This photo provided by Samsung Electro-Mechanics Co. shows its plant in Busan.
SEOUL, March 22 (Korea Bizwire) — Samsung Electro-Mechanics Co., a major electronics parts maker in South Korea, said Monday it will invest about 300 billion won (US$245 million) to expand flip-chip ball grid array (FC-BGA) circuit boards manufacturing capacity at its plant in Busan.
This move came after the company decided to invest about 1.3 trillion won in a package substrate production plant in Vietnam in December last year.
With these investments, Samsung Electro-Mechanics plans to actively cope with the increase in demand for package substrates resulting from the sophistication and market growth of semiconductors.
Moreover, it also aims to get the upper hand in the fast-growing package substrate market as well as to lay a foundation for entry into high-end product areas.
“If likening mobile package substrate to apartments, high-end substrate requires the technology to build a high-rise with more than 100 floors. From a mid-term perspective, the high-end market is expected to grow by 20 percent per year,” the company said.
Samsung Electro-Mechanics kick-started the substrate business in 1991 and has established an unrivaled presence in the FC-BGA field for application processors of high-end mobile devices.
Kevin Lee (kevinlee@koreabizwire.com)
