Seoul, Oct 30: South Korean microchip giant Samsung Electronics launched an ambitious project today to build the world's largest production base for flat panel screens following its alliance with Japan's Sony Corp. Samsung said a ground-breaking ceremony was held in Tangjeong, 100 kilometers south of Seoul, to start work on a complex for Liquid Crystal Displays (LCDs).
The complex reflects a shift in Samsung's business strategy from microchips to handsets and LCD panels which are gaining in popularity. Economy and finance Kim Jin-Pyo said the complex would create a new era of "display Korea."
Samsung has earmarked 20 trillion won (16.9 billion dollars) over the next decade to turn the complex into the world's largest "crystal valley" covering two million square meters.
"We can't be number one if we do something the same way others do it," Samsung's LCD division chief lee sang-wan told reporters.
The complex highlights a 50-50 joint venture announced yesterday between Samsung and Sony which will be established in the first quarter of 2004 to produce LCD panels for televisions of more than 40 inches.
Samsung said the alliance would help the world's largest microchip maker maintain its leadership in the fast-growing LCD market.
Bureau Report