$3.8 billion semiconductor plant promises 'silicon heartland'

President Mung Chiang announced at the Purdue Memorial Union North Ballroom Wednesday afternoon that Purdue was not only on the forefront of advancements in AI, but that Indiana would soon be a leader in the entire world.

Spearheading these advancements, South Korean semiconductor manufacturer SK hynix is set to create a $3.87 billion semiconductor manufacturing facility for AI microelectronic products at the Purdue Research Park, according to an SK hynix press release.

"We believe that this project will lay the foundation for a new silicon heartland," said SK Hynix Kwak Noh-Jung.

Local, state and federal officials, including South Korean ambassador for the United States Hyundong Cho, gathered in the PMU Wednesday to announce the deal between SK hynix and Purdue, which Chiang said will “drive job creation and prosperity in our state in the age of AI” and create internship and employment opportunities for Boilermakers.

“West Lafayette is an ideal base where we can execute our strategy,” said Dr. Woojin Choi, the executive vice president head of package and test at SK hynix.

“Trust me, this chip is changing the world, and this town will have to lead the change.”

Choi said the company plans to invest billions of dollars into the facility and expects to create thousands of new jobs.

“Today’s news solidifies Indiana as a semiconductor industry leader,” a press release from Governor Eric Holcomb said. “Since 2022, eight companies have announced plans to establish semiconductor manufacturing (in Indiana), committing to invest more than $6 billion and create more than 2,100 new high-skilled, high-paying jobs for Hoosiers.”

Director of the White House Office of Science and Technology Policy Arati Prabhakar, who was also at the PMU Wednesday for the announcement, said she was excited to be at Purdue’s campus.

“President Biden has been really clear that we need to make sure that all of America participates in growth in the future and he took active steps to help bring S.K. hynix here,” Prabhakar said. “They chose this place. One of the big reasons is because of Purdue.”

The facility will produce HBM3 microchips that, according to SK hynix’s website, is an improvement over other chips produced by the company.

“This high bandwidth memory, also known as HBM, is specifically designed to meet such demand,” Choi said. “This may look like nothing, but this will do much more than power the cellphones you're probably looking at while I'm speaking.”

This news follows the passage of the CHIPS and Science Act in 2022, which was introduced by several senators and representatives and saw increased focus on the production of semiconductors in the United States. One of these senators was Indiana Senator Todd Young who was also in attendance at the PMU.

“Our federal investment in semiconductors signals to the world that America is open for business, and when America is open for business, that means Indiana is open for business,” Young said. “SK hynix may not be a household name in Indiana yet, but it will be soon. This generational investment demonstrates their commitment to our state and our people.”