SK Hynix Considers Intel as a Potential HBM4E Base Die Supplier

ME News reports that on August 31 (UTC+8), Citrini analyst Jukan revealed that SK Hynix is moving to diversify its foundry suppliers for the substrate chips used in high-bandwidth memory (HBM), which are constructed by vertically stacking multiple memory dies. According to reports, the company is considering outsourcing part of the substrate chip production for its seventh-generation HBM, HBM4E, to Intel Foundry. Until now, SK Hynix has relied entirely on TSMC for outsourced substrate chip production. This move is seen as an effort to establish a multi-supplier foundry strategy, reducing concentration on TSMC and enhancing SK Hynix’s pricing leverage. Per industry sources on August 31, SK Hynix is advancing a plan under which HBM4E substrate chips may be co-manufactured by both TSMC and Intel, potentially beginning with the HBM4E generation. As market expectations suggest that the cost burden of HBM4E substrate chips will further increase—and since HBM products are largely covered by long-term supply agreements (LTAs)—SK Hynix finds it difficult to immediately pass higher foundry costs onto customers through price hikes. Therefore, industry observers believe that if Intel ultimately joins SK Hynix’s substrate chip supply chain, the company will gain greater flexibility in cost competitiveness and supply stability. (Source: BlockBeats)