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Samsung's Austin factory, which was closed due to heavy snow in Texas, has been shut down for two weeks and there is currently no sign of resuming work.
According to relevant reports, Samsung's Austin plant accounts for about 5% of the global 300mm wafer output per month. The facility focuses on building chips based on Samsung's 14nm process, and iterations of this node up to 11nm can be used in the same factory. Although the company restored power to the factory a few days ago, they are still busy restoring the factory to normal working conditions.
The report further pointed out that the products produced at the Samsung S2 factory include hardware for Samsung's LSI (large-scale integration) business, including its SSD controllers. The factory also produces chips for Tesla and Renesas. In addition, the factory also produces Qualcomm communication chips, and most of Qualcomm's RFIC (radio frequency integrated circuits) are produced here.
"While we are currently working to resume operations as quickly as possible, the process may take additional time to reach normal levels while we inspect and reconfigure our facilities. Our primary focus is ensuring on-site safety for our employees and the community," Samsung spokeswoman Michele Glaze said earlier.
Because the factory was delayed in starting operations, new problems began to emerge.
Reports of a prolonged shutdown at Samsung's chip plant in Austin have raised the possibility that smartphone production, a key component for smartphones including Apple's iPhone, could be adversely affected.
The report noted that the plant produces chips used in Samsung's flagship smartphones sold in the Americas. It also makes display driver ICs for Apple's organic light-emitting diode (OLED) panels used in iPhones.
The report also emphasized that Samsung usually has one and a half months of parts in stock, so the factory shutdown will not affect their company.
However, if the factory restart takes too long, it could end up affecting smartphone production. People familiar with the matter told The Elec that it could take about two months for the factory to restart normal production. This means Samsung will have to normalize its production by mid-April so that it does not affect the production of its smartphones.
Apple's iPhone 12 is selling very well. If there is a chip shortage, the impact will be obvious.
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