Deepwater Asset Management's managing partner Gene Munster said Monday Samsung Electronics and SK Hynix's planned $590 billion investment in chip manufacturing is the bigger story for artificial intelligence, with the spending underscoring how early the AI infrastructure buildout remains.
Samsung, SK Hynix Spending In Focus In a post on X, Munster said Google parent Alphabet Inc's (NASDAQ:GOOGL) (NASDAQ:GOOG) addition to the Dow Jones Industrial Average may have grabbed headlines, but the "real story" is the capital expenditure plans announced by Samsung Electronics and SK Hynix.
While Google's entry into the Dow captured headlines, the real story is Samsung’s and SK Hynix’s capex buildout.
The combined $590B in factory investments is about 48% higher than most had expected, underscoring yet again how early we are in the AI buildout.…— Gene Munster (@munster_gene) June 29, 2026 The South Korean government announced Monday that Samsung and SK Hynix will build new semiconductor fabrication facilities in the country's southwest as part of a national initiative to create a chip manufacturing ecosystem and strengthen its position in the AI era.
Munster added that the companies' $590 billion investment plan marks a roughly 48% step-up from the nearly $400 billion investors would have expected if capital spending had continued growing at about 20% annually.
