SK Hynix’s $26.5 Billion Nasdaq Debut Marks Chey Tae-won’s Bold Bet on AI Memory Chips

SEOUL: The ringing of the Nasdaq’s opening bell by South Korean billionaire Chey Tae-won for SK Hynix’s $26.5 billion listing on Friday symbolizes a significant turnaround for a company once deemed a risky investment. The acquisition of Hynix by SK Group in 2012 was met with skepticism, as the chipmaker was struggling financially and lagging behind Samsung Electronics in both market share and technological advancements.

Despite these challenges, Chey, aiming to gain a competitive edge over Samsung, directed SK Hynix’s focus toward high-bandwidth memory (HBM) chips, a technology that was then considered niche. This strategic decision has proven successful, with HBM emerging as a vital component in Nvidia’s AI accelerators, positioning SK Hynix as the world’s leading producer of these chips.

“This is a truly historical moment. We’ve been waiting for a long, long time,” Chey stated, reflecting on the significance of the listing. He described the event as a dream realized.

Nvidia CEO Jensen Huang acknowledged the importance of SK Hynix in the AI sector, stating that without the partnership, the current advancements in AI would not have been possible. His remarks came during a press conference in Seoul, where he stood alongside Chey.

Kim Dae-il, a former board member at SK Hynix and an economics professor at Seoul National University, noted that Chey chose to promote executives from within Hynix rather than importing managers from SK Group. He highlighted Park Sung-wook, who became CEO in 2013, as instrumental in championing HBM technology despite initial skepticism from the board.

“There was enormous investment behind SK Hynix’s rise to that position. Ultimately, Chairman Chey’s achievement was making the right bets and putting the right people in place,” Kim remarked.

SK Hynix and SK Group did not respond to requests for comment.

Concerns Over Slower AI Spending

Despite the success of SK Hynix in the AI market, Chey faces growing concerns regarding the sustainability of demand for memory chips amid soaring prices. He acknowledged the current shortage of memory supply, describing it as a “welcome problem” but cautioned that such conditions cannot persist indefinitely.

“People may say, ‘Isn’t it good because you’re making a lot of money?’ But this situation cannot last forever,” he stated during a speech in April. Recently, both SK Hynix and Samsung announced plans to invest hundreds of billions of dollars in new chip manufacturing facilities in South Korea, following President Lee Jae Myung’s call for initiatives to reduce regional economic disparities. However, these expansion plans have raised alarms about potential oversupply in the volatile memory market.

Chey, who studied physics at Korea University and pursued postgraduate studies in economics at the University of Chicago, is the chairman of SK Group, a vast conglomerate with interests spanning telecommunications, refining, and construction. While he does not hold a direct stake in SK Hynix, he is the largest shareholder of SK Inc., which owns a 32% stake in SK Hynix’s primary shareholder, SK Square. His net worth is estimated at $5.4 billion, according to Forbes.

An Outlier in South Korea’s Business Landscape

Chey’s prominence in the business world is marked by a distinctive style that contrasts with many South Korean tycoons, who often shun public attention. His career has been punctuated by controversies and personal challenges. Nevertheless, as SK Hynix plays a pivotal role in the AI boom, Chey’s legacy is increasingly defined by what many consider one of the most astute investments in South Korean corporate history.

In 2015, Chey publicly acknowledged his estrangement from his then-wife and revealed having a child with another woman, a candid admission that stirred public debate in a society where extramarital relationships are heavily stigmatized. He is currently embroiled in a contentious divorce settlement lawsuit, with significant financial implications that could influence the ownership structure of South Korea’s second-largest conglomerate, following Samsung Group.

Chey’s career has not been without legal troubles. He served over two years in prison for embezzling corporate funds before receiving a presidential pardon in 2015. At that time, the government indicated that the decision to release Chey and other business leaders was aimed at enabling them to contribute to the nation’s economic development.

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Published on 2026-07-10 18:54:00 • By the Editorial Desk