Korean electronics giant Samsung plans to invest KRW38tn ($151bn) by 2030 to ramp up its research and manufacturing of semiconductor chips.
The company said on Thursday that the total outlay includes KRW38tn from a 2019 KRW133tn investment in this business. Part of the investment will also be used to build a new production plant for semiconductor chips and expand its foundry business.
Samsung also plans to complete the construction of a new production line for chips at its Pyeongtaek, Korea plant by H2 2022, the company indicated, adding that this plant will make 14-nanometer DRAM and 5-nanometer semiconductor chips.
This investment comes at a time when South Korea is offering big tax breaks to chip manufacturers in a bid to become the next global semiconductor chips hub, according to media reports, which noted that the country announced on Thursday that it would also offer KRW1tn in loans for local semiconductor chip companies.
Citing the Korea Semiconductor Industry Association, media reports indicated that around 153 chip companies have already announced plans to invest a total of KRW510tn to boost the semiconductor chip output from Korea in the long term.
($1=KRW 1,130.58)