Samsung and SK Hynix are investing $590 billion in chip production, backed by the South Korean government, to meet surging demand from AI data centers. This massive investment will go towards building new factories, a packaging center, and next-generation chips. With memory prices expected to jump 40-50% in Q3 2026 and another 30-40% in Q4, this investment is crucial to alleviate the pressure on consumer electronics. Why it matters: this move highlights the critical role of chip production in supporting the growing AI industry and its potential to impact the broader tech landscape.