Samsung to pour $310 billion into expanding its AI technologies

Samsung announced on Sunday a sweeping $310 billion investment plan to be carried out over the next five years, with most of the funding directed toward expanding technologies that support the rapid global growth of artificial intelligence. The South Korean conglomerate said the goal is to strengthen its role in the AI-driven semiconductor market, where demand continues to surge worldwide.

The group’s flagship unit, Samsung Electronics, is already one of the world’s leading manufacturers of memory chips — components essential for AI systems and the massive data infrastructure behind them. South Korea is also home to SK hynix, another major global force in advanced memory production, making the country a central hub in the semiconductor supply chain.

As part of the multiyear plan, Samsung confirmed it will build a new facility called Pyeongtaek Plant 5, expanding its large semiconductor complex south of Seoul. The company said the new plant will be dedicated to meeting rising demand for high-performance memory chips. Once fully operational, the Pyeongtaek site is expected to take on an even more critical strategic role, bolstering both the global logistics chain and South Korea’s domestic chip industry. The new production line is scheduled to begin operating in 2028.

In addition, Samsung SDS, the group’s IT and logistics subsidiary, will create two new AI-focused data centers in South Jeolla and Gumi, though details about their size and capacity were not disclosed.

Samsung Group operates through a network of affiliated companies connected by complex cross-shareholdings rather than a single holding structure. It remains South Korea’s largest chaebol, a powerful family-run business model that shapes much of the country’s economic landscape.

While much of the $310-billion package targets AI-linked growth, the plan also covers several non-AI initiatives. Among them, Samsung SDI — the company’s electric-vehicle battery arm — is exploring setting up a domestic production line for next-generation batteries, including promising technologies like all-solid-state batteries.

The global AI boom has been a major advantage for both Samsung Electronics and SK hynix, whose advanced memory chips have become essential for training and running large-scale AI systems. Samsung Electronics recently reported a more than 30 percent jump in quarterly profit, crediting the increase to AI-related demand.

The massive investment push follows the South Korean government’s pledge to significantly expand its own AI funding next year. President Lee Jae Myung has said he aims to position South Korea among the top three AI powers, alongside the United States and China, as the country accelerates efforts to “usher in the AI era.”