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SK Hynix spent US$4.3 billion to increase the purchase of EUV lithography machines.

Published :2/25/2021 8:29:23 AM

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SK Hynix announced on Wednesday that it had signed a 5-year (as of December 1, 2025) procurement contract with ASML, with a total value of approximately 4.8 trillion won ($4.34 billion) for the purchase of EUV lithography machines.

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The purchase cost this time has approximated 7.34% of SK hynix’s total assets. SK hynix said that this is an estimate of the cost for the purchase and installation of the lithography machine and will be paid one by one in the next five years. The price of one EUV equipment Between 130 million and 150 million US dollars.

SK Hynix has used two existing research EUV equipment for commercial production and installed it in its M16 wafer fab in Yichuan City. The fab was completed on February 1, and will use EUV lithography to produce the fourth generation of 10nm (1a) DRAM. Mass production will begin in the second half of 2021. The M16 wafer fab costs 3.5 trillion won and has a building area of 57,000 square meters. SK Hynix will also increase the application of EUV technology from this fab to consolidate its leading position in advanced semiconductor memory processing.

In the fourth quarter financial report of last month, SK Hynix also mentioned that DRAM sales in 2021 will increase by 16% to 20%, with the main demand coming from digital center servers and 5G smartphones.

And SK Hynix’s competitor Samsung has used EUV lithography machines last year to produce the third-generation 1zDRAM.