Samsung shifts focus to AI memory via High-NA-EUV and outsourcing

DRAM production High-NA-EUV lithography High-bandwidth memory semiconductor outsourcing AI memory

Samsung Electronics is implementing a strategic shift in its semiconductor manufacturing to prioritize high-bandwidth memory (HBM) for AI applications. To achieve this, the company is expanding its partnership with ASML to prepare for the industry’s first use of High-NA-EUV lithography in future DRAM production. This technology aims to improve resolution and cell density, optimizing power consumption and wafer yields.

As part of a broader outsourcing strategy, Samsung is moving older memory production, such as DDR4, LPDDR4, NAND, and UFS, to specialized facilities. This includes a USD 1.5 billion facility in Vietnam and plans to expand DRAM testing and assembly to the Philippines through partner SFA Semicon.

By outsourcing DDR5 and SSD production to regional partners like SFA Semicon in the Philippines and Dreamtech in India, Samsung intends to free up capacity in its South Korean plants. This allows its domestic facilities, including a planned KRW 6 trillion HBM plant in Onyang, to focus exclusively on high-value, advanced AI-ready memory products.