Samsung Elec chief strengthening networking for nano chip power in Europe

[Photo provided by Samsung Electronics Co.]

Jay Y. Lee, head of Samsung Electronics went on to strengthen networking for the world’s chip major amid intensifying competition through supply of essential equipment for next-gen chipmaking facilities and R&D power in Europe.

Lee headed to ASML in Veldhoven, the Netherlands for meetings with ASML’s CEO Peter Wennink, CTO Martin van den Brink and other key executives on Tuesday (local time) after earlier tete-a-tete with the Dutch prime minister. Lee’s last visit to ASML headquarters was in October 2020. He was accompanied by Kyung Kye-hyun, CEO of Device Solutions at Samsung Electronics.

Primary purpose of Lee's visit is to draw promise from ASML on stable supply of extreme ultraviolet (EUV) lithography machines, which are essential for producing memory and foundry chips in nano scale. ASML monopolizes in EUV lithography machines that enables chip design on wafer in nanometer but it can produce just about 50 complicate equipment units a year.

Samsung Electronics primarily is vying with Taiwan’s TSMC, the world's dominant foundry player, for the expensive EUV lithography machines that cost minimum $1 billion each. But competition has intensified after Intel declared entry into the foundry market.

Memory chip No. 2 SK hynix and No. 3 Micron also have been moving faster with next-gen migration, which rely on the chipmaking equipment.

Samsung Electronics is in need of greater supplies as it ramps up nano-chip production to keep ahead in the nano-chip race. It is building two new chip factories in Pyeongtaek, Korea and a foundry in Texas, U.S. Timely delivery of EUV lithography machines is a must for the chipmaker to keep to the mass-production roadmap. Samsung Electronics is said to have only secured 60 percent of the machines compared with TSMC.

Prior to visiting ASML’s head office, Lee met with Dutch Prime Minister Mark Rutte to seek his support in strengthening ties between Samsung Electronics and Dutch tech companies, ranging from chip designing to equipment producers.

On Wednesday (local time in Europe), Lee moved onto Belgium to meet with Luc Van den hove, CEO of IMEC, the largest R&D hub for nano- and digital technologies in Europe. Lee reportedly looked into IMEC’s R&D projects on the latest technologies, such as artificial intelligence, life science and energy, on top of chipmaking process.

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