Samsung Electro-Mechanics said on the 20th that it signed a large-scale supply contract for "silicon capacitors," a key component that helps stabilize power for artificial intelligence (AI) chips.
The supply contract is worth 1.5 trillion won. Under the deal, Samsung Electro-Mechanics will supply silicon capacitors to major global corporations for two years from Jan. 1, 2027, to Dec. 31, 2028.
Samsung Electro-Mechanics President Chang Duck-hyun said, "This deal will be an important milestone in cementing Samsung Electro-Mechanics' position as a total solutions supplier of core components in the AI era," adding, "We will expand our product lineup and further strengthen cooperation with global clients."
A silicon capacitor is an ultra-compact, high-performance capacitor made on a silicon wafer. It is built into high-performance semiconductor packages such as graphics processing units (GPU) for AI servers and high bandwidth memory (HBM) to enhance the stability of power delivery. Regarding the deal, Samsung Electro-Mechanics said it is "the first large-scale supply achievement in the silicon capacitor business that we have fostered as a new growth engine."
The volume of data processed by AI services is surging. Accordingly, the power consumption of AI chips has been rising sharply. AI server packages have larger areas and more layers than those for ordinary PCs, making power delivery stability and signal integrity key competitive factors. Because sudden power fluctuations can cause performance degradation or errors, the importance of silicon capacitors, which remove noise and supply stable power from the closest point to the chip, is growing.
Compared with multilayer ceramic capacitors (MLCC), silicon capacitors have more than 100 times lower resistance (ESL/ESR), minimizing signal loss in high-performance chips. They also feature an ultra-thin structure based on silicon wafers, enabling high-density integration. They maintain stable performance even in high-voltage and high-temperature environments.
With high technical entry barriers and stringent client certification processes, a small number of corporations have held an oligopoly in the silicon capacitor market. Samsung Electro-Mechanics said, "Based on the ultra-fine process capabilities accumulated in our existing MLCC and package substrate businesses, we succeeded in entering the core supply chain for AI chips," adding, "Starting with this large-scale contract, Samsung Electro-Mechanics plans to diversify its customers beyond AI servers into high-performance computing areas such as Autonomous Driving systems and mobile."