Samsung to spend big on expanding memory chip lines

Samsung to spend big on expanding memory chip lines

The demand for memory and flash storage chips is ever increasing and Samsung being one of the giants in the market has decided to invest big in expanding their production capabilities. The company announced today that they plan to spend around 786.8 billion won ($774.4 million) to upgrade and expand their operations manufacturing DRAM and Flash memory chips.

Samsung is one of the biggest tech firm not based in the United States and is facing increasing competition from other players in the market like Micron Technology and Toshiba. They had also recently announced a 636.9 billion won investment in new memory lines to boost production of both major computer chips.

The company said about this latest announcement of further investments: “It is to meet growing demand for flash chips and strengthen cost competitiveness.” The market is expected to grow continuously for the next couple of years with demands from mobile phone and digital camera makers. The growing popularity of MP3 players has also contributed massively to this demand.

Samsung is aiming at tripling their sales to $61 billion by 2012 from $17 billion last year.