South Korean tech giants Samsung Electronics and SK Hynix program to put a combined $518 cardinal successful a caller machine spot manufacturing hub, capitalizing connected surging artificial intelligence-driven demand
ByKIM TONG-HYUNG Associated Press
SEOUL, South Korea -- South Korean tech giants Samsung Electronics and SK Hynix said Monday they volition put a combined 800 trillion won ($518 billion) successful gathering a caller machine chipmaking hub successful the country’s southwest region, capitalizing connected surging artificial quality -driven demand.
President Lee Jae Myung joined the companies’ chairs Monday successful announcing the plan, which dovetails with the government’s efforts to grow concern beyond the greater Seoul metropolitan area, the country’s economical halfway and bosom of its semiconductor sector.
The southwest has been a peculiar focus, arsenic it lacks large concern hubs and has historically trailed successful economical development. The portion has agelong been a governmental basal for Lee’s wide Democratic Party.
Samsung and SK Hynix, which unneurotic nutrient astir two-thirds of the world’s representation chips, said they volition each physique 2 fabrication plants successful the southwest, expanding beyond their existing manufacturing complexes successful Gyeonggi Province, southbound of Seoul.
Samsung Chairman Lee Jae-yong said the company’s caller fabs volition beryllium built successful the southwestern metropolis of Gwangju, wherever experts person projected respective imaginable sites, including the grounds of a subject aerial basal slated for relocation.
The companies didn’t specify erstwhile the fabs successful the southwest regions would beryllium completed. SK Hynix's Chairman Chey Tae-won said the task would beryllium a complex, large-scale effort requiring “vast sites, on with capable power, h2o and skilled workers." He said it took 9 years for SK Hynix to found its large manufacturing clump successful Gyeonggi Province. Still, a important enlargement of manufacturing facilities is needed for the institution to support up with planetary demand, Chey said.
Government officials dismissed questions astir whether the southwest has capable powerfulness and h2o to enactment large semiconductor fabs. They said the region’s spot successful renewable vigor would springiness the chipmakers an borderline arsenic they look increasing planetary unit to usage cleaner sources of electricity.
Samsung and SK Hynix person reported grounds profits successful caller months arsenic soaring planetary concern successful information centers and different AI infrastructure has fueled request for representation chips. Government officials and concern experts expect AI-driven request to proceed expanding arsenic the exertion spreads to AI-powered concern robots and autonomous vehicles. The chipmakers' existing semiconductor complexes successful Gyeonggi Province whitethorn scope capableness sooner than expected, they say.
During Monday’s event, authorities officials outlined plans to physique what they called a nationwide semiconductor ecosystem, with existing manufacturing hubs successful the southeast expanding accumulation of spot components and materials, the cardinal Chungcheong portion specializing successful spot packaging, portion information centers are built crossed the country.
“We indispensable found the halfway gathering blocks of artificial quality faster than immoderate different country. Semiconductors, carnal AI and AI information centers are the 3 pillars of our adjacent large leap forward,” the president said.
English (CA) · 
English (US) · 
Spanish (MX) ·