Samsung Electro-Mechanics, Sumitomo Chemical to form JV for chip glass substrates

Samsung Electro-Mechanics said Wednesday it has signed a memorandum of understanding with Japan’s Sumitomo Chemical to form a joint venture for producing glass cores, a key material for next-generation semiconductor packaging substrates.

The company explained that the partnership aims to tackle the constraints of conventional packaging substrates amid the fast-paced development of AI and high-performance computing technologies.

Glass cores offer lower thermal expansion and superior flatness compared to conventional plastic materials, enabling the high-density, large-area chip packaging required for AI and HPC chips

The agreement will see Samsung, Sumitomo Chemical and Dongwoo Fine-Chem, Sumitomo Chemical’s Korean subsidiary, pool their technologies and global networks to manufacture glass core substrates.

“This partnership will combine the cutting-edge capabilities of the three companies and serve as an opportunity to secure a new growth engine in next-generation semiconductor packaging," said Samsung Electro-Mechanics CEO Chang Duck-hyun, highlighting that glass cores are key materials that will reshape the future substrate market.

Samsung will hold a majority stake in the proposed JV, with Sumitomo Chemical Group serving as a co-investor. The parties plan to discuss details such as shareholding structure, project timeline and the corporate name, with the goal of signing a formal agreement next year.

The new JV’s headquarters will be located at Dongwoo Fine-Chem’s Pyeongtaek site in Gyeonggi Province, which will serve as the initial production base for glass cores.

Samsung said it has already built a pilot line at its Sejong plant to produce sample glass substrates. It plans to begin mass production after 2027, together with the new venture.