Recently, as per news coming from Samsung Electronics that its investment plan for a new foundry fab in Taylor in the United States has been postponed as of now. However, the timeline has been clear yet. Also, it was initially predicted to be brought in October of next year. But it was pushed back to December of the same year. While further delay is also possible. Whereas it seems that the decision has been made due to the downfall in the semiconductor industry. Also, it appears that the construction of the Pyeongtaek 3 Campus (P3) production line which was earlier set to complete by the end of this year also slowed down.
Additionally, a timeline of the new foundry fab equipment from Taylor City in the US may be extended from the third quarter of 2023 to early 2024.
Prior, Samsung Electronics bent to invest about $17 billion in 2021 in order to build a new foundry fab in Taylor City, USA. Coming to the site size then it is 1.5 million pyeong, and 5G· HPC. Apart from this various semiconductor mass production lines such as AI (artificial intelligence) will be built. Also, Samsung Electronics was declared to start the construction in the first half of this year. And the timeline to start operation is 2024.
Groundbreaking Ceremony Schedule
Also, it is been said that levelling of the fab site is basically in the final stage. But at the same time the groundbreaking ceremony which going to take place in the early first half of this year. Now that has been scheduled until mid-October.
All this makes the timing of the introduction of Taylor Foundry fab equipment necessarily late. While at an annual information session conducted for Taylor Foundry fab partners in July. Samsung Electronics proposed the introduction of equipment in late Q3 ~ early Q4 2023. And hence, the equipment industry assumed that equipment can be introduced in October 2023. On other hand, considering the current construction schedule. The introduction of the equipment is, therefore, to be delayed by approx two months from December next year.
An equipment industry insider said, “Samsung Electronics’ equipment investment, both at home and abroad, continues to be pushed back by one quarter (three months) from the original forecast,” adding, “Considering the speed of construction of the Taylor Foundry fab, the industry observes that the equipment introduction time is likely to be postponed to 2024.”
Other than this, certain other investments including a schedule for Pyeongtaek P3 are also postponed. Whereas at the end of the last month a certain small amount of auxiliary equipment began to be installed on the DRAM line. As per one of the equipment industry insiders. “Some of the equipment we planned to deliver to P3 this year has been postponed to next year.”
With respect to this, Samsung Electronics official explained, “We plan to proceed without a hitch according to the schedule for the investment in the Taylorish Foundry fab, but there are no confirmed matters related to the groundbreaking ceremony yet.”