Uncertainty about the coronavirus pandemic makes memory manufacturers cautious about investing in DRAM and NAND, but keeping money “under the mattress” is also not an option. In such a situation, Samsung has decided to further build muscle in the field of contract manufacturing of chips.
This morning, Samsung announced that it had begun construction of a plant for the production of AI, HPC and 5G chips at 5 nm using EUV lithography. The company should be commissioned in the second half of next year. The volume of investments and design capacity were not disclosed. The plant will be built as part of the company’s production complex near the city of Pyeongtaek, where the company already releases memory.
This will be Samsung’s seventh largest logic release (sixth in South Korea). The South Korean manufacturer set out to overtake TSMC in the field of contract manufacturing and spares no money for it. Earlier this year, for example, Samsung in the city of Hwason (South Korea) put into operation a plant for the production of 7-nm and 6-nm chips and by the fall it will begin production there on a 5-nm process using EUV lithography.
Today, Samsung holds about 10% of the contract manufacturing market, while TSMC holds over 50%. According to Samsung’s strategic goals, it should overtake TSMC by 2030. A serious application, the implementation of which will cost no less serious money.
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