SK Hynix has decided to cut investment next year, and it is expected to invest 10-20 trillion won this year.

October 26, according to foreign media reports, as expected by analysts, under the influence of the double decline in price and demand, SK Hynix issued a disappointing third-quarter results, revenue and profit declined compared with the same period last year, especially net profit, which fell by more than 60% compared with the same period last year.

To make matters worse, SK Hynix expects that the oversupply in the memory chip market will continue for some time, so they have decided to cut investment next year and reduce production.

SK Hynix disclosed in its financial report that they have decided to cut their investment next year by more than 50% compared with the same period last year, and their investment this year is expected to be 10-20 trillion won (about 50-101.4 billion yuan).

In terms of production cuts, SK Hynix revealed that they will gradually reduce production by focusing on products with lower profits. SK Hynix said that the gradual reduction in production while reducing investment is to maintain the trend of reduced investment and production within a certain period of time and normalize the balance between supply and demand in the market.

With regard to the current adverse situation, the chief marketing officer of SK Hynix said that they will overcome the current difficulties and become the leader in the field of storage semiconductors with the potential to turn crises into opportunities in the past.