Samsung Electro-Mechanics is reviewing the establishment of a joint venture (JV) with Japan's Sumitomo Chemical Group to manufacture Glass Core, a key material for next-generation package substrates.
Samsung Electro-Mechanics said on the 5th that it signed a memorandum of understanding (MOU) in Tokyo with Sumitomo Chemical Group to review establishing a joint venture. The signing ceremony was attended by President Chang Duck-hyun of Samsung Electro-Mechanics; Chairman Iwata Keiichi of Sumitomo Chemical; President Mito Nobuaki of Sumitomo Chemical; and President Lee Jong-chan of Dongwoo Fine-Chem (a Sumitomo Chemical subsidiary), among other key executives.
Samsung Electro-Mechanics and Sumitomo Chemical Group see the joint venture as a strategy that could break through the limits of package substrate technology. Existing glass substrates cannot meet the requirements driven by advances in artificial intelligence (AI) and high-performance computing (HPC). Glass Core, cited as a key material for next-generation semiconductor package substrates, has a lower coefficient of thermal expansion and superior flatness compared with existing glass substrates. It is regarded as an essential technology for realizing high-density, large-area advanced semiconductor package substrates.
Through this agreement, the three companies—Samsung Electro-Mechanics, Sumitomo Chemical, and Dongwoo Fine-Chem—plan to combine each company's technological capabilities and global networks to secure manufacturing and supply lines for Glass Core for package substrates and accelerate market entry.
In the joint venture, Samsung Electro-Mechanics will be the main contributor holding a majority equity stake, and Sumitomo Chemical Group will participate as an additional contributor. The three companies will discuss detailed equity structure, business schedule, and corporate name, aiming to sign a definitive agreement next year. The headquarters will be located at Dongwoo Fine-Chem's Pyeongtaek plant, a subsidiary of Sumitomo Chemical, and will serve as the initial production base for Glass Core. Samsung Electro-Mechanics has built a pilot line at its Sejong plant and is producing sample glass package substrates. Full-scale mass production will be pursued with the joint venture after 2027.
Samsung Electro-Mechanics President Chang Duck-hyun said, "This agreement will combine the three companies' cutting-edge capabilities to create a new growth axis in the next-generation semiconductor package market." Sumitomo Chemical Chairman Iwata Keiichi said, "We expect to generate significant synergy in the advanced semiconductor back-end process field through cooperation with Samsung Electro-Mechanics." Dongwoo Fine-Chem President Lee Jong-chan said, "Based on the technology accumulated by Sumitomo Chemical, we will actively leverage Dongwoo Fine-Chem's rapid execution and infrastructure to lead this collaboration to success."