Samsung Electronics to upgrade U.S. chip plant

SEOUL, Aug. 17 (Yonhap) -- Samsung Electronics Co., the world's largest
semiconductor maker, said Monday it will upgrade its aging semiconductor plant in
the United States to expand its production of NAND flash memory chips.

Samsung Electronics said it will stop operating a production line in Austin,
Texas for dynamic random access memories (DRAMs), used in personal computers and
other electronic devices, in October. Samsung built the line in 1997.
The line will be converted to the back end of a line for NAND flash memory chips,
which began operation there two years ago.
NAND flash memory chips are mainly used for mobile phones, music players and
other portable devices.
"In order to upgrade and convert the older facility, we must take the
manufacturing area back to the bare walls," the company said in a statement. "The
new facility will add a great deal of flexibility to our existing 12-inch plant"
for NAND flash memory chips.
The company expects to invest some $500 million into the conversion of the
facility, which will take place next year.
In early 2009, Samsung also closed the operation of a DRAM production line in
Hwaseong, about 70km south of the South Korean capital, Seoul.
ygkim@yna.co.kr
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