engineers at major semiconductor companies, some of these early semiconductor memory solutions include: DRAM⁵, SRAM⁶, and NAND flash.

DRAM
In 1966, IBM’s Robert Heath Dennard invented DRAM, a system that would hold one bit in a single transistor. The technology was put into popular use in 1970 when Intel developed a 1-kilobit DRAM chip using a three-transistor cell design. Called the 1103, the first-ever commercial DRAM replaced magnetic core memories as the new standard technology for computer memory.

SRAM
Robert Norman patented a semiconductor SRAM design at Fairchild Semiconductor in 1963 to create a faster and more reliable form of memory capable of enhancing computing performance. Two years later, IBM commercialized the first SRAM chip for use in its computer. Unlike DRAM, SRAM can retain data without the need for constant refreshing. This capability, coupled with its high speed and reliability, ensured that SRAM became an essential component in modern computing.

NAND Flash
As the most widely-used flash memory today, NAND flash has numerous applications including smartphones, solid-state drives (SSDs), and data centers. This electronic, non-volatile computer memory storage that can be erased and reprogrammed was first unveiled by Fujio Masuoka of Toshiba Memory Corporation (now known as KIOXIA) in 1987. The company would go on to commercialize the world’s first NAND flash memory product in 1991.

When did semiconductor memory become important for our daily lives?

Semiconductor memory has progressed and grown in importance in line with the rapid explosion of data and technological advancements. By tracing the history of technological progress over the last century, it is clear to see the key role that semiconductor memory plays in these technologies and daily life.

Demand for semiconductor memory has grown rapidly as data generation has increased over the years

Age of Giant Computers: Before 1980s
Although unimaginable today, the first line of computers such as the ENIAC⁷ was so large that they would take up a whole room. These massive devices were almost exclusively used by businesses and governments for bulk data processing and complex calculations. In terms of data storage, there was a landmark change in the 1970s when semiconductor memory replaced magnetic-based memory to become the dominant storage technology.

Emergence of PCs: 1980s–2000s
Many people’s memories of their first family computer will be of a bulky, gray PC sitting atop an office desk. While they are primitive by modern standards, these early popularized PCs of the 1980s brought computing—and data—into homes across the world for the first time. One of the most prevalent PCs of this era was Commodore 64 (C64), which came with 64 kilobytes (KB) of RAM⁸ when it was released in 1982.

Smartphones & Cloud Computing: 2000s to Present
Although it was not the first smartphone, the original iPhone kicked off the smartphone boom upon its release in 2007. Able to take photos, send emails, access the internet, and more, smartphones generate huge amounts of data which is stored in semiconductor memory. As the pace of data generation continues to quicken, demand is also growing for cloud storage which relies on server DRAM, NAND flash, and SSDs.

The AI Era & Beyond
As AI continues to permeate more aspects of daily life, semiconductor memory is driving the technology’s development. High-performance memory such as SK hynix’s HBM⁹ is optimized for AI applications as it can handle and access vast amounts of data. As the pace of data usage continues to accelerate over the course of the AI era and beyond, semiconductor memory will only play a bigger role in AI and other advanced technologies.

When did SK hynix start manufacturing semiconductors?

Founded as Hyundai Electronics in 1983, SK hynix has been a hub of innovation in the semiconductor industry over the course of its 40-plus-year history. In 1984, SK hynix’s pilot production of South Korea’s first-ever 16 kilobit (Kb) SRAM kickstarted the company’s journey as a semiconductor manufacturer. Just a year later, the company mass-produced its first DRAM product—a 64 Kb DRAM. SK hynix then completed construction of a semiconductor assembly plant two months later, enabling it to ramp up production.

As the years ticked by, the company enhanced its product lineup and fully established itself as a leader in the semiconductor sector. Some of its key milestones included mass-producing the 256 Mb SDRAM for mobile phones in 2003, developing the 512 Mb NAND flash in 2004, and the world’s first TSV¹⁰-based HBM in 2013.

Fast-forward to today, SK hynix has a broad portfolio of ultra-high-performance solutions including DRAM, NAND flash, SSDs, and CMOS image sensors (CIS)¹¹. The company is continually pushing technological limits to develop groundbreaking products such as the world’s first 321-layer NAND flash and industry-leading HBM3E. Taking the latest 12-layer, 36 GB HBM3E as an example, this groundbreaking DRAM for AI systems boasts around 4.5 million times¹² more data storage than the 64 Kb DRAM of 1985. Having come so far over the years, the company is set to continue to set new standards in the semiconductor sector with its next-generation products.

SK hynix’s semiconductor memory products have evolved immensely since the company’s early days

When did SK hynix expand into the global market?

SK hynix has constantly advanced its product lineup, formed strategic global partnerships, and innovated across its operations to become a leading light in the semiconductor memory industry. Looking at the company’s flagship products, SK hynix held a 31.8% share of the DRAM market and a 21.6% share of the NAND flash market in the fourth quarter of 2023. The company is also the HBM market leader, dominating the sector with its industry-leading products.

SK hynix commands significant shares of the global DRAM and NAND flash markets

While there wasn’t a single moment when SK hynix expanded in the global market, there are several instances over the years where the company has made its mark worldwide:

1983 – Began overseas expansion with establishment of Hyundai Electronics America—later becoming SK hynix America

1989 – Ranked 20th in the global semiconductor industry

1995 – Established a non-memory U.S. corporation called SYMBIOS and constructed a semiconductor plant in the U.S. state of Oregon

1996 – Began its initial public offering (IPO) process

2004 – Sold non-memory business to shift focus to semiconductor memory

2006 – Completed construction of DRAM chip plant in Wuxi, China

2010 – Named to Dow Jones’ Sustainability World Index, started joint development with Hewlett-Packard for next-generation memory product, and completed second memory chip plant in China capable of 100 million units of 1 GB DRAM chips per month

2012 – Joined SK Group and officially rebranded as SK hynix

2018 – Posted record operating profits

2020 – Invested in AI company Gauss Labs located in Silicon Valley

2021 – Completed first phase of acquiring Intel’s NAND business to enhance AI memory capabilities

2023 – Developed and mass-produced HBM3E with the world’s best specifications for AI systems and applications

2024 – Announced plan to build advanced chip packaging plant and R&D facility in Indiana, U.S.

¹Semiconductor diode: A simple electronic component that conducts electricity in one direction.
²Transistor: A semiconductor device that regulates current or voltage flow and acts as a switch or gate for electronic signals.
³Integrated circuit (IC): A small electronic device comprising of components such as transistors, resistors, and capacitors on semiconductor material.
⁴Metal-oxide-semiconductor field-effect transistor (MOSFET): An active semiconductor device in which a conducting channel is induced in the region between two electrodes by a voltage applied to an insulated electrode on the surface of the region.
⁵Dynamic random-access memory (DRAM): Volatile memory that needs to be refreshed periodically to maintain stored data. Like SRAM, it loses stored data when the power supply is removed.
⁶Static random-access memory (SRAM): Volatile memory that holds memory permanently as long as power is supplied. Unlike DRAM, it does not have to be refreshed periodically to keep storing data.
⁷Electronic Numerical Integrator and Computer (ENIAC): Built in 1946, the ENIAC was the world’s first general purpose electronic computer.
⁸Random access memory (RAM): A computer’s main memory in which data can be rapidly accessed directly by the central processing unit regardless of the sequence it was recorded.
⁹High Bandwidth Memory (HBM): A high-value, high-performance product that possesses much higher data processing speeds compared to existing DRAMs by vertically connecting multiple DRAMs with through-silicon via (TSV).
¹⁰Through-silicon via (TSV): A type of vertical interconnect access (via) that completely passes through a silicon die or wafer to enable the stacking of silicon dice.
¹¹CMOS image sensor (CIS): Acting as the “eyes” of electronic devices, a CIS converts light into electrical energy to create images.
¹²Calculation based on the decimal standard.

Having looked at when semiconductor technology and SK hynix began to make their mark on the world, the next episode will cover where semiconductors are developed and more.

<Other articles from this series>

[Semiconductor 101] SK hynix’s Guide to Who’s Who in the Semiconductor Industry

[Semiconductor 101] SK hynix Explains “What’s What” in the Semiconductor World

The post [Semiconductor 101] When Semiconductors & SK hynix Made Their Mark on the World first appeared on SK hynix Newsroom.

The journey of semiconductors starts with a grain of sand and ends with a groundbreaking technology that impacts lives around the world. Just as these complex microchips have various components, this second episode in the Semiconductor 101 series will break down the key aspects of semiconductors. From the types, functions, and specifications of semiconductors to the challenges and future trends in the industry, learn more about the foundations of modern technologies.

What are the different types of semiconductors?

Semiconductors can be classified according to various criteria such as material composition and the purity of these materials. However, one of the most common classifications is based on their functionality. On this basis, there are three main types of semiconductor chips: memory, logic, and a broader group comprising discrete, analog, and other (DAO) chips.

• Memory: As their name suggests, memory chips are optimized for data storage. They ensure that systems can retain data either permanently or temporarily and rapidly access stored data. These chips can be categorized into volatile and non-volatile memory, which will be explored further in the following question.
• Logic: These chips are known as the “brains” of electronics as they can process information and perform calculations to execute various tasks. The main logic chip in a computer is the CPU¹, but GPUs² have grown in importance as they evolved to be applicable to more areas including AI. This is due to GPUs’ parallel processing capability, which allows them to process vast amounts of data simultaneously.
• DAO: Generally simpler than their memory and logic counterparts, DAO chips have various applications. Used for a single specific task, discrete chips are elementary devices which can function independently from a larger circuit. Meanwhile, analog chips convert analog information such as audio into binary code. Finally, the “other” category includes optoelectronic chips, which translate light into digital signals, and various sensors which are used to detect environmental changes such as heat and pressure variations.

These different types of chips will often be used together in a single device, combing to ensure the smooth operation of a system.

An overview of the main types of semiconductors based on function: memory, logic, and DAO

What does semiconductor memory actually do?

Semiconductor memory’s primary role is to store data in devices such as computers, smartphones, and servers. In terms of storage, semiconductor memory is divided into two main types depending on their data retention when power is lost.

• Volatile memory: Temporary storage that requires a continuous power supply to maintain its stored information. Offering rapid read/write speeds, it is used for active data and program instructions while a system is running. RAM³ is the most common volatile memory, and is further divided into DRAM⁴ and SRAM⁵.
• Non-volatile memory: Storage that permanently retains data even when power is lost. The most common type is ROM⁶, which is designed specifically for reading data. Flash, which includes NAND flash, is a type of non-volatile memory which can read and write data. Due to these capabilities, NAND flash is applied to USB drives, memory cards, and solid-state drives (SSDs).

In addition to storage, semiconductor memory is also evolving to be used for computation. Traditionally, memory chips have only assisted the CPU or GPU in computational tasks such as the performance of complex calculations. However, solutions such as PIM⁷ have emerged which has its own computational capabilities to share the workload.

Other roles of semiconductor memory include rapid data access, which is related to the process of reading and writing data to the memory cells. Some semiconductor memory products also offer error checking and correction functions to ensure data integrity and increase reliability.

In addition to storage, semiconductor memory has a variety of roles

What are the indicators of high performance in semiconductor memory?

What does it really mean when a semiconductor memory product is considered as “high performance”? The following are some of the key specifications which indicate the performance level of a product.

• Speed: Speed is a crucial indicator of memory performance. Read/write speed, measuring how fast memory can access and save data, respectively, is a key speed metric. Other common measures include data transfer rate, which specifies how fast information moves between the memory and other devices, and data processing speed—the rate at which stored data can be processed. Offering ultra-fast data processing speeds, SK hynix’s HBM3E⁸ is leading the memory field in terms of speed.
• Capacity & density: Generally measured in units of bytes, capacity refers to the maximum amount of data that can be stored in a device. Meanwhile, density is the amount of data that be stored in a given physical area of a storage device. For SK hynix, the company has continued to push the limits of product density, developing samples of the world’s first 321-layer NAND flash in 2023.
• Power efficiency: This refers to the effectiveness with which a memory product uses power to perform its operations. Typically measured in performance per watt⁹, power efficiency is a key consideration for semiconductor companies including SK hynix as it looks to optimize performance and enhance its sustainability. An example of the company’s power-efficient products is LPDDR5T¹⁰, the world’s fastest mobile DRAM renowned for its low-power and low-voltage characteristics.
• Reliability: This indicates the probability a memory product can perform to the required standard without failures (errors during product use) over a set period. One of the common metrics for reliability is early failure rate (EFR), which estimates the number of device failures to occur within a year in the user environment. To ensure product reliability, companies must ensure they meet industry standards and conduct various tests.

Key indicators such as speed and capacity signify memory performance

What are some of the major challenges in semiconductor manufacturing?

From striving to continue scaling through to dealing with supply chain disruptions, semiconductor companies face various challenges in their quest for advancement. Below is a list of some of the main issues that impact the semiconductor manufacturing process.

Continuing Scalability

As technology advances, there is a growing demand for smaller and more powerful semiconductors. However, semiconductor scaling—the process of miniaturizing semiconductor devices while improving performance—is a significant challenge due to physical and technological limitations. To continue scaling, manufacturers must continue innovation and investment in design, materials, and manufacturing.

Increasing Costs

This large-scale investment is another challenge for semiconductor companies, as equipment such as lithography machines are particularly costly. On a broader level, developing next-generation semiconductor technologies involves substantial R&D costs for developing new materials and manufacturing processes. Furthermore, fabrication facilities, or fabs, that produce ever-increasing quantities of semiconductor products are now also multi-billion-dollar investments.

Improving Sustainability

The rising production of semiconductor products contributes to another issue for manufacturers—managing their environmental impact. The industry is coming together to improve its sustainability, including cutting carbon emissions and reducing waste. However, implementing these measures while maintaining production efficiency and meeting regulatory requirements is a continuous challenge for semiconductor companies.

Supply Chain Disruptions

Global challenges such as the COVID-19 pandemic have highlighted the fragility of global supply chains. Semiconductor manufacturing relies on a complex network of suppliers for materials, equipment, and expertise. Disruptions in any part of this chain can lead to shortages and price fluctuations. To strengthen their supply chain resilience, companies are introducing measures such as diversifying their suppliers, locally sourcing materials, and enhancing inventory management.

Semiconductor companies must overcome key manufacturing challenges to continue making progress

What are the latest advancements and future trends in semiconductor technology?

Driven by the need for greater performance, efficiency, and scalability, semiconductors are undergoing rapid advancements and propelling the development of new technologies.

Today, AI is making headlines around the world and semiconductor memory is set to be crucial in ensuring AI’s future progress. Semiconductor companies are making high-performance chips specifically for AI and machine learning applications to enable more efficient data processing. In particular, SK hynix’s industry-leading HBM3E is suited for AI training as it can rapidly handle and access data. The company’s HBM products are set to continue fueling the evolution of AI, with the planned mass-production of its next-generation HBM4 set for 2025.

While some consider Moore’s Law¹¹ to be part of the past, SK hynix’s next-generation packaging technologies are pushing the limits of scalability. Innovative packaging methods like MR-MUF¹² have propelled the company to its leadership position in the HBM market, while emerging technologies such as chiplet¹³ and hybrid bonding¹⁴ are expected to contribute to new product development.

Semiconductor technology will also play a key role in the evolution of quantum computing, which is set to tackle problems currently beyond the capabilities of even the most powerful traditional computers. Semiconductor materials have been used in trials involving this emerging technology, enabling researchers to utilize quantum computers at room temperature. This will allow quantum computing to leap forward and bring about a potential technological revolution.

Semiconductor technology is driving advancement of various technologies including AI

¹Central processing unit (CPU): A hardware component which is the core computational unit in a device.
²Graphics processing unit (GPU): A computer chip that renders computer graphics and images by performing mathematical calculations.
³Random access memory (RAM): A computer’s main memory in which data can be rapidly accessed directly by the central processing unit regardless of the sequence it was recorded.
⁴Dynamic random access memory (DRAM): A type of RAM that serves as the main memory in computers. While DRAM is more cost-effective and offers greater capacity than SRAM, it needs to be periodically refreshed to maintain stored data.
⁵Static random access memory (SRAM): A type of RAM which is often used for a computer’s cache memory. Unlike DRAM, it does need to be refreshed to maintain stored data and therefore offers improved performance and lower power usage.
⁶Read-only memory (ROM): A type of computer storage containing permanent data that generally can only be read, not written to.
⁷Processing-In-Memory (PIM): A type of intelligent memory that embeds the computational functions of a processor in memory.
⁸HBM3E: The fifth-generation and latest High Bandwidth Memory (HBM) product. HBM is a high-value, high-performance product that revolutionizes data processing speeds by connecting multiple DRAM chips with through-silicon via (TSV).
⁹Performance per watt: An indicator of how much computation is performed per watt of power consumed.
¹⁰Low Power Double Data Rate 5 Turbo (LPDDR5T): Low-power DRAM for mobile devices, including smartphones and tablets, aimed at minimizing power consumption.
¹¹Moore’s Law: Proposed by Intel co-founder Gordon Moore, it states the number of transistors on a microchip doubles approximately every two years.
¹²Mass reflow-molded underfill (MR-MUF): Mass reflow is a technology that connects chips together by melting the bumps between stacked chips. Molded underfill fills the gaps between stacked chips with protective material to increase durability and heat dissipation.
¹³Chiplet: A technology that breaks up chips into functions and connects these separated pieces on a single substrate to enable heterogeneous bonding and integration.
¹⁴Hybrid bonding: A technology that connects chips together directly without bumps to enable higher bandwidth and capacity.

The next episode will explore “when” semiconductors and SK hynix started to change peoples’ lives.

<Other articles from this series>

[Semiconductor 101] SK hynix’s Guide to Who’s Who in the Semiconductor Industry

[Semiconductor 101] When Semiconductors & SK hynix Made Their Mark on the World

The post [Semiconductor 101] SK hynix Explains “What’s What” in the Semiconductor World first appeared on SK hynix Newsroom.

Nobel Prize winners. Architects of Silicon Valley. Trailblazing companies. And countless teams of innovative engineers. These are some of the major figures and players who have played a key role in the history of semiconductors through to the present day. This first episode of the Semiconductor 101 series explores the “who’s who” in the world of semiconductors, covering everything from the inventor of the first semiconductor device to today’s major consumers of semiconductor memory.

Who were the inventors of the first semiconductor device and semiconductor memory product?

First Semiconductor Device

While there are differing accounts on the inventor of the first semiconductor device, German physicist Karl Ferdinand Braun invented what is widely considered to be the first-ever semiconductor diode¹ in 1874. When he probed a lead sulfide crystal with the point of a thin metal wire, Braun found that current flowed freely in only one direction. Through this experiment, he discovered the rectification² effect at the point of contact between metals and certain crystal materials. Braun would have to wait until the advent of radio in the early 1900s to see the first practical application of his device, as it was then used as a signal detector in a basic radio set.

First Transistor

Around 70 years later, a landmark breakthrough in semiconductor history occurred at U.S. industrial research company Bell Labs. Under the supervision of William Bradford Shockley, scientists John Bardeen and Walter Houser Brattain invented the world’s first transistor³, known as the point-contact transistor, in 1947. They would later go on to receive the 1956 Nobel Prize in Physics for this invention which welcomed in a new era for electronics.

First Semiconductor Memory Product

In the mid-20th century, the first prototypes of semiconductor memory emerged that allowed computers to store data. In 1963, the American engineer Robert H. Norman invented the integrated bipolar static random access memory (SRAM)⁴. Three years later, IBM’s Robert Heath Dennard invented the world’s first dynamic random access memory (DRAM)⁵ which led to Intel’s development of a 1-kilobit (125 bytes) DRAM chip in 1970.

(From left) Scientists John Bardeen, William Shockley and Walter Brattain, inventors of the first transistor, at Bell Labs in 1948 (Source: AT&T)

Who are the most influential figures in the history of the semiconductor industry?

Numerous figures have contributed to the development of the semiconductor industry, but one of the most notable names to stand out from the list is Gordon Moore. A pioneer in silicon chips and transistors, Moore predicted in 1975 that the number of transistors on a microchip would double approximately every two years. Dubbed Moore’s Law, the forecast remains a guiding principle for the industry as manufacturers continually innovate to miniaturize transistors for ever-smaller chips. Moore is also renowned for co-founding Fairchild Semiconductors and Intel, laying the foundations for the world‘s technology epicenter, Silicon Valley.

The integrated circuit was invented by Jack Kilby in 1958 (Credit: Texas Instruments, Source: National Museum of American History, Smithsonian Institution)

Another key figure to have changed the course of semiconductor history is American electrical engineer Jack Kilby. In 1958, Kilby demonstrated that many transistors, resistors, and capacitors could be grouped on a single board of semiconductor material when he invented the integrated circuit (IC). His revolutionary invention during his time at semiconductor company Texas Instruments has become a foundational component in today’s computers and other electronic equipment. In recognition of his work in inventing the IC, Kilby received the 2000 Nobel Prize in Physics.

Additionally, the Korean-American inventor Dawon Kahng developed the first practical field-effect transistor, a device that controls electronic signals. While his invention was not immediately embraced upon its unveiling in 1960, it has become one of the most widely-used integrated circuits. Today, it is better known as the MOSFET⁶.

Gordon Moore, Jack Kilby, and Dawon Kahng are among the most notable names in semiconductor history

Who works at semiconductor companies?

Measuring just nanometers (one billionth of a meter), semiconductors are applied to the most advanced electronic systems. So, who are the people with the capabilities to make these highly intricate and complex devices? Perhaps unsurprisingly, the majority of employees at semiconductor companies are engineers who work on different stages of production. Let’s take SK hynix as an example.

Design & R&D

Design engineers oversee the analog and digital design of semiconductors, including the circuit design and digital intellectual property (IP) of the microchips. As their title suggests, R&D process engineers research and develop materials and the numerous processes that are required to manufacture semiconductors.

Production, Packaging & Testing

Package and test engineers optimize the packaging process and test for defects in products. There are also engineers specifically assigned to manage the mass production and quality assurance of products to ensure a smooth manufacturing process. Furthermore, application engineers raise the standard of products by evaluating them when they are applied to customer systems such as computers, mobile phones, and graphic cards.

Non-Engineering Roles

Apart from engineers, there are a number of other roles at semiconductor companies. These include positions related to sales and marketing, sustainability, technology certification, finance, and safety.

Engineers account for the majority of roles at semiconductor memory companies

Who are the major companies in the semiconductor supply chain?

Today, there are several semiconductor companies responsible for different aspects of the chip development process. In terms of foundries⁷, Taiwan Semiconductor Manufacturing Company (TSMC) is a global logic foundry which operates large-scale fabrication plants, or fabs, with the capacity to produce millions of wafers per year.

There are also fabless companies such as NVIDIA and Qualcomm which do not manufacture their own physical chips and, instead, focus on chip design and innovation, while outsourcing their manufacturing to specialized foundries. Others take on smaller pieces of the supply chain puzzle such as outsourced semiconductor assembly and test (OSAT) companies that specialize in providing third-party packaging and testing services for semiconductor manufacturers. Some notable OSAT companies include ASE Technology Holding and Amkor Technology.

Cadence and Synopsys are electronic design automation (EDA) companies that provide software tools, techniques, and methodologies for designing key components such as integrated circuits and printed circuit boards. Finally, semiconductor equipment manufacturers such as Applied Materials, Lam Research, Tokyo Electron, and ASML design, produce, and sell machinery and tools required for the fabrication and testing of semiconductor devices.

As for SK hynix, it is classed as an integrated device manufacturer (IDM) that is capable of handling both the design and production of chips at its in-house facilities. This integrated approach has played a major role in the company establishing itself as a leading provider of advanced DRAM solutions, such as the leading AI memory HBM⁸, and NAND flash⁹.

A network of companies make up the global semiconductor supply chain

Who are the major consumers of semiconductor (memory)?

A glance at the world’s major semiconductor buyers shows that while global tech companies such as Apple, Dell, Sony, and Lenovo top the list, there are also a significant number of major PC and smartphone original equipment manufacturers (OEM). These OEMs require microprocessors, memory chips, and various other types of semiconductors for their devices to handle the immense storage and processing demands.

In addition, telecommunications companies use semiconductor chips in a variety of equipment and devices to facilitate data encoding, encryption, transmission, and more. The automotive industry is also increasingly using next-generation chips for advanced driver assistance systems (ADAS) in autonomous vehicles, enabling collision avoidance, parking assistance, and other driver aids. Moreover, manufacturers of home appliance such as refrigerators and air conditioners use different chips for temperature control, timers, automated features, and so on.

Finally, semiconductor memory products are a key component for AI applications such as ChatGPT, Google’s Gemini, and Microsoft Copilot. They enable the storage and quick retrieval of datasets, allowing AI systems to efficiently process data. Furthermore, SK hynix’s lineup of high-performance memory solutions are ideal for AI training and inference¹⁰ as they can rapidly access and handle data. Companies that provide AI applications and services also manage data centers that contain thousands of servers packed with CPUs¹¹ and GPUs¹², so DRAM memory chips and solid-state drives (SSD)¹³ are needed to process the immense amount of data.

The electronics, AI, telecommunications, and automotive industries are among the main consumers of semiconductors

¹Semiconductor diode: A simple electronic component that conducts electricity in one direction.
²Rectification: The conversion of an alternating current to a direct current.
³Transistor: A semiconductor device that regulates current or voltage flow and acts as a switch or gate for electronic signals.
⁴Static random access memory (SRAM): Volatile memory that holds memory permanently as long as power is supplied. Unlike DRAM, it does not have to be refreshed periodically to keep storing data.
⁵Dynamic random access memory (DRAM): Volatile memory that needs to be refreshed periodically to maintain stored data. Like SRAM, it loses stored data when the power supply is removed.
⁶Metal-oxide-semiconductor field-effect transistor (MOSFET): An active semiconductor device in which a conducting channel is induced in the region between two electrodes by a voltage applied to an insulated electrode on the surface of the region.
⁷Foundry: Companies that manufacture semiconductor products as a service. They do not design chips like fabless companies.
⁸High Bandwidth Memory (HBM): A high-value, high-performance product that revolutionizes data processing speeds by connecting multiple DRAM chips with through-silicon via (TSV).
⁹NAND flash memory: A type of non-volatile storage technology that does not require power to retain data.
¹⁰AI inference: The process of running live data through a trained AI model to make a prediction or solve a task.
¹¹Central processing unit (CPU): A hardware component that’s the core computational unit in a server.
¹²Graphics processing unit (GPU): A computer chip that renders computer graphics and images by performing mathematical calculations.
¹³Solid-state drive (SSD): A non-volatile storage device used in computers that stores persistent data on solid-state flash memory.

Having looked at “who” is important in the semiconductor industry, the next episode will ask “what” is crucial in the world of semiconductors.

<Other articles from this series>

[Semiconductor 101] SK hynix Explains “What’s What” in the Semiconductor World

[Semiconductor 101] When Semiconductors & SK hynix Made Their Mark on the World

The post [Semiconductor 101] SK hynix’s Guide to Who’s Who in the Semiconductor Industry first appeared on SK hynix Newsroom.

The post 5 Queries to Boost Your Semiconductor Industry Knowledge first appeared on SK hynix Newsroom.