WEST LAFAYETTE — A major investment in Indiana’s growing semiconductor industry took another step forward Thursday as SK hynix officially broke ground on a new $4 billion advanced packaging and research and development facility at Purdue Research Park.
The Aug. 27 groundbreaking marks the beginning of construction on SK hynix’s first U.S. production hub for high-bandwidth memory (HBM), a type of advanced memory technology that plays an important role in powering artificial intelligence systems.
The ceremony brought together state and federal leaders, Purdue University officials and executives from SK hynix, including Indiana Gov. Mike Braun, U.S. Sen. Todd Young, Purdue University interim President Mitch Daniels and SK hynix CEO Kwak Noh-Jung.
“Today marks the day when the U.S. and SK hynix embark on a new future of AI together,” Kwak said. “The U.S. is the epicenter of AI innovation, bringing together premier customers, top-tier R&D capabilities and partners.”
Kwak said the company plans to continue expanding its investments and partnerships in the United States as it works to help shape the future of artificial intelligence.
The project was first announced in April 2024 and represents an investment of more than $4 billion in Indiana. Once production begins, the West Lafayette facility is expected to support approximately 1,000 employees.
Purdue partnership plays key role
SK hynix selected Indiana in part because of Purdue’s strong reputation for research, innovation and workforce development, particularly in the semiconductor industry.
Purdue launched the nation’s first comprehensive Semiconductor Degrees Program in 2022, designed to prepare students for careers throughout the semiconductor sector. Today, more than 800 undergraduate and graduate students are pursuing semiconductor certificates or departmental concentrations or participating in SCALE, a Purdue program focused on semiconductor workforce development for the defense industry.
Purdue’s semiconductor efforts also include the Birck Nanotechnology Center, which houses one of the country’s largest academic cleanrooms along with approximately 33,000 square feet of specialized laboratories.
Daniels said the project will create opportunities extending far beyond the construction of a new facility.
“It’s appropriate that today’s event is called a groundbreaking because it is true in so much more than the physical sense,” Daniels said. “Purdue’s partnership with SK hynix will also provide groundbreaking opportunities for our students, our researchers, our community, our state and our nation.”
New research agreement announced
Thursday’s ceremony also marked the signing of a new partnership framework agreement between SK hynix and Purdue University focused on research and development in advanced packaging.
The agreement is expected to strengthen collaboration between SK hynix researchers and Purdue faculty and students while helping the company recruit talent from across the Midwest.
The partnership will also give SK hynix access to emerging technologies and research developed through Purdue’s innovation ecosystem.
Purdue Research Foundation President and CEO Chad Pittman said the agreement represents another important step in the relationship between the university and semiconductor manufacturer.
“Together we are strengthening the American semiconductor ecosystem, creating new opportunities for talent development and driving economic growth,” Pittman said.
The partnership also aims to help move promising semiconductor discoveries from the laboratory into commercial applications, supported by Purdue Research Foundation’s intellectual property and technology commercialization efforts.
Investment expected to boost Indiana economy
The SK hynix project is expected to have a significant impact on Indiana’s technology and manufacturing sectors while creating new opportunities for highly skilled workers.
“This project will usher in the next generation of American innovation, bring thousands of good-paying jobs to Indiana and supercharge regional economic development,” Braun said. “It’s a win for Hoosiers, a win for our economy and a great leap forward for Indiana in the race to be the best in the industries of the future.”
SK hynix’s investment also represents a major step toward establishing a semiconductor ecosystem in the Greater Lafayette region, with Purdue officials highlighting the potential for students to gain internships and eventually pursue careers close to home.
Purdue engineering leaders say having a global semiconductor company nearby could further strengthen the university’s ability to connect research and education with real-world manufacturing — creating what officials describe as a “lab-to-fab” environment.
The project also reflects growing cooperation between the United States and South Korea in advanced technology and semiconductor supply chains.
With construction now underway, SK hynix and Purdue are moving forward on a partnership that officials say could help strengthen Indiana’s position in the rapidly growing semiconductor and artificial intelligence industries.
