Key facts
- Samsung Group pledged a total investment of 2,655 trillion won.
- The investment aims to promote regional development and AI industry growth.
- Specific regions like southwestern, southeastern, and Chungcheong provinces will receive 625 trillion won.
- Significant portions are allocated for semiconductor clusters in Pyeongtaek and Yongin.
- Samsung is exploring Gwangju as a potential site for a new semiconductor base.
- Samsung SDS plans an AI data center in Haenam, and Samsung C&T will invest in hydrogen production facilities.
Samsung Group, South Korea's largest conglomerate, announced on Monday a commitment to invest a combined 2,655 trillion won (US$1,721 billion) as part of the government's initiative to foster regional development, particularly in the artificial intelligence (AI) sector. This significant investment is in response to President Lee Jae Myung's unveiling of the administration's "three megaprojects" strategy, aimed at enhancing South Korea's technological competitiveness.
The conglomerate plans to allocate 625 trillion won to the southwestern and southeastern regions, as well as the central Chungcheong provinces. A substantial portion, 2,030 trillion won, is earmarked for the semiconductor cluster at its Pyeongtaek campus and the one under construction in Yongin, both located south of Seoul. Samsung Electronics is also considering Gwangju as a potential site for a new semiconductor base to meet escalating demand and complement existing facilities.
Samsung stated that a Gwangju production base would help the region become a key pillar of South Korea's chip industry. Furthermore, other Samsung affiliates will contribute to AI infrastructure development. Samsung SDS Co. intends to establish an AI data center in Haenam, while Samsung C&T Corp. will invest in solar and nuclear energy-based hydrogen production facilities in the southwestern region.