Samsung e-a an investment of up to $ 7 billion of NAND-type flash memory plant will settled in Xi’an.

NAND flash is mainly used in smart phones, tablet PCs and other mobile terminal storage media. According to Yonhap news agency, Samsung Electronics said that the Memorandum of Understanding signed with Xi’an has a new generation of flash memory chip production is expected to production line was officially launched at the end of next year, the estimated monthly chip production capacity will reach 100,000.

The new plant will use 10 nanometer level process. Samsung plans to use the latest technology this year is the 10 nanometer technology, industry sources, such as 10-nanometer manufacturing process, to produce flash memory chips using the same materials, production increased about more than doubled compared to the 20 nanometer technology.

Samsung to invest in China and factories is a risk not a small try. Samsung have been very worried about the risk of leakage of technology in overseas construction of high-tech production line has been in South Korea and outside of the establishment of high-tech manufacturing plant. Prior to this, Samsung only in Austin, Texas, USA, set up a chip manufacturing facility.

In contrast, Samsung’s competitors Hynix as early as in 2004 to invest $ 2 billion settled in Wuxi plant 12-inch wafer production can be from the initial monthly production capacity of 18,000 to 180,000.

Semiconductor to iSuppli principal analyst Gu Wenjun, in the “fast fish eat slow fish” “fast” era of competition, became close to the market, rapid response, and make full use of resources and markets an important way to build factories in China .

“Samsung has to change strategy, largely because China is already the largest production base and consumer market of smart phones, tablet PCs and other mobile devices, while speeding up in the Chinese layout semiconductor manufacturing, is intended to be closer to the Chinese market and expand all-round competition with the Apple Moreover, the current chip enterprises in China’s overall competitiveness strength is too weak, and have basically given up the chip industry, did not need to worry about technology leakage. “Review and prospect of” First Financial (the micro-blog ) Daily said.

Samsung Electronics also said the factory in China is mainly due to the needs of local consumers can do the quick response, efficient response to “.

According to the data of the City research firm Gartner, the Chinese market last year, consumption of NAND memory chips, half of the total global market size of up to $ 29 billion, is the world’s largest chip-consuming countries. 2015, China’s market share will rise to 55%.