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Park Jung-ho, vice chairman of SK Hynix, recently revealed at the 2021 World IT Expo (WIS) that the company plans to increase investment in the foundry business.

Korean media etnews reported that Park Jung-ho said: “Korea’s IC design company has requested SK Hynix to provide the same foundry services as TSMC, and SK Hynix has agreed to these requests. Therefore, the company plans to increase investment in foundries. Industrial business."

Due to the surge in demand for IT equipment and automotive semiconductors, the global foundry market has fallen into a tight supply dilemma. In particular, the capacity of 8-inch wafers is seriously insufficient, and foundries in Taiwan, China, such as TSMC and UMC, are facing bottlenecks.

In South Korea, Samsung, DB HiTek, Key Foundry and System IC under SK Hynix are mainly responsible for the 8-inch foundry business, but customer orders from these manufacturers have been scheduled to six months later.

It is reported that SK Hynix is ​​currently providing foundry services through its System IC, and is transferring the 8-inch wafer equipment in Cheongju, South Korea to its factory in Wuxi, China.

The report pointed out that System IC's current monthly capacity of 8-inch wafers is 85,000, and its main customers are South Korean IC design manufacturers such as Silicon Works and Silicon Mitus. When the equipment is completely transferred to Wuxi in August next year, the company will mainly target the Chinese market.

In addition, Park Jung-ho also mentioned that TSMC has 12-inch wafers in addition to 8-inch wafer foundry, which implies that SK Hynix may also invest in 12-inch wafer foundry business.