Breaks ground for Line-16 memory fab while preparing to add LCD line
Ground-breaking ceremony for the construction of Line 16 in Hwaseong
Samsung Electronics is to increase its investment in manufacturing facilities and research & development for 2010 to more than KRW26 trillion (US$22.7bn), its largest annual investment outlay ever. Approximately KRW18 trillion will be invested in facilities, including KRW11 trillion for semiconductor manufacturing facilities and KRW 5 trillion to expand capacity for LCD panel production, while about KRW8 trillion will be invested in research & development.
The semiconductor and display technologies specialist is to build a new memory semiconductor fabrication plant, Line-16, at its Nano City complex in Hwaseong, South Korea, and the ground-breaking ceremony for the construction has taken place.
“Although the global economic environment and business conditions remain changeable and uncertain, if we invest aggressively in expanding facilities and in hiring then these circumstances also present Samsung an opportunity for future growth and to stimulate the economy,” said Samsung Electronics’ chairman Kun-Hee Lee.
With the investment in new manufacturing lines, Samsung expects to hire 10,000 employees in 2010, across its semiconductor and LCD businesses.
Samsung’s Memory Division will increase its facilities investment for 2010 to KRW9 trillion. The additional investment includes establishing the new Line-16 for DRAM, NAND and next-generation memory products in Hwaseong, and increasing the capacity of the existing Line-15 for the production of 30nm class DDR3 DRAM.
Line-16 is expected to produce 200,000 12in wafers monthly from 2011. It will be Samsung’s first new semiconductor line since the company opened Line-15 in 2005. The phased investment in Line-16 is expected to total approximately KRW12 trillion to completion, and will cement Samsung’s leadership in the memory segment.