[Edaily Reporter JAEMIN SONG ] SamsungElectroMechanics has signed a supply contract worth 290 billion won with a major global corporation for multilayer ceramic capacitors (MLCCs) used in artificial intelligence (AI) servers. The company is securing a series of long-term supply contracts for high-value-added components in line with the growth of the AI server market.

SamsungElectroMechanics announced on the 6th that it has signed a supply contract worth approximately $210 million (about 290 billion won) with a major global corporation for MLCCs used in AI servers. The contract term is one year, from January 1 to December 31 of next year. This marks the sixth long-term supply agreement (LTA) disclosed by the company so far this year.

Since May of this year, SamsungElectroMechanics has signed a series of long-term supply contracts centered on silicon capacitors, MLCCs for AI servers, and inductors. Including this contract, the cumulative value of LTAs disclosed this year amounts to approximately 3.9 trillion won. The company currently has long-term supply contracts with about 10 customers and is in discussions with several global companies regarding additional supply agreements.

MLCCs are core components that store electricity, supply it stably to semiconductors, and prevent signal interference between components. In particular, MLCCs for AI servers are installed in quantities more than 10 times greater than those in general servers, with up to 600,000 units used per server rack. Since they must withstand 24-hour operation in high-temperature, high-voltage environments, they require ultra-compact size, ultra-high capacity, and high reliability simultaneously. Due to high technological barriers to entry, the number of companies capable of actually supplying these products is limited.

As AI servers expand, the related MLCC market is also expected to grow rapidly. Goldman Sachs forecasts that the MLCC market for AI servers will grow from $1.4 billion last year to $5.8 billion by 2030, reaching an average annual growth rate of approximately 34%. SamsungElectroMechanics maintains its position as a global leader by securing a market share of over 40% in the MLCC market for AI servers.

A SamsungElectroMechanics official stated, “Along with the growth of the AI market, customer demand for high-performance MLCCs is also continuously increasing,” adding, “Based on our differentiated technological capabilities and stable supply, we will expand the proportion of MLCC products for AI and further strengthen our competitiveness in the global market.”