Reportedly, Samsung Electronics announced its collaboration with POSCO in order to localise xenon (Xe) gas. Notably, xenon is one the rare gas and key to the semiconductor material.
This rare gas is essential for the production of advanced semiconductors that includes 3D V-NAND. It consists of trace amounts in the air and is primarily produced in steel mils with the help of large separation devices. While presently it is entirely dependent on imports.
MOU with POSCO
Recently, the South Korean tech firm signed a memorandum of understanding with POSCO for “business cooperation on xenon gas for semiconductors”. And also agree to supply xenon gas from 2024. While in order to deal with global supply chain issues. The company plans to promote the localization of semiconductor core materials and diversification of supply chains through this cooperation.
Xenon in production line after quality certification
Moving ahead with the MOU, POSCO plans to develop a facility technology to extract xenon gas from the air separation. This is until the development of the Gwangyang Steel Plant by 2023. As it starts production in 2024 and expands production by 2027 respectively. Samsung Electronics also apply for the production of xenon gas by POSCO to the production line after quality certification.
Jeon Joon-young, vice president of the purchasing team of Samsung Electronics’ DS division, said, “The cooperation between Samsung Electronics and POSCO is expected to contribute to the development of the domestic semiconductor materials industry along with the localization of semiconductor core materials.”
“It is meaningful to be able to promote the localization of xenon after neon by utilizing POSCO’s facilities,” said Yoon Duk-il, head of POSCO’s Management Planning Division, “We will contribute to the establishment of a stable rare gas supply chain in the domestic semiconductor industry through close cooperation with Samsung Electronics.”