Samsung Electro-Mechanics Signs 360.5B Won Substrate Deal

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The exterior of Samsung Electro-Mechanics' Suwon plant. (Photo = Samsung Electro-Mechanics)

Samsung Electro-Mechanics announced on the 19th that it has signed a long-term supply agreement (LTA) worth 360.5 billion won for 'package substrates for memory semiconductors' with a global major company.

The contract period runs from January 1, 2027, to December 31, 2027. For one year, the company will stably supply high-performance package substrates used in memory semiconductors to a global major customer.

Since May this year, Samsung Electro-Mechanics' total long-term supply agreements concluded based on disclosures have increased to seven. The cumulative contract value has reached 4.3 trillion won. Following the component business divisions such as silicon capacitors, AI server multilayer ceramic capacitors (MLCCs), and inductors, the package solutions business division has also achieved results.

Samsung Electro-Mechanics explained that it is expanding long-term supply agreements by gaining recognition for its unique technology and mass production stability accumulated in the package substrate field, including large-area fine circuit implementation and warpage control technology.

A package substrate is a key component that connects semiconductor chips to the main board, transmits electrical signals, and supports the stable operation of semiconductors. In particular, package substrates applied to high-performance semiconductors must support large-capacity data processing and high-speed signal transmission, requiring high-level technical capabilities such as high integration and fine circuit implementation.

Recently, as the global semiconductor market expands with generative AI and surging demand for high-performance computing (HPC), demand for next-generation memory semiconductors such as high-bandwidth memory (HBM) and high-performance server DRAM modules is growing, making advanced process technologies such as high-multi-layer, fine circuits, and ultra-thin design essential for package substrates.

A Samsung Electro-Mechanics official said, “We will strengthen supply cooperation with customers and establish a stable supply system to continuously enhance the competitiveness of our package substrate business.”

· This article was translated using AI and was published after final review by the reporter.