The Korean electronics company said today that the huge facility, which it hopes to complete by 2005, would produce 40% of LCDs for use worldwide in the television market.

The Tangjeong, ChungCheongNam-Do, Korea, site is expected o cover more than 2 million square meters and host four 7th-generation TFT-LCD lines.

Samsung expects it would spend $16 billion on the four TFT-LCD lines with annual output exceeding $8 billion.

Earlier this week, Samsung and Sony agreed to establish a joint venture to manufacture 7th generation TFT LCD panels, confirming earlier indications both companies would form a cooperative agreement to capitalize on the booming LCD TV market.

The yet-to-be named joint venture, to be established the first quarter of 2004, will install 7th generation production equipment in a plant constructed by Samsung in Tangjeong, ChungCheongNam-Do, Korea.

The production line is slated to reach a capacity of tens of thousands of sheets monthly, using 1,870 x 2,200mm substrates, by summer 2005. Capital investment is expected to reach $2 billion.

Samsung and Sony expect the venture to help meet growing demand for LCD TV sets, projected by some industry sources to reach 14 million units worldwide by 2005.

Though Samsung is already a leading LCD supplier and has several advanced fabs in operation, Sony, currently undergoing restructuring, is seeking to increase its LCD market presence without investing all of its own capital, some analysts have noted.

By: DocMemory
Copyright © 2023 CST, Inc. All Rights Reserved