Samsung Electronics to break ground on 2nd fab in Taylor within this year

Samsung Electronics said Thursday it will break ground on the second foundry fab in Taylor, Texas, by the end of this year, citing growing global demand for advanced semiconductor manufacturing.

It also dismissed market concerns over a potential memory chip glut, saying the long lead time required to expand manufacturing capacity makes a sharp increase in supply before 2028 unlikely.

Samsung Electronics shared its outlook on semiconductor business during its second-quarter earnings call on Thursday, during which it announced 89.5 trillion won ($62 billion) in record-breaking operating profit.

The figure represents an 1,814 percent growth from a year earlier, and the revenue for the April-June period reached 171.5 trillion won, up 130 percent year-on-year.

Both revenue and operating profit set new quarterly records, making Samsung Electronics the world’s most profitable company.

The chip-making Device Solutions division alone posted 127.5 trillion won in sales, up 357 percent from a year earlier, while operating profit surged more than 220-fold to 89.2 trillion won.

The record results we ...