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(Photo= Yonhap news) |
[Alpha Biz= Reporter Kim Jisun] According to reports, the world’s top two semiconductor foundry companies, TSMC and Samsung Electronics, are exploring the possibility of establishing a large semiconductor manufacturing plant in the United Arab Emirates (UAE). This move comes as the Middle East emerges as a major player in high-tech industry investments.
The Wall Street Journal (WSJ) reported on September 22 that senior executives from both TSMC and Samsung recently visited the UAE to discuss the potential construction of chip manufacturing facilities. The project reportedly involves a complex that could house multiple factories, with the total cost estimated to exceed $100 billion (approximately 133.6 trillion KRW).
A representative from Samsung Electronics declined to confirm any specific details regarding the potential investment. However, a source familiar with Samsung pointed out that the UAE's desert environment, characterized by limited water and workforce shortages, presents significant challenges to the feasibility of such a project.
The project is expected to be financed by UAE’s sovereign wealth fund, Mubadala, which is one of the largest in the world, managing assets valued at around $300 billion as of the end of last year.
The WSJ further noted that the discussions aim to increase semiconductor production without compromising the profitability of global chip manufacturers like Samsung and TSMC.
알파경제 Kim Jisun Reporter(stockmk2020@alphabiz.co.kr)
