EETimes.com – Report: Samsung doubles chip, LCD capex
LONDON — As expected Samsung Electronics Co. Ltd. announced on Monday (May 17) that it would double its capital spending to boost its capacity in semiconductor and flat screen manufacturing, according to reports.
Samsung said it would spend 18 trillion won (about $16 billion) in 2010, according to a Reuters report. A further 8 trillion won would be spent on R&D.
Samsung had previously said it would spend at least 8.5 trillion won on capital expenditure this year. The company now plans to spend 11 trillion won on expanding semiconductor production and 5 trillion on boosting LCD manufacturing, the report said
“Although the global economic environment and business conditions remain changeable and uncertain, if we invest aggressively in expanding facilities… these circumstances also present Samsung with an opportunity for future growth,” the report quoted Samsung chairman Kun-Hee Lee saying in a statement.
Samsung also began building a wafer fab, due to begin production of chips in 2011. The fab is projected to cost 12 trillion won (about $5 billion).