This image provided by the Ministry of Trade, Investment and Energy shows the concept of SK hynix Inc.’s semiconductor cluster under construction in Yongin, 33 kilometers south of Seoul. (Image courtesy of Yonhap)
SEOUL, Oct. 29 (Korea Bizwire) – In a significant shift within South Korea’s semiconductor industry, SK Hynix is seeing an unprecedented wave of employees returning after leaving for longtime rival Samsung Electronics, highlighting the company’s growing prominence in the global memory chip market.
Industry insiders have dubbed these employees “Ha-Sam-Ha,” referring to those who moved from SK Hynix to Samsung Electronics and are now seeking to return to SK Hynix. The phenomenon has become so prevalent that SK Hynix’s individual divisions are now being selective about rehiring former employees, according to industry sources on October 27.
The company’s ascent is particularly evident in its recent financial performance. SK Hynix reported record-breaking quarterly results, with revenue of 17.57 trillion won and operating profit of 7.03 trillion won in the third quarter.
This performance notably surpassed Samsung Electronics’ semiconductor division, which is estimated to have earned approximately 5 trillion won in operating profit during the same period.
“There used to be a running joke that if you couldn’t become a senior engineer at SK Hynix, you should go to Samsung and then come back,” said a veteran engineer at SK Hynix. “Now we’re in an era where we’re actually being selective about hiring Samsung employees.”
The trend extends beyond returning employees. Samsung Electronics’ experienced professionals, including those with doctoral degrees, are increasingly applying to SK Hynix, even for junior positions.
The company has recently conducted three rounds of experienced hire recruitment, attracting high-caliber candidates who might have previously considered overseas opportunities.
The shift in industry dynamics is also reflected in university recruitment. “Until May of this year, Samsung Electronics was still the more popular choice among students, but entering the latter half of the year, there’s been a notable increase in students expressing preference for SK Hynix,” said a professor at an engineering college in Gyeonggi Province.
Industry analysts attribute SK Hynix’s success partly to its organizational culture and persistence in developing High Bandwidth Memory (HBM) technology.
While Samsung Electronics significantly reduced its HBM development team in 2019 due to low demand, SK Hynix maintained its course, leading to several breakthrough achievements including the world’s first HBM2E development in 2019 and capturing 50% of the global HBM market share by 2022.
The company’s position as a longtime second-place player may have actually contributed to its success. “Being number two meant SK Hynix needed a breakthrough and couldn’t afford to diversify like Samsung. This focused determination led to taking calculated risks,” said a former SK Hynix employee.
SK Hynix’s corporate culture, characterized by horizontal communication and tolerance for failure, has also played a crucial role.
“Technical directives can’t just flow top-down. We need an environment where people can honestly say when something isn’t working,” explained an SK Hynix executive.
The company has also strengthened its employee benefits following a performance bonus controversy in 2020-2021, which has helped attract and retain talent.
This combination of technological success and improved corporate culture has created what employees describe as a positive cycle of growth and confidence.
Industry forecasts suggest SK Hynix might surpass Samsung Electronics’ semiconductor division in annual operating profit for the first time in history, marking a significant shift in South Korea’s semiconductor hierarchy.
Kevin Lee (kevinlee@koreabizwire.com)
