Samsung breaking ground for 7nm foundry plant

In an attempt to snatch orders from TSMC, Samsung is breaking ground for a new 7nm plant in Hwaseong, Gyeonggi Province. The new facility will be dedicated to foundry production, but can be expanded later on for other productions. Mass production of 7nm chips using EUV lithography may start as early as 2019.

Samsung has been heavily investing in the foundry business since last year as part of efforts to diversify its profit sources that pivot on the memory business.

According to the industry, the total capital expenditure on the new EUV foundry plant is estimated to be around 6 trillion won. Some say that Samsung is planning to install at least 10 sets of EUV equipment that is worth about 150 billion won per unit.

At the moment, TSMC is the world leader in foundry chip production with a marketshare of 55 percent. GlobalFoundries has 9 percent and UMC is the third largest with a marketshare of 8 percent. Samsung has a share of 7 percent but hopes to increase this significantly.

Via: Korea Herald