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Samsung, South Korea’s tech giant, announced on Sunday a $310 billion investment plan over the next five years, focusing primarily on artificial intelligence. The conglomerate aims to meet rising global demand for AI technologies and related infrastructure.
Samsung Electronics, the group’s flagship unit, is already among the world’s leading memory-chip makers, providing critical components for AI computing. South Korea also hosts SK hynix, another major player in the global semiconductor market.
New Semiconductor and AI Facilities
As part of the investment, Samsung plans to build a new semiconductor facility, Pyeongtaek Plant 5. The plant is designed to address growing memory-chip demand, the company said. Once fully operational, it will play a strategic role in both South Korea’s domestic chip ecosystem and the global semiconductor supply chain. Operations at the plant are scheduled to begin in 2028.
In addition, Samsung SDS, the group’s IT and logistics division, will establish two AI data centers in South Jeolla and Gumi. The company did not provide further details about these facilities.
Samsung Group operates as a network of affiliated companies under the Samsung brand rather than a single legal holding company. It is South Korea’s largest chaebol, the family-run conglomerates that dominate the country’s economy.
The $310 billion plan also includes investments beyond AI. Samsung SDI, the group’s electric-vehicle battery affiliate, is exploring a domestic production line for next-generation batteries, including all-solid-state batteries.
The AI surge has been a significant driver for both Samsung Electronics and SK hynix, whose high-performance memory chips are crucial for AI computing. Samsung reported a more than 30 percent year-on-year profit increase in the third quarter, fueled by AI-related demand.
Global spending on AI continues to rise sharply, though analysts warn of potential market overheating, drawing comparisons to the dot-com bubble of the early 2000s.
Samsung’s announcement follows South Korea’s government pledge to triple AI investment next year. President Lee Jae Myung has promised to “usher in the AI era” and position South Korea among the world’s top three AI powers, behind the United States and China.
