Samsung Group plans to commit 1,000 trillion won ($648 billion) in South Korea over the next decade, according to a media report. The move aims to leverage the global AI-driven demand for chips to support national economic growth.
Executives from Samsung Electronics and SK Hynix are expected to meet President Lee Jae Myung on Monday to discuss investment plans focused on areas outside Seoul, the Maeil Business Newspaper reported.
Samsung’s spending will cover AI data centers, batteries, displays, and possibly 300 trillion won for new chip factories in the southwest. The effort highlights South Korea’s push to spread AI-related growth beyond the capital, though infrastructure and labor shortages pose challenges.
Chip production has been concentrated near Seoul, drawing political attention and calls for balanced regional development. Opposition lawmakers have criticized the plans as politically motivated.
The presidential office will unveil three major projects on Monday covering semiconductors, AI data centers, and robotics. Samsung and SK Hynix declined to comment.
South Korea plays a key role in global AI supply chains through its dominance in high-end memory chips. Experts note that rapid demand growth may require advancing projects originally planned for later decades.
Some analysts question whether new facilities in the southwest can attract enough skilled workers. Local concerns have also risen in existing chipmaking areas about potential shifts in production.
President Lee has promoted creating regional hubs to reduce Seoul’s economic dominance, which accounted for over half of national output in 2024.
