Samsung Speeds Up Pyeongtaek P4 for AI Memory Market

According to Korean media outlet Seoul Economic Daily, Samsung Electronics is accelerating construction of its Pyeongtaek Campus Phase 4 (P4) facility with the goal of bringing production forward to capture rapidly growing opportunities in the artificial intelligence (AI) memory market.

The P4 plant represents a total investment of approximately 50 trillion KRW (about 34 billion USD). Through a “temporary use approval” mechanism, Samsung aims to shorten the schedule by roughly six months and achieve full-scale production within 2026. Industry expectations suggest this move is not only an expansion strategy, but also a key step to strengthen manufacturing capabilities tied to sixth-generation High Bandwidth Memory (HBM4), building what analysts describe as a “manufacturing gap” to reinforce leadership in AI memory technologies.

Under current plans, Samsung is targeting temporary operational approval for the upper (Ph4) and lower (Ph2) sections of the P4 facility in July and November 2026 respectively. This would allow earlier equipment installation, pilot runs, and gradual transition into mass production. The “temporary use approval” system enables selected areas of a factory to begin operation before full construction completion, significantly accelerating production readiness and equipment validation cycles.

The P4 site is designed with a dual-layer structure and includes four cleanroom zones, though only partial capacity is currently operational. Samsung C&T has recently secured a contract exceeding 1.3 trillion KRW for the final lower-level construction work, indicating that the project is entering its concluding phase.

In parallel, construction of the Pyeongtaek Phase 5 (P5) facility is also advancing rapidly. P5 is planned as a three-story complex equipped with six cleanrooms and is expected to require a total investment of up to 80 trillion KRW, making it one of Samsung’s largest semiconductor production facilities to date. Samsung has already signed major structural and building contracts worth more than 4 trillion KRW with Samsung C&T and Samsung E&A, officially launching core construction work.

Industry observers note that the accelerated development of both P4 and P5 is driven by expectations of a sharp increase in AI chip demand in the second half of 2026. With next-generation AI platforms such as NVIDIA’s “Vera Rubin” expected to enter mass production, demand for HBM and NAND flash memory is projected to rise significantly. In response, Samsung is pursuing a dual strategy combining advanced memory technology and large-scale production capacity, aiming to convert its technological edge in HBM4 and related products into higher shipment volumes and market share gains.

Reports indicate that Samsung’s total semiconductor equipment investment in 2026 is expected to reach around 70 trillion KRW, with a significant portion allocated to the Pyeongtaek complex. If P4 achieves early mass production as planned, it could further strengthen Samsung’s competitiveness in the global AI memory market and enhance profitability during the ongoing semiconductor upcycle.