A new advanced chip factory is emerging in South Korea, in which Samsung and ASML will invest as much as 760 million dollars

South Korean technology giant Samsung and Dutch chip maker ASML have partnered to invest in the construction of a new semiconductor factory to develop cutting-edge chip technology. Thus, a new advanced chip factory will find its place in South Korea, and Samsung and ASML have agreed to invest as much as 760 million dollars in it.

This news comes during the four-day visit of South Korean President Jun Sukjul to the Netherlands, which normally aims to establish a “semiconductor alliance” between the two countries.

The Dutch ASML is the world's only manufacturer of extreme ultraviolet (EUV) lithographic machines, which are necessary for the production of the most modern chips, such as those made by the most famous semiconductor company TSMC.

“ASML is spearheading technological innovation that is becoming a powerful driver of the Fourth Industrial Revolution worldwide, and Dutch semiconductor companies such as ASML and ASM are building new facilities for manufacturing, research and development, and talent training in Korea,” South Korea's presidential office said in a statement. Tuesday.

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During his stay in this country, Sukjul visited the ASML headquarters together with King William Alexander of the Netherlands, when they also toured the production plant for next-generation EUV machines.

The new advanced chip factory as a turning point in the relations between the two countries

Samsung is the world's largest manufacturer of DRAM memory chips, and they are used in consumer devices such as phones and computers. This company, as well as other chip makers, rely on ASML EUV machines to produce faster and more efficient chips than their competitors.

The press release states that, in addition to Samsung, ASML will also cooperate with the local chip giant SK Hynix, which is considered the world's second largest DRAM manufacturer. This collaboration will help reduce energy consumption and costs for EUV through hydrogen gas recycling technology.

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It is these partnerships that support the thesis of a turning point for cooperation between the two countries, and Sukjul told AFP before his visit to the Netherlands that semiconductors “are the foundation of cooperation between South Korea and the Netherlands.”

He then spoke highly of the Dutch company, adding that years ago these two countries worked together in an “exemplary way”. The advancement of cooperation marks a key moment for the “South Korea-Netherlands alliance in the field of semiconductors,” he claims.

In addition, the presidential visit to the Netherlands will help both countries establish a well-organized institutional framework that should intensively address global semiconductor supply chains. That's true, he said, even as semiconductors become strategic resources and geopolitical risks to global supply chains grow.