Taipei, Tuesday, May 24, 2016 16:22 (GMT+8)
cloudy
Taipei
26°C
Digitimes Research: Korea semiconductor companies to ramp up capital spending in 2H14
Ricky Tu, DIGITIMES Research, Taipei [Tuesday 17 June 2014]

Semiconductor capital spending by Samsung Electronics has topped the world's semiconductor companies for the fourth straight year since 2010. In 2014, Samsung's semiconductor capex is expected to stay flat at US$11.5 billion as compared to the previous year. However, since Samsung plans to begin install production equipment at its Line-17 fab in Hwaseong, Gyeonggi Province, its semiconductor capex in the second half of 2014 will be higher than that in the first half, according to Digitimes Research.

Having already set up seven semiconductor production lines in its plants in Hwaseong and Xian, China, the Hwaseong plant will aim to migrate to more advanced process nodes in 2014, while the Xian plant will focus on ramping up its vertical-NAND (V-NAND) flash capacity. The Line-17 fab, which is slated for completion in the second half of 2014, will focus on offering wafer foundry services using 20nm and below processes, Digitimes Research said.

Meanwhile, SK Hynix's capex for 2014 is expected to reach US$3.3-3.8 billion, up from US$3.3 billion a year earlier. SK Hynix' main capex for 2014 will be used to build its M14 fab. Construction of the M14 line is expected to begin in mid-2014.

Capital spending of other semiconductor companies, including Micron Technology, Toshiba and SanDisk will also top US$1.0 billion each in 2014. Micron is expected to accelerate the migration of its DRAM production to 20nm process, while also ramping up its NAND flash capacity.Toshiba will team up with SanDisk to expand the production capacity of V-NAND flash at its plant in Yokkaichi.

For non-memory chips, the 2014 capex of Intel, Taiwan Semiconductor Manufacturing Company (TSMC), Globalfoundries and United Microelectronics Corporation (UMC) will also exceed US$1 billion each. While Intel will deepen its development of 14nm and below processes, TSMC will focus on 16nm FinFET process. Globalfoundries and UMC will raise the ratios of their 28nm production,while beginning to develop 20nm and below technologies.

Combined 2014 capital spending of these semiconductor firms with a capex budget of over US$1 billion in the year is expected to amount to US$49.3 billion, Digitimes Research estimates.

The top-three DRAM chipmakers will move to upgrade their processes to 25-21nm, while the NAND flash industry will stress on ramping V-NAND flash production as well as to migrate to 19-16nm processes.

Content from this article was part of a complete Digitimes Research Chinese-language report that has not yet been translated into English. If you are interested in an English version of the report or wish to receive more information about the report, click here to contact us and we will get back to you as soon as possible. Digitimes Research also provides quarterly tracking services for market sectors such as Global Tablet, China Smartphone, China Smartphone AP, Taiwan ICT and Taiwan FPD. Click here for more information about Digitimes Research Tracking services.

Realtime news
  • Poly-Si solar wafers to remain competitive over next 5 years, says GCL-Poly Energy CTO

    Green energy | 24min ago

  • Abnormal cost hinders China PV development, says Trina Solar chairman

    Green energy | 33min ago

  • 28nm HPM production lines at TSMC, UMC to run at full capacity until 3Q16, says paper

    Bits + chips - Newswatch | 38min ago

  • First-tier vendors cautious about China-based players launching notebooks and 2-in-1 devices in May-July

    IT + CE | 2h ago

  • MSI expected to ship 21 motherboards/graphics card in 2016

    IT + CE | 2h 5min ago

  • Digitimes Research: Korea LCD driver IC vendor Silicon Works sees revenues hit record high in 2015

    Bits + chips | 2h 7min ago

  • Silicon Motion expects NAND flash shortage in 2H16

    Bits + chips | 2h 9min ago

  • Digitimes Research: Taiwan top-foundry combined revenues to rise 8% in 2Q16

    Bits + chips | 2h 13min ago

  • Digitimes Research: Taiwan 1Q16 top foundries combined revenues to rise 8%

    Before Going to Press | May 23, 22:55

Pause
 | 
View more

Taiwan server shipment forecast and industry analysis, 2016

RESEARCH EXTRAS | Apr 1, 15:47

Strong demand from the cloud computing market helped Taiwan's server shipments grow 12.5% on year to break 10 million units in 2015, accounting for 90.7% of worldwide shipments and the percentage is expected to grow to 91.1% in 2016. This Digitimes Research Special...

China smartphone touch-panel industry 2016 forecast

CHINA SMARTPHONE | Feb 6, 17:23

In 2016, China's smartphone panel capacity is expected to increase steadily, with BOE and Tianma expanding 6G capacity and GVO and Truly Optoelectronics increasing their share of handset panel production. This Digitimes Research Special Report analyzes the key...

Taiwan large-size LCD panels – 1Q 2016

TAIWAN LCD PANEL | May 16, 14:02

Taiwan's large-size TFT LCD panel production in the first quarter of 2016 took a major hit as a strong earthquake damaged Innolux's fabs in southern Taiwan.

Taiwan notebooks – 1Q 2016

TAIWAN MOBILE DEVICE | May 9, 14:28

The global notebook market continued to slump in the first quarter, with shipments going down. Vendors were less interested in boosting shipment volume than in improving their profitability by focusing more on midrange and high-end models.

Taiwan small- to mid-size LCD panels – 1Q 2016

TAIWAN LCD PANEL | May 4, 15:05

A strong earthquake caused serious damage to Taiwan-based panel makers' production facilities in the first quarter, resulting in decreased shipments. But their shipments will rise in the second quarter as they recover from the damage.

Computex 2016
Trends and forecasts for the China FPD industry, 2014-2017
The transition to 4k TV - UHD TV market forecast, 2014-2017
  • Wireless broadband developments in Southeast Asia markets

    As of 2013, the 10 ASEAN nations had a total of over 700 million mobile subscriptions, with the CAGR from 2003-2013 reaching 24%. This Digitimes Research Special Report analyzes the various mobile broadband markets in ASEAN and looks at the respective trends in 4G LTE development for those markets.

  • 2015 global tablet demand forecast

    This Digitimes Research Special Report provides a 2015 forecast for the global tablet market and analyzes the strategies of key market players such as Google, Apple, Intel, and Microsoft.

  • 2015 China smartphone panel trend forecast

    This Digitimes Research Special Report analyzes the strategies of key China-based major panel makers BOE, Tianma and IVO for attacking the different market segments through technology and pricing, and their relationship to local vendors Huawei, Lenovo, ZTE, Xiaomi and Coolpad.