Samsung Electro-Mechanics to invest $3.14 bil. for substrate plant in Sejong
Samsung Electro-Mechanics said Monday it will invest 4.27 trillion won ($3.14 billion) to expand its semiconductor substrate production capacity at its plant in Sejong, marking the largest amount of capital expenditure on a single product in the company’s history. According to its regulatory filing, the company will expand its production capacity for flip chip ball grid array (FC-BGA) substrates…
Samsung Electro-Mechanics has announced a massive 4.27 trillion won ($3.14 billion) investment to bolster its semiconductor substrate production at its Sejong facility. This marks the company's largest single product expenditure to date. The company's regulatory filing revealed that the Sejong plant will see an expansion in its production capacity for flip chip ball grid array (FC-BGA) substrates, aimed at meeting the surging demand for these components in artificial intelligence (AI) servers.
The investment will be spread out over a period of two years, from September 2026 through May 2028. Mass production of the new lines is set to commence in September 2028. This move aligns with Samsung Electro-Mechanics' broader commitment to invest 8 trillion won in the central Chungcheong region, which encompasses Sejong, and 15 trillion won in the Busan area by 2040.
The FC-BGA substrate is a highly integrated semiconductor product that interfaces high-performance chips, including AI accelerators, graphics processing units, and central processing units, with mainboards. It facilitates the transmission of electrical signals and power supply, playing a crucial role in AI servers.
Written by urgent.news from The Korea Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
