Samsung plans to build a new chip production plant this year and it’s right on track to do so. The Korean tech giant is reportedly all set to start building a new chip plant in the US by Q3 2021.
This report comes from Reuters citing a Korean source that mentions a few details about Samsung’s next chip plant. This US chip production plant will cost around $17 billion and will become operational by 2024. It will be built in Austin, Texas though it is not yet confirmed by the company. Samsung estimates that this will create around 1,800 jobs.
This production facility will mainly be used to produce chips based on the advanced 5-nanometer extreme ultraviolet (EUV) lithography process.
Samsung has reportedly filed documents with Texas state authorities, indicating that it considering Austin as one of the sites for its $17 billion chip plant. Other sites under Samsung’s radar are Arizona and New York, though it is likely that Austin will be chosen over the others as per the leak.
That being said, Samsung is not the only company planning to build new production facilities. According to some reports, other major names including Intel and TSMC are also planning to invest tens of billions of dollars for establishing cutting-edge chip factories in the United States.
TSMC has already announced that it will be investing $100 billion over the next three years for capacity expansion to address the global chip supply shortage.