IC Insights Prospect… Vice Chairman Kim Ki-nam “will narrow the’economy of scale’ gap
According to an analysis, Samsung Electronics will be pursuing TSMC by spending 28 billion dollars (about 31 trillion won), the largest in the industry, on semiconductor facility investment this year.
According to industry sources on the 17th, IC Insights, a global market research firm, predicted that this year’s semiconductor facility investment of Samsung Electronics is worth $28 billion, similar to that of last year.
TSMC, the No. 1 foundry company, is expected to invest 27.5 billion dollars (about 31 trillion won) in facilities this year, which is somewhat smaller than that of Samsung Electronics.
Previously, TSMC announced that this year’s facility investment will reach 25 billion to 28 billion dollars (about 27 to 31 trillion won).
IC Insights said, “Samsung Electronics’ investment in semiconductor facilities from 2017 to 2020 is a total of 93.2 billion dollars (about 105 trillion won), unprecedented in the semiconductor industry,” said IC Insights. “Chinese semiconductor companies invested 44.7 billion dollars in the same period. It is more than twice the amount of (about 50 trillion won).
IC Insights predicted that this year, two companies, Samsung Electronics and TSMC, will account for 43% of global semiconductor facility investment.
When asked about competition with TSMC at the regular shareholders’ meeting, Kim Ki-nam, vice chairman of the device solution (DS) division, said, “It is important to achieve’economy of scale’ in order to cultivate the foundry business well.”
Vice Chairman Kim said, “It is true that Samsung Electronics’ foundry business is short of its market share, production capacity, and number of customers than the leading companies (TMSC),” he said. “However, the competitiveness of the fleet process is inferior.”
He said, “We will prepare production capacity in a timely manner with efficient investment so that we can realize economies of scale, and through this, we will close the gap in competition.”
In addition, he said, “We will maintain the super-gap competitiveness of memory semiconductors, which is the No. 1 share, and continue the myth of success in the system semiconductor business through technological prowess and market diversification.”
Samsung Electronics plans to expand research and development (R&D) and production technology in the system semiconductor field by investing 133 trillion won by 2030 to achieve the global No. 1 system semiconductor.
/yunhap news
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