South Korea’s semiconductor giants are riding a powerful wave of demand driven by artificial intelligence (AI), pushing SK Hynix, a South Korean manufacturer of dynamic random-access memory (DRAM) chips and flash memory, close to a historic valuation milestone of $1 trillion, Reuters reported.
Investor enthusiasm has been fueled by surging demand for both traditional memory chips and high-bandwidth memory (HBM), which are essential for AI servers. SK Hynix shares have climbed more than 200% this year, following an even steeper 274% gain in 2025.
If SK Hynix crosses the trillion-dollar threshold, South Korea would become the first country outside the U.S. to host more than one company at that valuation, as Samsung Electronics became the country’s first company to surpass that level earlier this month.
That being said, Taiwan’s TSMC remains Asia’s most valuable company, with a market capitalization exceeding $1.83 trillion. However, together, these chipmakers have drawn investors’ attention for their central role in the global AI supply chain.
SK Hynix’s rapid ascent is especially striking: just over a year ago, it was valued at under $100 billion. It is now approaching the scale of major global players like Walmart and Berkshire Hathaway.
The broader market has reflected this momentum. South Korea’s KOSPI index has surged to record highs, supported by strong foreign investment in semiconductor stocks. The index has risen more than 86% this year, after a 75% jump in 2025, making it the top-performing major stock market globally since the start of last year.
