SK hynix has begun taking steps to expand its HBM memory capacity with a new phase of equipment investments, focused on its future packaging and testing (packaging & test) line in Cheongju (South Korea). The goal is clear: to respond to the surge in AI infrastructure, where HBM has become a critical component and simultaneously one of the most strained by supply.
According to industry sources cited in the market, the company has already initiated purchase order (PO) issuance for process equipment destined for the Cheongju P&T6 facility, with deliveries expected “in the short term.” The plan is to launch the cleanroom as early as March, aligning tool installation with that startup.
From “vacant space” to HBM manufacturing plant
The P&T6 is a facility previously known as M8, which was used by SK hynix System IC (the 8-inch foundry subsidiary), but became available after shifting those operations to Wuxi (China). SK hynix decided to convert that capacity during the first half of last year, and with the initiation of equipment orders, the transformation is now in the operational phase.
Currently, these are “initial POs”: a typical stage in semiconductor line construction where equipment is installed for qualification phase, aimed at verifying that the process operates stably before proceeding to large-volume orders and ramp-up.
The bottleneck also lies in the “back-end”
P&T6 is a back-end plant dedicated to converting DRAM into HBM through packaging and testing the final product. This is relevant because HBM depends not only on wafers: advanced packaging and validation are essential parts of ensuring performance, reliability, and final volume delivery to customers.
The materials, parts, and equipment (MPE) sector expects that, following qualification, larger-scale orders will be placed to build additional lines aimed at mass production. In this regard, it’s anticipated that volume line expansion could begin as early as the second half of this year.
HBM4 on the horizon and pressure from AI demand
The P&T6 facility is ultimately intended for HBM4 (sixth generation), the product SK hynix is preparing to supply to NVIDIA, one of the leading drivers of AI acceleration market growth.
A key point for investors and the supply chain: once P&T6 is fully operational, it will provide additional capacity of approximately 20,000 wafers per month. As a reference, SK hynix’s total HBM production capacity at the end of last year was estimated around 150,000 wafers per month, so P&T6 could represent an approximate 13.3% increase over that figure, assuming ramp-up proceeds as planned.
Data table (based on available information)
| Element | Description | Status / Timeline | Estimated Impact |
|---|---|---|---|
| Cheongju P&T6 (ex M8) | Packaging and testing plant for HBM (back-end) | Initial POs already underway; cleanroom as early as March; installation linked to opening | Foundation for qualification and subsequent volume line construction |
| Order type | “Initial POs” | Focused on process qualification phase | Precursor to large-scale orders after validation |
| Target product | HBM4 | Preparing for supply to NVIDIA | Strengthens SK hynix’s exposure to the AI cycle |
| Potential additional capacity | — | After full operation of P&T6 | +20,000 wafers/month |
| Estimated current HBM capacity | — | End of last year | ~150,000 wafers/month |
| Relative increase (approx.) | — | P&T6 vs. baseline estimate | +13.3% |
Frequently Asked Questions
Why are packaging and testing so important for HBM?
Because HBM requires advanced integration and rigorous validation to ensure performance and reliability; the back-end can limit final volume even if wafer capacity exists.
What does “20,000 wafers per month” practically mean?
It’s a manufacturing capacity metric used as an industry reference. It doesn’t directly equate to a fixed number of final chips, as it depends on yields, product configuration, and mix.
Why is there now so much pressure to expand HBM?
The expansion of AI infrastructure has sent demand for HBM soaring as an essential memory for accelerators, while supply has not kept pace.
What does P&T6 aiming for HBM4 imply?
It indicates SK hynix is preparing capacity for the next generation, generally associated with higher technical demands and, if demand remains strong, high-value contracts with leading clients.
via: etnews