According to the Korean media, Aju News reported that Samsung plans to reduce at least 10% of the wafer feeding volume of the S3 factory in Hwaseong Park, South Korea, starting in the third quarter of 2023.
▲ Photo source: Samsung
The report said that Samsung Semiconductor will reduce the production of the S3 factory in Hwaseong Park in the third quarter, which is a 12-inch production line of Samsung Semiconductor completed and put into operation in 2018, and currently mainly produces 10nm to 7nm products. Samsung has deployed multiple ASML NXE3400 EUV lithography machines to the facility.
Aju News pointed out that this production reduction is the first time in recent years that Samsung artificially reduce the amount of semiconductor factory wafer feeding.
Industry sources pointed out that in the semiconductor industry downturn, Samsung in order to counter-cyclical investment to squeeze TSMC and other competitors, until the beginning of this year still seeks to expand production and plans to enhance wafer capacity by at least 10% in the second half of 2023, but the pace of decline in the semiconductor industry far exceeded Samsung’s expectations.
Samsung semiconductor products in storage amounted to nearly 32 trillion won (currently about 170.56 billion yuan), a record high since records began. As a result, Samsung has had to further reduce the amount of system LSI wafers in order to balance its inventory, after cutting the production of memory and raising prices.