Intel and SK Hynix shares rose after Reuters reported the two companies are in talks over producing memory chips in the United States, possibly at Intel's Ohio campus. Micron Technology shares barely moved on the news, while the talks remain exploratory with no deal confirmed.
Intel shares rose 4% to $100.55 in early Wednesday trading after Reuters reported the chipmaker is in talks with SK Hynix about producing memory chips in the United States for the first time. SK Hynix's Nasdaq-listed shares climbed 3.3% to $180.52 on the same report, while Micron Technology shares held largely flat, up 0.9% to $935.80.
Ohio campus emerges as possible site
Reuters reported that one scenario would have SK Hynix lease part of Intel's chipmaking facility in Ohio, while another would set up a joint venture involving Intel, SK Hynix and large cloud companies. Intel pledged as much as $100 billion for the Ohio campus. The two planned plants there aren't expected to be finished until 2030 and 2031. SK Hynix said it is reviewing various measures, including additional production bases, to strengthen its memory business, but added that, according to 24/7 Wall St.: "no matters have been determined at this stage." Intel called the report speculation and declined to comment, though it reiterated its commitment to the Ohio investment.
Regulatory hurdles in South Korea
A deal covering advanced memory such as high-bandwidth memory, or HBM, could face opposition from the South Korean government because the technology is considered sensitive, Reuters reported, citing three sources. South Korea's trade ministry added that technologies classified as national core technology require regulatory review under the Industrial Technology Protection Act, and that any production decision rests with SK Hynix. SK Hynix is one of the world's leading suppliers of HBM, a key component of Nvidia's chips, and its South Korea-listed shares are up 400% over the last year.
Chip stocks outrun the broader stock market
The sector reaction favored semiconductors over the broader index: the iShares Semiconductor ETF rose 2% to $506.85. The Invesco QQQ Trust gained 0.6% to $708.99, trailing the chip benchmark's advance. SK Hynix already has US expansion under way, having broken ground last month on a $4 billion facility in Indiana. Neither company has confirmed a deal, and the next scheduled catalyst for Intel is its Q3 2026 earnings release.
Sources: CNBC, 24/7 Wall St.
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