Samsung Electro-Mechanics announced a significant investment of 8 trillion won (approximately $6 billion) in its Sejong facility located in the Myunghak General Industrial Complex. This investment aims to proactively address the surging demand in the global artificial intelligence (AI) server market and to establish Sejong as a key hub for advanced semiconductor packaging.
On July 2, Samsung Electro-Mechanics disclosed plans to expand its production lines and research and development (R&D) facilities for AI server package substrates (FC-BGA). This initiative is a central component of the advanced industry investment strategy announced by Samsung during the 'Three Major Mega Projects National Report Meeting' on June 29.
This investment marks the largest single project in Sejong since its establishment in 2012. While the Sejong facility has primarily focused on producing mobile and automotive substrates, this new investment will transform it into a critical supplier of cutting-edge AI server semiconductor substrates.
Lee Jae-Yong, Vice Chairman of Samsung Electronics, emphasized that "AI server package substrates are essential advanced products for computers and electric vehicles."
As a result of this investment, the domestic substrate production system will be restructured. The Busan facility will focus on advanced package substrates and multilayer ceramic capacitors (MLCC), while the Sejong facility will specialize in AI server substrate production, maximizing synergy between the two locations.
With the large-scale investment becoming a reality, Sejong has accelerated its preparations. The city has been in close discussions with Samsung Electro-Mechanics for about two weeks to expand the supply of electricity and industrial water.
Additionally, plans are underway to build a four-story parking structure on a site of approximately 20,000 square meters in the Myunghak Industrial Complex to support the necessary infrastructure for the factory expansion.
* This article has been translated by AI.
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