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Samsung is reportedly expanding its chip production at P3 Pyeongtaek, South Korea

A South Korean tabloid reported that Samsung is looking forward to expanding its chip manufacturing facility. Samsung Electronics is among the largest producers of chips internationally. One of its chip manufacturing units in South Korea is in Pyeongtaek. Apparently, Samsung is planning to expand the P3 factory in South Korea. P3 is reportedly the biggest chip-producing unit of Samsung in South Korea.

Many reasons could be attributed to such a move by the company. Some of the notable are the economic downturns across countries, less demand, and investment scaling back by competitors. According to industry experts, this move will definitely help Samsung to increase the production of semiconductor chips. Thus, making it easier for the tech giant to hold a much better share of the market among its competitors. Furthermore, it will also assist in the share price of Samsung in the market recovers.

Moving towards the expansion plan: Samsung aims to add a capacity for DRAM chips. It will include a 12-inch wafer capacity. Furthermore, the chip plant will also undergo an expansion with the 4nm chip capacity. The 4nm chips will be manufactured based on the foundry contracts i.e., in accordance with the designs of Samsung’s clients. In addition to this, in 2023 the company is going to introduce around ten extreme UV machines. Though, this information has not been officially confirmed yet by Samsung.

Micron Technology Inc. is one of the contenders of Samsung Electronics. Last week Micron Tech declared that it will settle its investments in 2023, from $12 billion in 2022 to $7 billion to $7.5 billion in 2023. Furthermore, the Taiwanese tech giant, TSMC, also declared that due to several macroeconomic factors, its yearly investments were cut down by 10% in October 2022.