SK Hynix Capacity to Double in Five Years. Chey Tae-won: Aiming to Be Main Supplier for Vera Rubin, Deepening Taiwan Cooperation

TradingKey - According to media reports on June 2, SK Group Chairman Chey Tae-won sent out several major signals at the GTC conference in Taipei. He explicitly stated that SK Hynix plans to double its memory chip wafer production capacity over the next five years, aiming to become NVIDIA's ( NVDA) primary HBM chip supplier for the next-generation AI computing platform, the Vera Rubin system, while further expanding its diverse partnerships in Taiwan.

SK Hynix plans to double wafer capacity within five years.

Chey Tae-won noted in Taipei that the global memory chip shortage could persist until 2030, as surging AI-driven demand for HBM causes a wafer supply gap consistently exceeding 20%. To address this long-term challenge, SK Hynix plans to double its memory chip wafer production capacity within the next five years. The company's HBM capacity for 2026 is already fully sold out, with the supply crunch expected to last through 2027.

Targeting the Primary Supplier of Vera Rubin

Chey Tae-won explicitly stated his hope that SK Hynix will become the primary HBM chip supplier for Nvidia’s next-generation AI computing platform, the Vera Rubin system. Vera Rubin has entered the full-scale mass production phase and was described by Nvidia CEO Jensen Huang as the "most ambitious project in Nvidia’s history."

Chey Tae-won and Jensen Huang met again in Taipei on June 1, marking their third formal meeting in the past seven months. Citing industry estimates, multiple media outlets reported that SK Hynix currently accounts for approximately 60%-70% of the HBM4 orders for Nvidia's Vera Rubin platform, securing its position as the lead supplier.

Expanding the partnership footprint in Taiwan, China

In Taipei, Chey Tae-won concurrently sent an important strategic signal: SK Group needs to expand into higher-quality and more diverse partnerships with Taiwan, rather than being limited solely to TSMC. Although he has scheduled separate meetings with Jensen Huang and TSMC ( TSM) Chairman C.C. Wei, aimed at further strengthening the "triangular alliance" between SK, Nvidia, and TSMC, his remarks suggest that SK Hynix intends to extend its footprint across the AI industry chain to more Taiwanese partners.

Currently, SK Hynix's market capitalization has surpassed the $1 trillion milestone, with a cumulative year-to-date gain of over 260%, making it the third Asian company to reach a trillion-dollar valuation. Goldman Sachs has raised its 2028 profit forecast for the company by 24%, noting that AI-driven demand will continue to be robust.

In the first quarter of 2026, SK Hynix reported revenue of 52.58 trillion won, up 198% year-over-year; operating profit was 37.61 trillion won, up 405% year-over-year; and net profit was 40.35 trillion won, an increase of 398% year-over-year. The operating margin reached 72%, with both revenue and profit hitting record quarterly highs. HBM remains the core growth engine, accounting for approximately 30% of the company's DRAM shipments; driven by the surge in AI server demand, HBM3E continues to face supply shortages.