Samsung has broke ground on a massive chip manufacturing facility dubbed by the locals as Samsung Semiconductor Valley. The company is investing $14.26 billion into the project, the most money ever spent on a single semiconductor production line, according to a report from ET News.
The facility will be built in Pyeongtaek City Gyeonggi-do, South Korea, with plans to open for business by 2017. Given that date, it's possible that Samsung will use the facility to turn out 10-nanometer DRAM and other chips for Internet of Things devices.
Samsung Semiconductor Valley will be roughly the size of 400 soccer fields, or nearly as large as Samsung's two largest semiconductor plants combined. While no specifics were given, the facility will likely create a wealth of new jobs in the region.
The South Korean tech giant has struggled as of late with its smartphone business largely due to companies like Huawei and Xiaomi operating at tiny margins. Semiconductor manufacturing, however, isn't for newcomers and should be immune to such competition. Its creation alone will have others second-guessing their semiconductor strategy.
At present, Samsung is the second largest semiconductor manufacturer in the world (Intel sits at the top of the mountain). The new facility may or may not change the order but regardless, many of the world's top electronics and mobile makers rely on Samsung's semiconductor business to power their devices.