SEOUL — Samsung Electro-Mechanics is strengthening its position in the rapidly expanding AI infrastructure market after securing a 290 billion won ($210 million) supply contract for multilayer ceramic capacitors (MLCCs) used in AI servers.
The one-year agreement, running from Jan. 1 through Dec. 31, 2027, was signed with a major global company whose identity has not been disclosed because of a confidentiality agreement.
The latest deal is Samsung Electro-Mechanics’ sixth major long-term supply agreement announced this year. Including contracts for silicon capacitors, MLCCs and inductors, the company’s disclosed long-term deals since May have reached approximately 3.9 trillion won.
Why AI Servers Need More MLCCs
MLCCs are critical electronic components that help regulate electrical current and reduce interference inside electronic circuits. AI servers place particularly demanding requirements on these components because they operate under heavy loads and high-temperature and high-voltage conditions.
AI servers can also require more than 10 times the number of MLCCs used in conventional servers, with as many as 600,000 units potentially installed in a single server rack, according to Korean industry coverage.
That growing component demand is being driven by the rapid expansion of AI data centers worldwide.
Samsung Electro-Mechanics says it holds a more than 40% share of the global AI-server MLCC market, while Goldman Sachs estimates the market could expand from about $1.4 billion in 2025 to $5.8 billion by 2030, representing average annual growth of roughly 34%.
A Bigger AI Strategy Is Taking Shape
The new order follows a series of major contracts secured throughout 2026, including a record 1.0722 trillion won AI-server MLCC agreement announced in September. The company has signed long-term agreements with more than 10 global customers and is continuing discussions for additional contracts.
Samsung Electro-Mechanics is also expanding production capacity to meet rising demand for advanced electronic components, including investments at facilities in South Korea and Vietnam.
The momentum reflects a broader shift in the electronics industry: the AI boom is creating enormous demand not only for processors and memory chips, but also for the less visible components needed to keep powerful computing systems operating reliably.
For Samsung Electro-Mechanics, those components are becoming an increasingly important part of its growth strategy.
And with AI data-center investment continuing to accelerate, this $210 million contract could be just another step in a much larger component boom.
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