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Samsung and SK Hynix to ramp up advanced NAND conversion investments in Q2
Monday, February 2, 2026 at 07:04 AM
Samsung and SK Hynix are initiating significant equipment investments to convert existing NAND production lines to advanced 9th-generation nodes starting in Q2 2025. Samsung is targeting a conversion of 40,000 to 50,000 wafers per month at its Xi’an X2 and Pyeongtaek P1 facilities to produce 280-layer V9 NAND. SK Hynix intends to establish 30,000 wafers per month of 321-layer NAND capacity at its M15 fab in Cheongju. These moves signal a shift in CapEx focus toward NAND to address AI-driven supply shortages.
Context
Samsung Electronics and SK Hynix are accelerating capital investments in high-layer NAND flash memory starting in Q2 2026 to address a growing supply shortage. Driven by the global AI boom, demand for high-capacity enterprise SSDs has outpaced current capacity, prompting both companies to pivot their primary investment focus from DRAM back to cutting-edge NAND. This transition marks a strategic shift to a mass-production "ramp-up" phase aimed at capturing the surging high-performance storage market required for large-scale data centers.
Samsung is targeting a capacity expansion of 40,000 to 50,000 wafers per month for its 280-layer V9 NAND, primarily upgrading its Xi’an, China and Pyeongtaek facilities. Concurrently, SK Hynix is transitioning its M15 fab to secure a production capacity of 30,000 wafers per month for its industry-leading 321-layer NAND. These aggressive conversion schedules indicate that advanced NAND output will increase significantly through 2027, positioning both firms to dominate the storage infrastructure requirements of generative AI.
Related Companies
SK Hynix
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Samsung Electronics
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