Samsung Electro-Mechanics wins $215.8 mil. AI server capacitor supply deal in US
Samsung Electro-Mechanics said Tuesday that it has signed a 290 billion-won ($215.8 million) contract to supply multilayer ceramic capacitors (MLCCs) for artificial intelligence (AI) servers to a global company. The electronic components unit of Samsung Electronics said the contract runs from January 2027 through December 2027. The company did not disclose the customer, citing a confidentiality…
Samsung Electro-Mechanics, a subsidiary of Samsung Electronics, has secured a $215.8 million contract to provide multilayer ceramic capacitors (MLCCs) for artificial intelligence (AI) servers to an undisclosed global company. The agreement, signed on Tuesday, spans from January to December 2027.
MLCCs are crucial electronic components that ensure the smooth functioning of electrical circuits by managing and maintaining stable current flow. These capacitors find extensive applications in various devices, including smartphones, personal computers, automotive electronics, and AI servers.
The MLCCs specifically designed for AI servers demand more sophisticated manufacturing processes compared to those utilized in mobile devices. In the past year, Samsung Electro-Mechanics has announced six long-term supply agreements, collectively worth 3.9 trillion won. These deals encompass a range of electronic components, such as silicon capacitors, MLCCs, and inductors, catering to the growing demand for AI servers.
Globally, the market for AI server MLCCs is projected to experience annual growth at an average rate of approximately 34 percent, according to Goldman Sachs. This robust demand outlook underscores the critical role of MLCCs in powering the AI revolution.
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.
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