SK Hynix explores options to enhance competitiveness, may partner with Intel

SK Hynix, the world’s second-largest memory chipmaker, is in discussions with Intel about potentially manufacturing memory chips on American soil for the first time. The talks reportedly include options ranging from leasing part of Intel’s semiconductor facility in Ohio to forming a joint venture with major cloud computing companies eager to lock in memory supplies.

Both stocks liked the sound of it. Intel shares climbed 5.2% in pre-market trading, while SK Hynix gained 4% in Seoul following the report.

What’s on the table

The discussions center on Intel’s Ohio campus, a sprawling project originally announced with up to $100 billion in potential investment. SK Hynix could take over part of that facility through a lease arrangement, or the two companies could structure a joint venture that brings in cloud hyperscalers as partners with skin in the game.

SK Hynix was quick to temper expectations. The company clarified that no definitive plans or agreements have been reached regarding cooperation with Intel or any production in the US.

The potential deal wouldn’t come out of nowhere, though. SK Hynix acquired Intel’s NAND flash memory business for $9 billion back in 2020, so the two companies already have a history of doing business together. The former SK Hynix CEO now serves as an executive at Intel overseeing foundry operations. Speculation about some form of acquisition or deeper partnership between the two companies has been circulating since at least July 2026.

Why memory matters more than ever

SK Hynix is already responding to that gravity. The company is investing around $4 billion in an AI chip packaging facility in Indiana, with mass production targeted for 2029. A deal involving Intel’s Ohio fab would represent a much more ambitious expansion of its US manufacturing footprint, potentially moving actual chip fabrication stateside rather than just the packaging and assembly steps.

The competitive landscape shifts

If this partnership materializes in any form, it would reshape the competitive dynamics in memory semiconductors. Samsung, the world’s largest memory maker, would face a rival with both technological leadership in HBM and a geographically diversified manufacturing base that includes facilities inside the United States.

Taiwan’s TSMC is already building fabs in Arizona. Samsung has a facility under construction in Texas. SK Hynix establishing a presence in Ohio would mean all three of the most important non-US chipmakers have committed to American production.