Samsung launches a massive $10 billion memory chips production line, while Apple is sailing away

Samsung launches a massive $10 billion memory chips production line, while Apple is sailing away
Amidst a cyclical downturn in flash memory production, Samsung did not hesitate to launch an enormous $10 billion production line for memory chips. Besides NAND flash memory for the growing number of smartphones and tablets, the fab will be making DRAM with the new 20nm technology, which will place it ahead of most competition. Samsung already has 41.6% of the world's DRAM market, and the new line might boost that number even further ahead of Toshiba. 

Apple, which is one of its biggest customers, however, is trying to diversify its suppliers as wide as it can, since it is in a state of legal war with Samsung. So far the memory chips inside its gadgets were supplied by Samsung, Toshiba and Elpida, and Cupertino is reportedly trying to shift the bulk of orders to the last two. Apple prepaid about $7.8 billion worth of parts to Samsung this year, but for the next it is obviously aiming to wiggle out of that overreliance, moving from Samsung to TSMC for its next generation A6 and A7 chipsets production as well.

The $10.2 billion Samsung investment in the new flash memory production line will be made over the course of next year, when the company is also expected to move to the 10nm method, which will increase density, and allow for memory with even larger capacity in next year's mobile devices. The rumored 32GB memory in the Samsung Galaxy III now doesn't sound that far-fetched, just like the alleged HD Super AMOLED Plus display started being plausible the other day.

source: WSJ & AppleInsider

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15 Comments

1. uche_dashing

Posts: 11; Member since: Sep 20, 2011

It only seems to get better and better for samsung... I m sorry Apple.. you don't get to enjoy this... Maybe you will when the prodigal son(Apple) comes back crawling on his knees

2. taco5O.

Posts: 12; Member since: Sep 22, 2011

Great work Samsung. I now wish that Apple would have stopped suing Samsung. Apple sould take back their injuction and let Samsung sell their phones, so that apple can buy some new memories for the next iphone 5.

12. zach44

Posts: 22; Member since: Apr 15, 2011

Sarcasm? Or are you for real?

13. Leodrade

Posts: 87; Member since: Aug 26, 2011

can tell if trolling or just stupid...

3. chocolatebear76

Posts: 123; Member since: Mar 03, 2011

prodigal son,lol

4. som

Posts: 768; Member since: Nov 10, 2009

Samsung keep up with the greatest technology and the greatest future for the company while rotten Apple spent billions dollars in the court rooms. Apple will be looking for new components to assemble their phone from the haystacks. Samsung got all components in house.

5. samk1234 unregistered

This is great for samsung. Samsung never really needed apple for cash flow. It was just too much money to pass up. Hopefully now samsung can concentrate on making parts for themselves so they can actually build enough of their high end phones. They need to start selling phones as soon as they announce them and not make people wait 8 or 9 months for it because that's rediculous.

6. SuperAndroidEvo

Posts: 4888; Member since: Apr 15, 2011

Let me tell you, there are very few companies out there that want to win like Samsung. Every few days there an article on this very site that says Samsung this & Samsung that when it comes to innovation & growth. Samsung clearly wants to be number 1 & their products ooze with that. I am telling you Samsung is innovating & throwing GREAT products out there, their HDTV's are vicious but their mobile products are in a league of their own. Samsung reminds me of Apple of a couple of years ago, who were innovating & had the best products out. Samsung now is that beast by eclipsing Apple at their own game. The best mobile device in the world is the Samsung Galaxy S II & the device that will eclipsed will be the Samsung Galaxy Nexus, just because of only the Super AMOLED 720p HD screen. The Exynos chip on the Samsung Galaxy S II will still kill the OMAP chip on the new Samsung Galaxy Nexus that will be coming out in some weeks now. You overclock the Exynos to 1.5 GHz & the OMAP will be done. So really the phone to truly dethrone the Samsung Galaxy S II will be the Samsung Galaxy S III. Rumor says 2.0 GHz quad-core processor. WHAT? That is scary strong, that is PC level strong. Lol Samsung is making all the right moves, their next generation of phones will be a sight to behold!

7. gallitoking

Posts: 4721; Member since: May 17, 2011

that story was great... that way the target will now be on Samsung and off of Apple... so everyone else. HTC, LG, Motorola and Apple will now put the pressure on Samsung . i think is great, see how they handle being number one.... and become all defensive like Apple did...

14. stealthd unregistered

Maybe Samsung should hire you to do PR for them. No one seems to really say crap like this unless they're getting paid.

16. justmoveon unregistered

I can't wait for about a year, or even a few months to go buy, and all of you who HATE on apple fans, but act THE SAME way about android, and as i said in a year or less you will all be posting and whining about how samsung just can't give you the updates they promised?! Why are we still on froyo and gingerbread?!?! where's our ics? our jellybeans? our kippers?? can't wait!!!!

8. Rocketman unregistered

All you Samsungnites, so full of Samsung. Samsung is paying the price for not being innovative, not creating it's own technology and depending too much on or stealing of technology from others. Android, on which it's mobilesystem is based, is infringing on technology of companies like Microsoft and Oracle. Samsung is also infringing on patents from Apple, now they are paying the price for not being innovative. Even Bada, it's first initiative to create something on it's own, is a cheap carbon copy of Android. I've just seen the review of the new Samsung S II, it sucks, nothing innovative about it.

9. SuperAndroidEvo

Posts: 4888; Member since: Apr 15, 2011

Rocketman you must be in space because buddy you are not making sense. FACTS ARE FACTS the Samsung Galaxy S II is the best & MOST powerful phone to ever grace our planet. The Super AMOLED+ screen is a marvel & true innovation by itself, that is not mentioning the best processor in the world the 1.2 GHz Exynos chip set. Just those 2 things are VERY innovative! Time to come back to Earth Rocketman you have been in space way too long! lol

11. uche_dashing

Posts: 11; Member since: Sep 20, 2011

RETARD

10. darth8ball

Posts: 520; Member since: Aug 02, 2011

Samsung = 1989 Glen Ridge NJ High School baseball team Apple = Special needs girl Look it up for all you young kids who were either too young or not born yet

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