Samsung Electronics Co Ltd has announced recently that it is going to invest $14 Billion in the new chip plant in South Korea. This move is considered a good move as it is seen as a method to boost the growth of smartphone earnings which is slowing down the last few months. If everything is going as per schedule, the new chip plant will start production in the first half of 2017. It will be built in the city of Pyeongtaek, south of Seoul.

As mentioned in Samsung’s press release, “The Pyeongtaek semiconductor plant will play a central role in solidifying leadership in the mobile and server markets, which have shown rapid growth in demand recently and securing share in the next-generation internet of things market”.

Apart from the above investment, Samsung also has invested about $13.8 Billion last year in the company’s R&D department which mostly doing research on how to improve the memory, processing chips or screen technology among other things. It seems like the amount is three times of the amount that Apple has spent in the R&D department.

It is reported that the newly built chip plant will mostly be producing mainly DRAM memory with mobile chipsets when there is demand for them. On top of that, Samsung reportedly to have secured order to produce Apple A9 processor which is most probably will be used in the next iPhone model.