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Samsung plans $790 million chip production investment

17 July 2009 | By Síle Mc Mahon | News > Fab Management

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SamsungSamsung Electronics has revealed plans to invest over 1 trillion won ($790 million) in its semiconductor business, according to a Reuters report. Citing a piece in electronics industry paper Etnews, the report claims that the IC giant has already invested close to 800 billion won and has hinted at an increase in investment to rise “slightly” in the second half of the year.

It seems the company has flatly refused to date to divulge information on the company’s recent investments or its future investment. Samsung’s semiconductor division President Kwon Oh-hyun was quoted as having said that the business would record a profit in the second quarter, cementing the rumours of the increased cash injection.

The report said that the investment will mean a focus on development of such applications as 40nm circuitry for DRAM chips and 30nm circuitry for NAND flash memory. ETnews's interview with Mr. Kwon cited a lingering uncertainty in the industry, despite the optimistic planned investment, and claimed that the president was remaining cautious on planning any capacity expansions.

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Reader comments

Samsung plans to use its Golden price strategy to push those competitors out of the chip market. It is quite cruel for such high capacity business,right?
By ZYC on 19 July 2009

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