Retain Qualcomm, Samsung’s new chip factory will start construction ahead of schedule

Previously, due to possible production problems in the mass production of Samsung’s 5nm process chips, rumors that Qualcomm has sought TSMC to produce Snapdragon chips together with Samsung have not stopped. Recently, it was reported that Samsung will start construction of a new factory in South Korea next month, which may bring some turning points for its cooperation with Qualcomm.

Samsung’s new plant is located in Pyeongtaek, South Korea. Construction of the new plant will begin in September, according to Samsung and the local government. It is said that the original construction time is not September, but Samsung hopes to start the establishment of Pyeongtaek 3 (P3) as soon as possible. For this reason, Samsung has asked the government to give approval as soon as possible.

The estimated investment of the P3 factory is 30 trillion won (about RMB 175.1 billion), and when completed, it will become Samsung’s largest factory in Pyeongtaek. Reports say Samsung plans to build a total of six chip manufacturing plants in the Pyeongtaek Industrial Zone. The P1 is currently in operation, the P2 is expected to be put into use next year, and the P3 will begin mass production of chips in 2023.

Samsung did not disclose the types of chips the P3 will produce and its production schedule. Earlier, Samsung said it would invest $115 billion to help the company achieve its goal of becoming the world’s largest chip company by 2030. After the completion of P3, P4, P5, and P6 will also be put on the agenda one after another. Samsung hopes that the government can provide them with more industrial water in the construction of the factory.

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