08/05/2015

Samsung Group to build chip plant in South Korea

The Korean manufacturer Samsung announced that it plans to further invest a sum of $14 billion in a new chip manufacturing plant, which will start operating by the mid of 2017. It is so far the biggest funding made by the company in a single manufacturing plant.
The new chip factory will be located in Pyeongtaek, situated in south of Seoul, so Samsung can easily have a closer look at its production facility. The company has been able to make a significant amount of money from their chip department, positioning itself as the second largest chip producer in terms of revenue but now the company is aiming for even bigger goals with its $14 billion investment.

According to Samsung's press release: The Pyeongtaek semiconductor plant will play a central role in solidifying leadership in the mobile and server markets, which have shown rapid growth in demand recently, and securing share in the next-generation internet of things market.
Reportedly, the company’s tremendous growth in the chip manufacturing sector is a bet to offset the slow growth in the mobile phone division. The new plant will be largely focusing on the production of the DRAM memory while also making chipsets when the demand is there.
It is also reported that Samsung has already started making processors for Apple’s next upcoming iPhone, however these are mainly manufactured in their Texas plant. The new plant at their homeland will also be allotting its production capacity for Samsung’s Galaxy S series next model.
Samsung’s semiconductor business division offers chips for computers, servers, handsets and other Samsung products and as well as for its competitor Apple.



Source : http://www.technewstoday.com/