ASML Surges, Driven by South Korea’s $518 Billion AI Chip Plan

Samsung Electronics and SK Hynix committed approximately 800 trillion won to expand South Korea's chip manufacturing capacity. This investment totals approximately $518 billion.

The national initiative focuses on building fabrication facilities for high-bandwidth memory (HBM) chips. These chips power artificial intelligence data centers.

Shares of ASML and other upstream equipment makers rose following the announcement. These suppliers expect to benefit from the artificial intelligence boom. ASML expects orders for its extreme ultraviolet (EUV) lithography machines as the primary supplier for the expansion.