SK Hynix, a dominant player in high-bandwidth memory chips for AI, is preparing a $29 billion U.S. initial public offering, according to reports. The deal would rank among the largest IPOs in history, reflecting surging demand for AI hardware.
The South Korean firm specializes in memory chips critical for training large language models, placing it at the center of the AI infrastructure boom. A U.S. listing could broaden its investor base and provide capital for expanding production capacity.
At $29 billion, the offering would eclipse many recent tech IPOs, though final pricing and timing remain undisclosed. The company's HBM3e chips are used in Nvidia's top-tier AI accelerators, tying its fortunes directly to the AI chip market's growth.
Success of this listing could signal a reopening of the IPO window for AI-related firms after a sluggish period. However, geopolitical risks—including U.S.-China chip export controls—may temper investor enthusiasm.
Critics question whether the memory chip market's cyclical history justifies such a sky-high valuation. A sustained AI investment surge would be needed to support that price tag over the long term.