Samsung Electro-Mechanics signed a supply contract for packaging substrates worth 360.5 billion Korean won

According to a report by THE ELEC, Samsung Electro-Mechanics announced on October 19 that it has signed a supply contract for packaging substrates for memory semiconductors with a large global company, amounting to 360.5 billion Korean won. The contract period is from January 1, 2027, to December 31, which is equivalent to 3.2% of the company's consolidated revenue last year.

This is the first time Samsung Electro-Mechanics has disclosed a long-term supply contract for packaging substrates. With this addition, the number of long-term supply contracts disclosed by the company this year has increased to seven, with a total amount of approximately 4.3 trillion Korean won. Previous contracts were mainly focused on components such as silicon capacitors, multilayer ceramic capacitors, and inductors, and this expansion includes the packaging solutions business, which produces products such as FC-BGA substrates and BGA substrates.

Last month, Samsung Electro-Mechanics announced plans to invest 42.7 trillion Korean won in the Sejong FC-BGA production facility and 25.1 trillion Korean won in the Vietnam packaging substrate production equipment. The company also stated that as part of a large government project, it plans to invest 80 trillion Korean won in the Sejong business site and 150 trillion Korean won in the Busan business site by 2040, and will produce FC-BGA in Busan, Sejong, and Vietnam. A related person from Samsung Electro-Mechanics stated that the growth of the AI and high-performance computing market makes high-performance packaging substrates more important, and the company will strengthen customer supply cooperation and establish a stable supply system.