SK Hynix to Form $10B U.S. AI Unit via Solidigm Restructuring

Seoul, South Korea - SK Hynix said Wednesday it would establish a U.S.-based artificial intelligence company, tentatively named AI Company, as the South Korean chipmaker seeks to expand beyond memory chips into broader AI solutions.

The company has committed $10 billion to the new venture, with the funds to be deployed as needed.

The new unit will be formed through a restructuring of Solidigm (SK hynix NAND Product Solutions Corp.), the company's California-based enterprise SSD subsidiary.

Under the plan, Solidigm's existing business will be transferred to a new subsidiary, also called Solidigm, to maintain the brand.

The original corporate entity will be rebranded as AI Company, serving as a hub for SK Group's artificial intelligence initiatives. 

The company said it would announce a final name later this year.

SK Hynix said the new company would help it transition from a memory chipmaker to a broader provider of AI solutions.

The company said the new subsidiary would use its high bandwidth memory technology to build AI systems for data center customers, invest in and partner with U.S. companies to improve AI performance, and work with other SK Group companies to advance AI development in the United States and South Korea.

The company said the U.S. operation would help it capture opportunities in the AI market while maintaining its position in memory chips.

The move comes as technology companies worldwide are investing heavily in AI infrastructure, fueling demand for high-end memory chips.