Korean Semiconductor Stocks Plunge on U.S. Data Center Fears

The Chosun Ilbo · Kang Da-eun ·

Korean Semiconductor Stocks Plunge on U.S. Data Center Fears Regulatory delays in U.S. AI infrastructure trigger panic selling in key supply chain sectors

The stock market, built on AI (artificial intelligence), is shaking sharply due to regulatory fears stemming from AI data centers. Following the U.S. midterm elections held on November 3 (local time), where Democrats secured control of the Senate, House of Representatives, and key gubernatorial positions, concerns are growing that new construction, power usage, and permitting for AI data centers—core infrastructure supporting the AI industry—could face delays. As AI growth requires data center expansion, the materialization of regulatory risks has exposed vulnerabilities in revenue and funding for AI infrastructure companies that were previously overlooked. The Korean stock market, which has concentrated investments in HBM and memory semiconductors, semiconductor equipment, power devices, and nuclear power-related stocks—key supply chains for AI data centers—has been severely impacted. The U.S. moratorium on data centers triggered panic selling of domestic semiconductor and AI infrastructure stocks, causing the KOSPI to plummet for two consecutive days.

◇ U.S. Residents Overwhelmingly Oppose Data Centers

In the AI industry, data centers are not merely server storage facilities but critical infrastructure for creating AI models and providing real-time AI services. They bring together AI semiconductors like GPUs, large-scale data, high-speed networks, and power/cooling systems to perform massive computations. As AI usage grows, more computational resources are needed, prompting Big Tech to pour astronomical funds into investments. Many states have competed to attract data centers by offering tax incentives. As of February, 3,068 data centers were operational, with 1,556 facilities under construction, planned, or in the site-acquisition phase.

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