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Pyeongtaek is Samsung's massive chip manufacturing hub in South Korea where the company operates three plants, P1, P2, and P3. It had previously began work on P4 and P5 but due to a slump in demand, the company decided to halt development work on P5.
The AI chip race has reignited semiconductor demand and Samsung wants to make the most of it. To that end, the company has reportedly resumed work on its Plant 5 in Pyeongtaek.
New chip deals ensure continued demand for Samsung's foundry products
A new report out of South Korea claims that Samsung is quickly resuming construction on Pyeongtaek Plant 5 to fully capitalize on the growing demand for AI chips. The company is to have begun preparatory construction work on the site already.
It was supposed to break ground on Plant 5 in 2024 but the project was delayed due to the slowdown in the semiconductor business. Samsung adjusted its capital investments accordingly and halted work on P5.
It's believed that Plant 5 will have foundry and high-bandwidth memory production lines to primarily meet the increasing demand for not just AI chips but also for high-bandwith memory which is a crucial component in AI accelerators. DRAM product lines could be added to the plant as well depending on the market demand.
Pyeongtaek is the world's largest semiconductor manufacturing complex. It covers a whopping 2.89 million square meters and has been designed to house six fully operational plants.
The post AI chip race makes Samsung resume work on its new chip plant appeared first on SamMobile.
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