To Compete Tougher, Samsung Returns Massive Investment In Chips, Biotechnology, And AI

Samsung plans to spend 450 trillion won or equivalent to Rp. 5,313 trillion to build a long-term business. (photo: doc. unsplash)

JAKARTA - Samsung plans to spend 450 trillion won or equivalent to Rp. 5,313 trillion to build a long-term business to replace its competitors.

Many hoped that Samsung would be more involved in the world of smartphones and TVs, but it turns out the company will use the funds to focus on things like semiconductors, biotechnology, and artificial intelligence (AI).

Of course, this marks Samsung's investment intentions some time ago, which also disbursed 240 trillion won equivalent to Rp2,778 trillion in August last year.

This figure is 30 percent more than the 330 trillion won or IDR 3,820 trillion that the company invested itself over the previous five-year period.

Furthermore, according to a Korean Herald media report, the Samsung Electronics division will use the new capital to support chip design and manufacturing processes.

The company is preparing to deploy the gate-all-around field-effect transistor technology used to make 3nm chips by the end of 2022, aiming to help keep pace with TMSC.

The South Korean tech giant is also working on advanced chips for supercomputers, robots and AI purposes ranging from high-definition image sensors to chips that enable sub-standard 6G communications and low-power application processors.

As for the DRAM chip business, Samsung has taken the top position in the global market share over the past three decades, will expand the application of the extreme ultraviolet lithography process to increase the production of cutting-edge chips.

The company will start mass-producing 14nm memory chips using EUV photolithography in October. This technology will replace the existing photolithography technology by using argon fluoride.

Samsung said the decision was a preemptive step to keep itself ahead of competition with competitors in China and the United States (US).

Over the next few years, Samsung hopes to create 1 million jobs. It plans to employ 80,000 people by 2026 and create hundreds of thousands more positions with its vendors. About 80 percent of the announced investment goes to the country of origin.