Samsung pledges $100 billion in fight for logic IC leadership

April 25, 2019 // By Peter Clarke
Samsung semiconductor site
South Korean consumer giant Samsung Electronics has said it plans to invest 133 trillion won (about $115 billion) by 2030 to strengthen its position in logic chips.

That will be by investment in both System LSI chips and in Samsung Foundry, which makes chips for other companies. The move will be seen as increasing its competition with the likes of Intel, Qualcomm and with the largest foundry, Taiwan Semiconductor Manufacturing Co. Ltd.

Samsung said its investment will comprise 73 trillion won for domestic R&D and 60 trillion won for production infrastructure. In the first category Samsung plans to create 15,000 R&D jobs.

Samsung has been the largest chip manufacturer in the world but this is mainly due to its position in DRAM and NAND flash memory chip production, the value of which is dropping steeply in 2019. As a result Intel could have already re-taken Samsung's crown (see Intel tipped to retake chip crown).

The memory price and market falls are partly due to oversupply by established memory manufacturers. However, with the prospect that state-financed Chinese competitors could enter the market and begin to take market share it is clear that logic ICs represent the commercial high ground.

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