Global semiconductor demand experienced a remarkable resurgence in 2024, driven by a wave of AI-powered innovation. In response, fabs cranked up production to deliver chips that could handle the immense computing needs of next-generation technologies.

Amid this whirlwind of progress, SK hynix stood out as a market leader. Throughout the year, the company not only overcame challenges but also played a crucial role shaping the future of the semiconductor industry. This article revisits SK hynix’s eight biggest stories of the year with insights from executives, highlighting the company’s progress in AI memory, business investments, sustainability, and more.

1. Investment Milestone: Advanced Chip Packaging Plant Deal in Indiana for Next-Gen AI Memory

SK hynix announced in April that it will invest USD 3.87 billion to establish an advanced packaging facility in Indiana, U.S. The plant will house a leading production line to mass-produce next-generation HBM¹ as well as future generations of chips. Once completed, the project is set to strengthen the U.S. semiconductor supply chain and address the global surge in demand for AI memory products.

¹High Bandwidth Memory (HBM): A high-value, high-performance memory that vertically interconnects multiple DRAM chips using through-silicon via (TSV).

In August, momentum for the project intensified when SK hynix signed a memorandum of terms with the U.S. Department of Commerce, securing access to significant funding and other financial incentives. This initiative underscores the company’s commitment to establishing a new hub for AI technology.

“We are excited to become the first in the industry to build a state-of-the-art advanced packaging facility for AI products in the U.S. This plant will help strengthen supply-chain resilience and advance our goal of providing AI memory chips with unmatched capabilities,” stated CEO Kwak Noh-Jung.

Learn more about the Indiana investment →

2. Pushing Boundaries: Mass Production of the World’s First 12-Layer HBM3E

Since launching the world’s first HBM in 2013, SK hynix has consistently pushed the boundaries of memory performance with each new iteration. In September 2024, SK hynix marked another milestone in its HBM journey as it began mass production of the world’s first 12-layer HBM3E. Boasting the highest capacity of any existing HBM—36 GB—along with industry-leading speed, the 12-layer HBM3E is optimized to meet the growing demands of AI applications.

Commenting on the announcement which became the most-viewed story on the newsroom in 2024, President Justin Kim, head of AI Infra, emphasized the importance of the breakthrough.

“SK hynix has once again broken through technological limits, demonstrating our industry leadership in AI memory. We will continue our position as the No.1 global AI memory provider as we steadily prepare next-generation memory products to overcome the challenges of the AI era,” he said.

Building on this momentum, the company is now developing the 16-layer HBM3E, promising even greater bandwidth and paving the way for further AI advancements.

Read more about the 12-layer HBM3E →

3. Empowering Growth: Yongin Semiconductor Cluster Investment Plan

The Yongin Semiconductor Cluster is poised to become a cornerstone of SK hynix’s long-term growth, as it looks to meet increasing demand for AI memory. In July, the company committed approximately KRW 9.4 trillion (USD 6.7 billion) to the construction of the project’s first fab and business facilities. In total, SK hynix will construct four fabs for next-generation semiconductors and a semiconductor cooperation complex at the site, which will ultimately serve as a global AI semiconductor production base.

Vice President Kim Young-sik, head of Manufacturing Technology, emphasized the cluster’s vital role in the company’s future.

“The Yongin Cluster will be the foundation for SK hynix’s mid- to long-term growth and a place for innovation, while dramatically enhancing South Korea’s semiconductor technology and ecosystem competitiveness,” he said.

The first fab will focus on producing advanced DRAM, including HBM, with an additional “mini-fab²” planned to support small local businesses’ technological development.

²Mini-fab: Research facility equipped with 300mm wafer processing equipment to demonstrate semiconductor materials, parts, and equipment.

Explore the Yongin Semiconductor Cluster plans →

4. Strengthening SSD Portfolio: Developing PEB110 for Data Centers

In September, SK hynix enhanced its SSD portfolio with the development of a high-performance SSD for data centers, PEB110. This groundbreaking SSD builds on the company’s 238-layer 4D NAND technology, offering twice the performance and over 30% greater power efficiency than the previous generation. As demand for cutting-edge SSD solutions accelerates in AI and big data applications, PEB110 is designed to meet the needs of large-scale cloud computing and data centers.

“Looking ahead, we are on track to proceed with customer qualification and volume production to solidify our position as the No. 1 global AI memory provider in the ever-growing SSD market for data centers,” Ahn Hyun, head of the N-S Committee, noted.

Following the company’s success with ultra-fast DRAM products, the announcement solidifies its position as a leader in NAND solutions.

Discover more details about the PEB110 →

5. Revolutionizing Storage: Mass Production of the Industry’s First 321-layer NAND

Continuing its track record of innovation, SK hynix announced in November it had begun mass- producing the world’s first 321-layer 4D NAND flash. The achievement, which marks the first time a company produced a NAND flash solution with more than 300 layers, follows SK hynix’s significant breakthrough in stacking technology. Delivering enhanced speed and power efficiency compared to the previous generation, the 321-layer NAND flash meets the growing demands of AI applications.

The accomplishment strengthens the company’s position in the AI storage market, particularly in SSDs for AI data centers and on-device AI applications.

“SK hynix is on track for continued growth by adding a perfect portfolio in the ultra-high performance NAND space on top of the DRAM business led by HBM,” said Vice President Jungdal Choi, head of NAND Development.

Find out more information about the 321-layer NAND →

6. Sustainable Success: Winning the IFR Asia Award for Innovative Bond

SK hynix picked up a prestigious IFR Asia Award in April, winning the Best ESG Bond prize for its innovative USD 2.5 billion triple-tranche combination trade. Featuring a sustainability-linked note that targets a reduction in greenhouse gas emissions and a green bond that funds environmental projects, the triple-tranche bond supports the company’s efforts to reach its sustainability goals.

“The green bond, in particular, funds environmental innovations such as increased product energy efficiency, improved wastewater management, and pollution reduction,” said Hyungmo Yang, head of Financial Management. “Going forward, the bond’s proceeds will continue to help us meet our environmental goals.”

By integrating sustainability into its financial practices, SK hynix is addressing the rising demand for investments that deliver both economic returns and environmental benefits.

Read more on SK hynix’s win →

7. Enhancing Shareholder Value: 25% Dividend Hike in New Return Program

In November, SK hynix demonstrated its commitment to delivering value to shareholders by announcing a 25% increase in the annual fixed dividend—the minimum dividend per share that the company plans to pay out every year. The increase, which takes the dividend up to KRW 1,500 (USD 1.06) a share from KRW 1,200, is part of a new shareholder return program for the 2025–27 period.

The enhanced program aims to meet the expectations of shareholders who have supported the company on its path to becoming the global leading AI memory provider.

“Our goal is to promote the company’s long-term prosperity together with our shareholders by carrying out the policies for shareholder return that matches the company’s growth and stability of the financial structure,” Vice President and Chief Financial Officer Kim Woohyun commented.

Separately, the company also unveiled an initiative aimed at increasing corporate value by enabling quick decision-making in response to market changes.

Learn more about the shareholder return program →

8. Commitment to ESG: Unveiling the Recycled Materials Roadmap

As part of its ongoing commitment to ESG, SK hynix introduced a bold roadmap in February to increase the proportion of recycled and renewable materials in semiconductor production. Through this industry-first mid- to long-term plan, the company will first target replacing essential metals for semiconductors with recycled materials before focusing on recycled plastics.

“As a company that takes ESG management seriously, we intend to actively participate in the establishment of a global circular economy,” said Vice President Junho Song, head of Advanced Quality & Analysis. “While implementing this roadmap, we will work together with all stakeholders in the semiconductor supply chain, including customers and suppliers, to achieve practical results.”

This forward-looking roadmap not only highlights SK hynix’s recent success in sustainable innovation but also reinforces its vision for the future. As the company leads the charge in integrating sustainability with technological advancement, it sets a compelling example of how the semiconductor industry can shape a greener, more resilient future.

See the full sustainable materials roadmap →

Continuing the Journey of Excellence in 2025

In 2024, SK hynix achieved new heights through technological breakthroughs, strategic investments, and sustainable innovation. These accomplishments not only solidified the company’s leadership in AI memory but also positioned it at the forefront of emerging fields. Looking ahead to 2025, SK hynix is set to continue its journey of excellence, shaping the next generation of cutting-edge technology and powering the innovations of tomorrow as a full stack AI memory provider.

The post Executive Insights on SK hynix’s Top 8 Stories of 2024 first appeared on SK hynix Newsroom.

The post Pioneering Excellence in 2023 first appeared on SK hynix Newsroom.

^*The company re-branded itself as SK hynix Inc. after joining SK Group in 2012.

SK hynix: Leading the Tech Sector with Innovative Solutions

Figure 1. SK hynix’s 2022 Innovations Leading the Tech Sector

Advanced technological innovation is a key part of becoming a leading technology business on the global stage. For SK hynix, it is continuously pushing the boundaries of technology to develop next-generation solutions.

This commitment to innovation was showcased early on in 2022 as the company unveiled the GDDR6-AiM, its first product which utilized Processing in Memory (PIM) technology, in February. The GDDR6-AiM is an AI accelerator with its own computational capabilities that significantly increases certain computation speeds. It’s anticipated to be adopted for machine learning, high-performance computing, and big data computation and storage.

Then, in April, SK hynix joined hands with Solidigm to introduce their first enterprise solid-state drive (eSSD), P5530. It combines SK hynix’s 128-layer 4D NAND flash with Solidigm’s SSD controller and firmware supporting a PCle Gen 4 interface. This limited release highlighted the partnership between SK hynix and its subsidiary Solidigm, which was formed after SK hynix acquired Intel’s NAND and SSD business in December 2021.

The innovations continued into the summer as SK hynix became the first company to mass produce HBM3, the world’s best-performing DRAM, in June—which it supplied to NVIDIA. The announcement came just seven months after the company became the industry’s first to develop HBM3, solidifying its leadership in the premium DRAM market.

SK hynix announced another industry-first in August as it unveiled the world’s highest 238-layer 512Gb TLC (Triple-Level Cell) 4D NAND. The chip is the most layered yet smallest NAND product out on the market. With plans for mass production next year, it simultaneously improves productivity, data transfer speed, and power efficiency.

In the same month, SK hynix reinforced its superiority in Compute Express Link (CXL) solutions when it developed its first DDR5 DRAM-based CXL memory samples. Two months later, SK hynix became the first in the industry to integrate computational functions into CXL memory by developing CMS, a computational memory solution that’s expected to improve system performance as well as energy efficiency for next-generation server platforms. These developments represented a chance for the company to expand memory and create a new market, as CXL is set to be a critical technology in optimizing memory solutions in the future.

SK hynix continued to reimagine technological limits in December when the company announced it had developed working samples of its DDR5 Multiplexer Combined Ranks (MCR) Dual In-line Memory Module (DIMM), the world’s fastest server DRAM product. The new MCR DIMM operates at a minimum data rate of 8Gbps and is at least 80% faster than existing DDR5 products. SK hynix expects demand for the MCR DIMM to be driven by high performance computing that will take advantage of the increased memory bandwidth.

A Global Ambassador: Exhibiting Leading Technology and Business Performance at Major Tech Events

Figure 2. 2022 Global Tech Events Attended by SK hynix

As the semiconductor industry continues to grow every year, collaborations between related companies and markets are essential for long-term growth. In 2022, SK hynix participated in numerous international exhibitions and events to not only strengthen cooperation with its partners but also showcase the company’s productivity and advancements.

At the annual CES (Consumer Electronics Show) 2022 at the beginning of the year in Las Vegas, SK hynix showed its commitment to SK Group’s larger carbon reduction efforts through its initiatives related to the manufacturing and packaging of its products. By showcasing its low-power semiconductors, water-free scrubbers, and biodegradable package materials, SK hynix highlighted its continued focus on the environmental impact of its products.

In March, SK hynix was the only company that presented a HBM3 at NVIDIA GTC (GPU Technology Conference) 2022. As a high-performing product able to drastically reduce power consumption in data centers around the world, HBM3 emphasized SK hynix’s desire to build on its core product that will meet ESG standards and boost corporate values.

In June, SK hynix participated in the HPE Discover 2022 conference with Solidigm. Showcasing its products under the themes “A New Standard Double Data Rate (DDR) for Green Future” and “Storage Technology Innovator for a Better World”, SK hynix underlined how it is building toward a future of innovative memory solution production.

SK hynix’s developments in the memory sector were further revealed at the annual Flash Memory Summit (FMS) in August, where SK hynix executives gave keynote addresses. They explained how NAND technology is addressing the need for “DataCosm,” the unique confluence of data, storage, and computing. The company also unveiled the world’s first 238-layer 512Gb TLC 4D NAND at the event.

In early October at the Semiconductor Exhibition (SEDEX) in Seoul, SK hynix emphasized its message of a Memory Centric Universe that places semiconductor memory at the center of the company’s world. Audiences from the company’s home country were reminded of the foundational role that memory semiconductors play in familiar, advanced technologies including AI, the Metaverse, big data, and next-generation communication networks (6G).

Lastly, the OCP Global Summit later in October provided the platform to display four SK hynix products, including an industry-first CXL computational memory solution. While proving SK hynix’s standing as a total solution provider, the development marked a meaningful partnership with SK Telecom—another ICT company of SK Group—for a breakthrough advancement.

Thinking Sustainability: SK hynix and Its Eco-friendly Achievements

Figure 3. SK hynix’s 2022 ESG Milestones

As climate change and its impact on the world’s ecosystem becomes increasingly problematic, SK hynix has taken it upon itself to join global efforts to protect the environment as part of its Double Bottom Line philosophy. This places equal importance on the economic and social value of business decisions and has helped to further develop the company’s initiatives on managing carbon emissions and waste management in 2022.

In June, SK hynix received the carbon footprint certification for its eSSD and cSSD products. Issued by the U.K. climate change organization Carbon Trust, the certification assesses the impact of carbon emissions throughout the entire lifecycle of a product. By receiving a globally recognized certificate, SK hynix is able to provide more reliable data on the environmental impact of its products.

In October, SK hynix became a part of the global semiconductor industry’s climate change response initiative when it joined the Semiconductor Climate Consortium (SCC) as a founding member. The SCC is the first global consultative body formed to reduce greenhouse gas emissions throughout the semiconductor value chain.

The company’s environmentally-friendly initiatives are not limited to combatting climate change. In November, the company became the first semiconductor company in Korea to receive the ‘IECQ QC 080000 Hazardous Substance Process Management (HSPM)’ certification. The certificate validates the company’s ability to manage hazardous substances throughout the entire process of supplying environmentally-friendly semiconductors.

In addition to protecting the environment, SK hynix made sure to strengthen its ESG management this year by developing its ESG strategy playbook and goals known as the PRISM framework. PRISM relays the message that SK hynix will transparently communicate with stakeholders while also reflecting its goal of spreading a positive influence around the world.

Although 2022 has proved to be a challenging and uncertain year for the semiconductor industry, SK hynix has been able to overcome these issues thanks to its ability to turn crises into opportunities. The company has made tremendous strides to solidify its status as a successful and environmentally conscious semiconductor company, pushing the boundaries of technological innovations and reaching milestones in business performances and environmental contributions. Looking toward the next 100 years, SK hynix will continue to stand as a leading solution provider that pushes the global ICT ecosystem forward.

The post A Year to Remember: SK hynix Moves Further Into the Global Spotlight first appeared on SK hynix Newsroom.