Samsung Raises Capital Spending to 84.4 Trillion Won

Samsung Electronics Co plans to increase its capital expenditure by more than 60 percent this year, raising spending to 84.4 trillion won, or approximately US$63.1 billion. The investment is designed to capture market share from rivals SK Hynix Inc. and Micron Technology Inc. while securing long-term contracts for high-bandwidth memory (HBM) chips, specifically for the Vera Rubin platform developed by Nvidia Corp.

Despite a 15-fold surge in semiconductor profits and reports that its HBM chips are sold out through next year, Samsung saw its stock price fall. Investors reacted negatively after the company deferred detailed plans for shareholder payouts until January, contrasting with a US$45 billion payout recently announced by SK Hynix.

To maintain its position in the AI infrastructure market, Samsung intends to begin mass production of next-generation HBM4e chips in the first half of 2027.