Samsung Electro-Mechanics Vietnam formalizes production of ultra-large semiconductor substrates for AI servers and data centers

【Hanoi, Vietnam — Correspondent Kim Joon-seok】Samsung Electro-Mechanics’ Vietnam subsidiary has moved to seize the lead in the advanced substrate market, decisively adding production of ultra-large (UL) flip-chip ball grid array (FC-BGA) substrates for AI servers and data centers as a new business purpose, following its 2.51 trillion won facility investment.
On the 30th, local Vietnamese media reported that Samsung Electro-Mechanics’ Vietnam subsidiary, located in Thai Nguyen Province, recently adjusted its business activities through a public notice of changes to its corporate registration and added production of UL FC-BGA, high-performance package substrates used in AI servers and large data centers, to its business purposes. It expanded its production scope beyond products for robots, autonomous vehicles and smart advanced electronic devices to include products for AI servers and data centers. It also designated services for these product lines—including contract processing, repairs, technical analysis and inspection, sorting, and packaging—as business activities. Its main business remains the manufacture of other electronic components, as before.
This is the second time this year that Samsung Electro-Mechanics Vietnam has changed its business purposes in connection with its UL FC-BGA product line. In an earlier amended notice on March 19, it first listed the production of UL FC-BGA for robots, autonomous vehicles and smart electronic devices, as well as related inspection, packaging and repair services, among its business purposes. Until then, Samsung Electro-Mechanics Vietnam’s main business had been producing and assembling components such as high-density interconnect (HDI) substrates, camera modules, lenses and linear motors for communications and mobile devices.
The expansion of its business activities is seen as a follow-up to Samsung Electro-Mechanics’ semiconductor substrate investment plan, worth a total of 6.78 trillion won, announced in late September. At the time, the company said it would invest 4.27 trillion won to build a new factory at its Sejong site and 2.51 trillion won in its Vietnam subsidiary to expand its FC-BGA production line for AI servers.
Local Vietnamese media said the production of FC-BGA substrates by Samsung Electro-Mechanics Vietnam “will help take Vietnam’s semiconductor industry value chain to a higher level,” and added that “Vietnam’s role in Samsung Group’s global production network is growing stronger.”
[email protected] Kim Joon-seok Reporter