[Edaily Reporter Park Sun-Yeop ] SamsungElectronics(005930)and SK hynix(000660)have unveiled large-scale investment plans for semiconductors and artificial intelligence (AI) in line with the government’s “Three Major Mega-Projects for Korea’s Great Leap Forward.” Analysts suggest this announcement will serve as a catalyst for enhancing the long-term visibility of the domestic memory industry. However, the speed of infrastructure development—including power, water supply, and permits—is expected to be a key variable in the actual execution of these investments.
Kim Rok-ho, an analyst at Hana Securities, stated in a report on the 30th, “This announcement represents the largest-ever investment, premised on the continued super-boom in the memory market during the AI era,” adding that it is “a strategic choice aimed at strengthening global supply chains and securing technological leadership.” Hana Securities maintained its “Overweight” rating on the semiconductor sector and named SamsungElectronics and SK hynix as its top picks.

According to the report, the Samsung Group has unveiled a long-term investment plan totaling 2,655 trillion won. Of this, SamsungElectronics’ investment amounts to 2,450 trillion won, with semiconductor investments alone reaching 2,100 trillion won. SK Group has proposed a total investment of 2,100 trillion won, of which SK hynix will invest 1,100 trillion won in the semiconductor sector. At the SK Group level, approximately 1,000 trillion won is also planned to be invested in AI data centers.
SamsungElectronics will invest 2,030 trillion won to develop existing semiconductor clusters in Pyeongtaek, Yongin, and other locations. By region, 425 trillion won has been allocated to the Honam region. The plan involves investing 400 trillion won in the second phase of the new semiconductor fab in Gwangju, along with the construction of an AI data center and a smart home appliance hub.
140 trillion won will be invested in the Chungcheong region. Funds will be allocated to the Cheonan and Onyang HBM fabs (56 trillion won), the Asan XR display facility (67 trillion won), and AI server package substrates in Sejong. In the Yeongnam region, 60 trillion won is scheduled to be invested, focusing on the Gumi robotics and smartphone mother factory, MLCC and package substrates in Busan, and all-solid-state batteries in Ulsan.
SK hynix will invest 600 trillion won in the Yongin semiconductor cluster. The plan focuses on expanding DRAM-centered production capacity, with the goal of constructing a fourth fab by 2033—12 years ahead of the original 2045 completion schedule. The company will invest 100 trillion won in its Cheongju production base to expand NAND capacity and strengthen HBM back-end processes. Additionally, 400 trillion won will be invested in a new cluster in the southwestern region, including Honam, to gradually establish a production hub centered on front-end fabs.
Hana Securities viewed the core of this plan as expanding the semiconductor production landscape, which has been centered on the Seoul metropolitan area, to a nationwide scale. The strategy, the firm explained, is to respond to growing demand for AI memory by establishing a production belt linking Yongin, Cheongju, and the southwestern region, and by fostering the Honam region as a second semiconductor hub.
Researcher Kim assessed that “this is positive in terms of securing long-term visibility for the memory leadership of SamsungElectronics and SK hynix.” He analyzed that the move is significant in terms of expanding AI memory production capacity, broadening the domestic semiconductor ecosystem, and strengthening competitiveness in the global supply chain.
However, he also pointed out the potential for supply-demand pressures. Since the balance between supply and demand is key in the memory industry, even if demand is strong, if the pace of supply growth outpaces it, this could lead to downward pressure on prices. Researcher Kim stated, “There is a possibility that the scale and pace of memory supply growth will accelerate, and concerns may persist regarding the supply-demand balance.”
Feasibility is also a key issue. This is because large-scale investment plans will be difficult to execute as intended if there are delays in securing the power and water supplies essential for operating semiconductor factories. The government has announced plans to build a water supply network capable of delivering 1 million metric tons per day in the Honam region, as well as to underground the power grid in the Yongin Industrial Complex and rapidly construct transmission and distribution networks.
Researcher Kim emphasized, “The speed of the government’s budget execution and the coordination process for permits and approvals among local governments will be the key variables determining the practical feasibility of this semiconductor investment.” He maintained a “Buy” rating with a target price of 480,000 won for SamsungElectronics and a “Buy” rating with a target price of 3.6 million won for SK hynix.