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SK hynix Announces the Completion of M16 Plant Construction

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SK hynix Inc. held a completion ceremony for its new fabrication plant M16 at headquarter located in Icheon, Gyeonggi-do, South Korea. Under the theme of "We Do Technology: Opening the Happiness", the ceremony was held as SK Group's internal event in order to adhere to the COVID-19 containment measures.

A total of 16 personnel including SK Group Chairman Chey Tae-Won and SK Group Senior Vice Chairman Chey JaeWon, SK SUPEX Council Chairman Cho DaeSik, SK hynix Vice Chairman Park Jung-ho, SK Holdings President & CEO Jang DongHyun, SK hynix CEO Seok-Hee Lee, and SK hynix Lead Independent Director Ha Yung Ku attended the on-site ceremony, along other employees and partner companies' members joined through live video conference.



"It was worried when we decided to build M16 two years ago as the overall semiconductor memory was amid downturn back then. However, as the industry anticipates positive market condition upcoming it seems that our bold decision of the past will lead us to the better future", SK Group Chairman Chey Tae-won said at the ceremony, and made a remark saying, "M16 shall remain as a symbol not only for the completion of Company's another broad plan, but also for the beginning point of Yongin Semiconductor Cluster."

Chairman Chey also expressed his encouragement, saying "The completion of M16 was only possible thanks to many people's contribution. I'm certain that it is time for M16 to return their favor and devote to create their happiness. I urge each and every one of us to consider not only the creation of economic value, but also the ESG-related measures to grow together with our partner companies, protect our environment, and contribute to the development of the local communities".

Since the initiation of the M16 construction in November 2018, SK hynix has invested a total of KRW 3.5 trillion and construction manpower of 3.34 million workers, which led to the completion in 25 months. M16, which will be a manufacturing site mainly for DRAM products, boasts a building area of 57,000 m², equivalent to the size of eight soccer fields. The M16 plant is 336 m long, 163 m wide, and 105 m high, reaching the height of the 37th floor of an apartment building. This is the largest among the domestic and overseas production sites of SK hynix.

What's more special about M16 is its introduction of the extreme ultraviolet (EUV) lithography equipment for the first time in SK hynix. The company plans to grow this plant as a next-generation growth source based on the cutting-edge infrastructure. It plans to produce 1a nm DRAM products from the second half of this year by utilizing the EUV equipment. Also, the company plans to increase the utilization of this equipment in the future to further strengthen the technology leadership in the advanced processing of semiconductor memories.

The completion of M16 is also significant in that it is an early achievement of SK hynix's "Future Vision" announcement at the M14 plant completion ceremony in Icheon in 2015. At that time, SK hynix announced its plan to build three new plants including M14 in Korea within 10 years from 2014 in order to secure continuous leadership in the semiconductor industry. After that, following the completion of M15 in Cheongju, South Korea in 2018, the company built M16 plant, completing the Future Vision three years earlier than expected.

Seok-hee Lee, CEO at SK hynix said, "M16 is a complex manufacturing plant where cutting-edge infrastructures such as dedicated space for EUV equipment and advanced pollution reduction facilities are concentrated. It will become a production plant of a higher level that contributes to the ESG management as well as creating economic value."

SK hynix expects M16 to play a key role in carrying out the company's "Financial Story". In October 2020, SK hynix announced its Financial Story representing its vision to enhance the company's overall competitiveness in the semiconductor memory industry through DRAM and NAND Flash business segments, and focus on the creation of social value (SV), as well as carrying out the environmental, social, and governance (ESG) management. SK hynix has decided to put ideas into action in earnest from this year, and the completion of M16 is expected to be the starting point.

The ceremony included an event to grant plaques of contribution and appreciation in a remote manner to the contributors and major partner companies that participated in the construction.

Meanwhile, SK hynix expressed its gratitude to the officials and the local communities in Icheon, saying that the completion of M16 was possible because of the active supports from local governments and communities. In response, Icheon Mayor Um Tai-Jun delivered a message saying "With the completion of M16, Icheon City has further enhanced its status as a hub city within smart semiconductor belt."

[Notes] M16 Establishment History
  • July 2018: Announcement of the M16 construction
  • December 2018: Groundbreaking ceremony
  • December 2020: Clean room opening
  • 1st of February 2021: Completion of M16 construction

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