Samsung Electronics poured $116 billion into its next-generation chip business, as semiconductors’ wars intensify. That includes fabricating silicon for external clients, according to Bloomberg. Samsung is betting it can close the gap between the industry leader Taiwan Semiconductor Manufacturing Company within two years.
- Samsung will mass-produce 3-nanometer chips in 2022, setting it on a path to generate the industry’s most advanced semiconductors.
- If Samsung succeeds, it will become the chipmaker of choice for companies such as Apple Inc. and Advanced Micro Devices Inc. that rely on foundries such as TSMC.
- Samsung and TSMC have similar chip performance, and much of the competition comes in developing leading-edge process fabrication and power efficiency applications.
- Samsung began its first dedicated plant for EUV-based fabrication in Hwaseong this year, while a second facility in Pyeongtaek is slated for mass production in the second half of 2021.
- Analysts have questioned Samsung’s ability to carve out a significant market share dominated by TSMC, which spends about $17 billion annually to maintain its industry leadership.
Samsung stock is currently declining. 005930: KRX is down 0.90%
