SK Hynix, the world’s dominant supplier of high-bandwidth memory chips powering AI data centers, is reportedly in discussions to have Intel Foundry produce the base die for its next-generation HBM4E memory stacks. The move would mark a significant shift in the semiconductor supply chain, introducing Intel as a direct alternative to TSMC for one of the most critical components in AI hardware.
The report, originating from Korean media outlet The Herald Business, signals that SK Hynix is no longer comfortable having a single supplier for the logic dies that sit at the foundation of its HBM stacks.
Why the base die matters
High-bandwidth memory works by vertically stacking multiple DRAM dies on top of a base die, which acts as the controller and interface between the memory and the processor. For HBM4, SK Hynix began outsourcing base die production to TSMC in 2026. But these base dies are expensive. They reportedly cost 3-4 times more than SK Hynix’s core DRAM dies, which means any cost reduction in this component flows straight to the bottom line.
That’s where Intel enters the picture. Intel’s EMIB (Embedded Multi-die Interconnect Bridge) technology is being evaluated as an alternative to TSMC’s CoWoS advanced packaging. Early assessments suggest EMIB could slash packaging costs by roughly 50% in certain use cases compared to CoWoS.
Intel’s foundry ambitions get a lifeline
The testing phase for EMIB integration with SK Hynix’s HBM designs has reportedly been underway since earlier in 2026. The fact that discussions have progressed from technical evaluation to supply chain planning suggests the results have been encouraging enough to move forward.
The bigger picture: a $4B bet on US manufacturing
This potential Intel partnership fits into a broader pattern of SK Hynix investing heavily in supply chain resilience. The company has begun construction on an advanced packaging facility in West Lafayette, Indiana, with an investment exceeding $4 billion. That facility is targeting volume production of next-generation HBM by the second half of 2029.
The competitive pressure is real. Samsung, SK Hynix’s primary rival in the memory market, has been developing its own 4 nm foundry processes specifically for HBM4 base dies.