Last updated: June 29th, 2026 at 14:44 UTC+02:00


Samsung is investing $1.72 trillion to prepare infrastructure for the AI era

It will invest in manufacturing advanced semiconductor chips, display panels, electronic components, batteries, humanoid robots, AI data centres, and even shipbuilding technologies.

Asif Iqbal Shaik

Reading time: 3 minutes

samsung logo ces 2026

Abhijeet Mishra / SamMobile

Business

Samsung logo at CES 2026 - Source: Abhijeet Mishra / SamMobile

Samsung Electronics, the world’s biggest semiconductor chip maker, has announced plans to invest a staggering KRW 2,665 trillion (~$1.72 trillion) in South Korea. This investment will be used to prepare its infrastructure for the artificial intelligence (AI) era and strengthen its competitiveness across several industries.

The company will split the investment into two major categories:

  • KRW 2,030 trillion (~$1.32 trillion): Dedicated to expanding its major semiconductor manufacturing hubs at the Pyeongtaek Campus and the Yongin National Industrial Complex in South Korea.
  • KRW 625 trillion (~$405 billion): Invested in technology ecosystems across the Chungcheong, Honam, and Yeongnam regions of South Korea.

KRW 425 trillion (~$275.5 billion) for the Honam region

In the Gwangju Semiconductor Cluster in South Korea’s Honam region, Samsung will build a brand-new semiconductor manufacturing plant and a Digital Twin-based (Nvidia's AI-powered technology) innovation hub for smart home appliances. To accomplish this, the company has allocated KRW 400 trillion (~$259 billion).

Samsung SDS, Samsung Electronics’ software development arm, will lead a consortium to build the Solasido AI Data Center. It will create an independent AI ecosystem for South Korea’s defense, finance, and public sectors, reducing reliance on foreign technologies.

Samsung C&T, Samsung Group’s construction and engineering division, will invest in nuclear-based hydrogen production and solar power projects. It will also invest in research and development for green hydrogen power generation. In addition, the company plans to build a state-of-the-art global logistics center in Gochang, Jeonbuk.

KRW 140 trillion (~$90.8 billion) for the Chungcheong region

Around KRW 56 trillion ($36.3 billion) has been allocated to manufacturing high-bandwidth memory (HBM) at Samsung’s Cheonan and Onyang chip plants. These HBM chips are used in advanced AI servers.

The company will also invest KRW 67 trillion ($43.4 billion) in manufacturing next-generation foldable OLED panels and ultra-high-resolution micro display panels (less than 1-inch) for AR, MR, and VR devices in Asan.

Samsung SDI will build a mother factory for next-generation batteries in Cheonan. Samsung Electro-Mechanics will establish AI server packaging substrate production lines in Sejong.

KRW 60 trillion (~$38.9 billion) for the Yeongnam region

In this region, Samsung will focus heavily on AI-driven and robotics-driven transformation of its existing manufacturing processes. In Gumi, the company plans to establish a global smartphone manufacturing hub alongside facilities for physical AI and humanoid robot manufacturing.

In Busan, Samsung will expand the production of electronic components, such as multilayer ceramic capacitors (MLCCs), for mobile devices and automobiles. In Geoje and Ulsan, the company plans to invest in the manufacturing of solid-state batteries, Battery Energy Storage Systems (BESS), and advanced shipbuilding technologies.