Samsung is planning splashing cash on expanding its presence in Kunshan, China.
According to a report by Xinhua news, the company will spend around $1.7 billion at the plant in east China’s Jiangsu Province over the next five years.
Samsung can afford it. Last week the company announced that in the final quarter of 2012, it hit £4.1 billion in net profit.
The cash injection is in addition to the estimated $81 million, which the company threw at the plant during 2008, when it was initially set up, through to the end of 2012.
The new investment is said to focus on gaining new business in the competitive smartphone area as well as help Samsung build on its chip business. The company will use the money to build workshops, purchase equipment and set up research institutes within the plant.
Samsung is already busy building a $7 billion chip factory in Xi’an, northwestern China.