Samsung Electronics to invest 4.5 tln won in U.S. chip plant

Samsung Electronics Co., the world's largest computer memory maker, said Thursday that it will spend 4.5 trillion won (US$3.6 billion) to expand its U.S. semiconductor plant, as the company seeks to beef up chips used for mobile phone processors.

The expanded line will manufacture system large-scale integration, or system LSI, used in mobile phones and TV in Austin, Texas, starting the second quarter of next year, company spokesman Song Chul-kyu said.

Opened in 1996, Samsung's Austin plant is the company's sole overseas production line. It has produced computer memories, including the NAND flash memory used in portable music players and digital cameras.

Last month, Samsung revised up its annual capital expenditure on semiconductors to 11 trillion won, a nearly two-fold increase from its initial plan, as it seeks to widen gaps with second-tier players and meet rising demand.//Yonhap

AJP