In a bid to overhaul Taiwan Semiconductor Manufacturing Company (TSMC) because the world’s main semiconductor chip producer by 2030, Samsung is aggressively investing in superior chipmaking gear. The South Korean tech large’s technique hinges on buying excessive ultraviolet (EUV) lithography machines from ASML (AS:), a premier Dutch agency specializing on this essential expertise. Samsung’s formidable plan consists of importing 50 EUV models over the following 5 years, with every unit priced at a hefty $153 million. This transfer is a part of the corporate’s broader objective to own over 100 EUV machines.

The significance of EUV expertise in semiconductor manufacturing can’t be overstated; it allows single-step imprinting of intricate circuit designs onto chips and is liable for greater than half of the manufacturing price and time. Despite its effectivity, the complexity and expense of EUV machines imply that ASML can solely produce round 60 models yearly. TSMC at the moment secures about 70% of those models.

Samsung Foundry took the lead in producing first-generation 3nm chips in 2022 and is gearing as much as mass-produce second-generation 3nm chips subsequent yr, which can embrace the Exynos 2500. The firm not solely showcased its Odyssey OLED gaming monitor but in addition introduced plans to manufacture even smaller 2nm chips by 2025 and additional right down to 1.4nm by 2027.

In a strategic transfer final yr, Samsung Electronics (KS:) Chairman Lee Jae-yong met with ASML CEO Peter Bennink within the Netherlands to safe an order for EUV machines. This go to was adopted by an invite from Dutch King Willem-Alexander to South Korean President Yoon Suk Yeol, Lee Jae-yong, and SK Group Chairman Chey Tae-won, who’re slated to go to the Netherlands on December 12-13.

This article was generated with the help of AI and reviewed by an editor. For extra info see our T&C.