Samsung to invest US$815 million in memory chip lines

Samsung will invest US$618 million to upgrade flash and DRAM chip production lines.

Samsung Electronics is planning to make a major investment in memory chip production technology, it said Monday.

The company will invest 636.7 billion won (AUD$815 million) in upgrading production lines for flash and DRAM (dynamic RAM) chips, said Park Sung-Hae, a spokeswoman for the company in Giheung, South Korea.

Flash memory chips are commonly used in devices like digital music players, digital still cameras and memory cards, while DRAM chips are typically used as the main memory in personal computers. Samsung is among the world's largest manufacturers of both types of chip.

The company will use part of the money to increase production capacity on its number 14 manufacturing line, with a view to using it for all high-end flash chip production, said Park. Samsung currently produces 2G-bit flash chips on the line, and also plans to use it to make 4G-bit chips, its most advanced flash chips.

The rest of the money will be used to upgrade several DRAM lines from the current 90-nanometer production process to the more advanced 80-nanometer process, said Park.

The company, based in Suwon, South Korea, did not say how much money would be spent in each area.

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