Samsung Anticipates Surging HBM Demand, Plans to Repurpose NRD-K2 Line for cHBM and HBM5 Base Chip Expansion

August 14th. Analyst Jukan cited by Korean media reported that Samsung Electronics is considering repurposing the NRD-K 2 line at its Xi'an-based next-generation semiconductor R&D campus from R&D to a foundry production line to expand its 2nm capacity. The line will be dedicated to producing 2nm base chips for HBM, focusing on meeting the cHBM and HBM5 demand from clients such as Nvidia. The line is expected to start operations in the second half of 2028 and will operate in a Send Fab mode—receiving wafers from other production lines and only performing specific process steps as an auxiliary foundry. NRD-K is Samsung's state-of-the-art compound R&D campus built with an investment of approximately 200 trillion KRW, with plans for three production lines, with the first line completed at the end of 2024.

This adjustment is driven by Samsung's proactive positioning for the surge in HBM demand propelled by AI infrastructure. By prioritizing the 2nm process on custom HBM and HBM5, Samsung aims to maintain an edge in the performance competition of advanced packaging base chips. Industry observers believe that this line, with a relatively small scale, is suitable for the Send Fab role. However, with about two years remaining until its launch, the final purpose may be adjusted based on market changes, as equipment procurement orders have not been officially issued. Previously, the line was under consideration for DRAM mass production, but now DRAM capacity has further consolidated at the Pyeongtaek campus. Samsung's decision to change the production line further confirms the trend of customization of HBM base chips and advanced process development.