SK Hynix disclosed a regulatory filing this week confirming it will purchase 11.9 trillion won ($7.9 billion) worth of EUV lithography equipment from ASML, with delivery scheduled through the end of 2027. The deal marks the largest single EUV order ever publicly disclosed by an ASML customer.
EUV machines can cost hundreds of millions of dollars each and are essential for printing the fine circuitry required in the most advanced memory chips; ASML is the only company in the world that makes EUV systems. SK Hynix said the tools are intended for mass production of next-generation products as the company races to expand capacity for AI-driven memory demand.
The order reveals how intense competition has become for access to a technology that cannot be easily substituted. The scanners will be deployed across two facilities: SK Hynix's M15X plant in Cheongju, which focuses on producing HBM chips, and the new Yongin Semiconductor Cluster, which will handle advanced DRAM. Bernstein analyst David Dao estimates that the order covers approximately 30 new EUV machines over two years.
SK Hynix has confirmed that all DRAM, NAND, and high-bandwidth memory production through 2026 has been sold out, much of it to Nvidia for its AI accelerators. This capacity crunch has made securing manufacturing equipment a matter of strategic priority for any chipmaker hoping to stay competitive in the AI era.
Analysts have noted the order contains a 'pull-in element' designed to lock down ASML equipment supply ahead of competitors. For a company spending nearly $8 billion to secure access to advanced manufacturing tools over two years, the strategic calculus is clear: supply disruptions pose an existential risk in a market where production cannot easily be shifted elsewhere.
The order reflects the pressure SK Hynix is under to stay competitive with Samsung Electronics in supplying the most advanced memory for Nvidia's AI accelerators, with both companies racing to secure EUV capacity ahead of expected demand growth. Last year, SK Hynix became the first chipmaker in the world to assemble a commercial High-NA EUV system from ASML in a production environment, at its M16 plant in South Korea.
The financial commitment is substantial. The total acquisition cost represents approximately 9.97% of the company's total assets as of the end of 2024. Yet from SK Hynix's perspective, the cost of inaction may be higher. SK hynix expects the compound annual growth rate of HBM to be 33% from 2025 to 2030, a trajectory that demands production capacity no competitor can match.
For ASML, the order reinforces its position as the indispensable chokepoint in advanced semiconductor manufacturing. ASML reported a 38.8 billion euro order backlog at the end of 2025, suggesting equipment deliveries will strain the company's production for years to come. Samsung and TSMC are also major buyers of EUV equipment, and all three major memory makers are expanding capacity as AI infrastructure buildout continues to strain global DRAM and HBM supply.
The larger question is whether this spending surge reflects genuine capacity constraints driving sustainable investment, or whether chipmakers are frontloading purchases to secure their place in an unpredictable supply chain. Either way, SK Hynix's wager is clear: in the competition for AI memory dominance, access to the world's most advanced manufacturing tools is no longer negotiable.