SK hynix has announced plans to invest $74.6 billion over the next 3 years to strengthen its dominance of the memory market, which the South Korean memory giant commands 35% of the DRAM market already.

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SK hynix has started construction of its massive $90 billion “mega fab complex” in Gyeonggi Province, with Reuters reporting that SK hynix’s parent company, SK Group, will spend another $58 billion on top of its $74.6 billion investment, into AI and semiconductors so that it can “improve its competitiveness by focusing on its AI value chain”.

The gigantic new investment streams were outlined during a two-day strategy meeting, aiming to revive the group after SK hynix — its main money maker — and SK Group’s electric vehicle (EV) battery arm after it “suffered heavy losses” reports Reuters.

SK Group aims to bolster its competitiveness in the AI market, including High Bandwidth Memory (HBM) chips, AI data centers, AI servers, and personalized AI assistants. SK Group Chairman Chey Tae-won said at the time of transition that a “preemptive and fundamental change is necessary”.

During the meeting, SK executives agreed to take gradual steps to adjust the number of subsidies in the group to a “manageable range,” but Reuters added that the executives didn’t specify the scale of the reduction.