Samsung Electro-Mechanics Wins 290 Billion KRW AI Server MLCC and Inductor Order, Reaches 3.6 Trillion KRW Cumulative LTA This Year

Signed One-Year LTA with Global Major Company for 2027

Maintaining Over 40% Global Market Share in AI Server MLCCs

Samsung Electro-Mechanics announced on September 29 that it has signed a supply contract worth approximately 285 billion KRW with a global major company for multilayer ceramic capacitors (MLCCs) and inductors for artificial intelligence (AI) servers.

The contract period spans one year, from January 1, 2027, to December 31, 2027. This marks the company’s fifth long-term agreement (LTA) for this year according to disclosure standards. The cumulative value of long-term supply agreements signed by Samsung Electro-Mechanics this year for products such as silicon capacitors, AI server MLCCs, and inductors has reached approximately 3.6 trillion KRW. Leveraging its lineup of high-capacity and high-reliability passive components, Samsung Electro-Mechanics is expanding its business presence within the AI data center market.

Samsung Electro-Mechanics Suwon Plant exterior. Samsung Electro-Mechanics

MLCCs and inductors are core electronic components that support the stable operation of AI servers, which consume massive amounts of power. In particular, MLCCs regulate current flow to ensure that it remains constant and stable within the circuits of electronic devices, while also serving as a dam to prevent signal interference between components. Inductors stabilize power supply by responding to sudden changes in current and reduce noise generated during power conversion.

AI servers require more than ten times as many MLCCs compared to conventional servers, and the use of high-current, high-efficiency inductors is essential.

According to global investment bank Goldman Sachs, the global AI server MLCC market is projected to grow at an average annual rate of approximately 34%, from USD 1.4 billion last year to USD 5.8 billion (approximately 7.8 trillion KRW) in 2030. In this rapidly expanding market, Samsung Electro-Mechanics is firmly maintaining its leading position with a global market share exceeding 40% for AI server MLCCs.

Currently, Samsung Electro-Mechanics has signed long-term supply agreements for MLCCs with more than 10 major global companies and is actively pursuing additional long-term supply deals through various negotiations with a number of global big tech companies.

A Samsung Electro-Mechanics official stated, "As rapid advancements are made in global AI technology, performance and reliability requirements for components are rising significantly," adding, "We will further strengthen cooperation with our global clients based on differentiated technological capabilities and a worldwide production system."

This content was produced with the assistance of AI translation services.