Samsung activating new production line to help mitigate global chip shortage
📊Executive Summary
Samsung has announced plans to activate a new production line in its Pyeongtaek, South Korea fab in the second half of 2021 to address the global semiconductor shortage. This expansion will focus on fabricating advanced 5nm chips for various applications, including 5G and AI. The company has also secured a deal with Hyundai to supply automotive components, aiming to enhance its presence in the automotive semiconductor market. While this initiative will not immediately alleviate the current component shortage, it is expected to strengthen South Korea's automotive parts supply chain in the long term. Samsung's investments in expanding its foundry capabilities are part of a broader strategy to become a leading contract chipmaker, with significant capital expenditures planned through 2030....
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