By Samsung Electronics from South Korea intends to establish a cutting-edge chip packaging research center in Japan, investing approximately 40 billion yen (equivalent to $280 million) over the span of five years. This move, announced by Yokohama city officials, seeks to delve into advanced chip packaging techniques.
Earlier reports by Reuters indicated Samsung’s interest in setting up a packaging facility in Kanagawa prefecture, where the company already operates a research and development center. This strategic move aims to strengthen connections with Japanese manufacturers specialized in chipmaking equipment and materials.
In a bid to support the revival of domestic chip manufacturing, Japan’s industry ministry plans to extend subsidies to Samsung, amounting to up to 20 billion yen.
The investment by Samsung arrives amid a backdrop of improved relations between South Korea and Japan, partly driven by the United States’ encouragement for allied cooperation in countering China’s expanding technological capabilities.
Samsung has been intensifying efforts in its advanced chip packaging division since the prior year. With a competitive race underway among companies to enhance chip performance through innovative packaging techniques, Samsung’s move to establish a facility in Japan aligns with this industry trend.
Kyung Kye-hyun, the head of Samsung’s chip business, highlighted that the Japanese facility will serve as a platform for Samsung to reinforce its leadership in chip technology. It aims to foster collaborations with Yokohama-based companies specializing in packaging-related endeavors, as mentioned in the city’s announcement.
