Report: SK Hynix mulls offering advance packaging foundry service
Memory chip vendor SK Hynix is considering a move into 2.5D chip packaging as a foundry outsource operation, according to South Korea’s ETnews.
The move may be partially driven by SK Hynix’s sub-ordinate role to foundry TSMC in the creation of AI accelerators for Nvidia. If SK Hynix could offer 2.5D packaging skills it could potentially offer to work in parallel with TSMC and perform the integration of GPU die and high-bandwidth memory (HBM) DRAM components in AI acceleration components.
SK Hynix has already gained skills in advanced packaging as it has learned to package its own stacked DRAMs for HBM components. The company is now considering entering the OSAT (outsource semiconductor assembly and test) market, the publication said referencing unnamed industry sources. It is reported to be considering doing this by way of a strategic partnership.
SK Hynix makes HBMs by stacking multiple DRAMs and then packaging them and has achieved great success selling such components to Nvidia for inclusion in its GPU-based AI accelerator components. However, TSMC is the lead contractor to Nvidia and performs both the manufacturing of the GPU die for the fabless Nvidia and then packages the component by integrating the GPUs with HBM chips it receives from SK Hynix and, potentially, other sources.
The ETnews article said SK Hynix is reviewing a packaging outsourcing production business decision. It quoted an unnamed source saying: “SK Hynix’s advanced package development team is rapidly securing the technology,” and added: “We are moving with the goal of SK Hynix being in charge of joint product development and initial mass production.”
Established OSAT player Amkor Technology Inc. (Tempe, Arizona) is named as a potential partner. This could fast track SK Hynix’s move. Amkor is already set to receive US$600 million in subsidy for a US$2 billion packaging and test factory in Arizona. Amkor is also in partnership on advanced packaging with TSMC.
As the short-to-medium term demand for advanced packaging exceeds TSMC’s manufacturing capacity it may welcome an additional player in a three-way agreement between TSMC, Amkor and SK Hynix.
ETnews quoted an SK Hynix official saying: “We are preparing advanced packaging technologies such as FO-WLP [fan-out wafer-level package], but no specific decision has been made on whether to commercialize it.”
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