Alchedek E-Book

• Herausgeber: alchedek
• Kategorie: Fachliteratur
• Serie: Alchedek
• Sprache: Englisch

Seitenzahl: 293

Veröffentlichungsjahr: 2024

Beschreibung

‘alchedek’ is a compound word derived from ‘Alchemist’ in Paulo Coelho’s novel ‘The Alchemist’ and ‘Melchizedek’.

‘Melchizedek’ is the English notation of ‘Melchizedek’, the king of Salem in the novel, who advises the protagonist Santiago not to settle for what is given but to embark on an adventure to achieve his personal legend.

‘alchedek’ combines the two words ‘Alchemist’ and ‘Melchizedek’ to convey the meaning of ‘believing in dreams and embarking on an adventure to realize them without settling.’


‘Alchemist’ in the Middle Ages repeatedly experimented to turn lead into gold. Though it was a reckless challenge and naturally failed to turn lead into gold, it left the historical irony of laying the foundation for the development of modern chemistry.

‘alchedek’ is an English economic business magazine based in Korea. It aims to become a leading media outlet in the global economy and business industry by discovering promising companies worldwide and delivering their news.

As our first step, we stand before you with the name ‘alchedek’. ‘alchedek’ is both a dream and the reality of achieving that dream.

Leseprobe

CONTENTS

Cover Story

1

Jong-Hee Han

Vice Chairman,

Samsung Electronics

Samsung Electronics' sustainable efforts to establish a unique Korean identity that will lead the world in ‘Talent and Technology’

2

Deok-Hyun Jang

President and CEO of Samsung Electro-Mechanics

‘Samsung Electro-Mechanics’ leads the world with unrivaled ultra-gap technology from advanced electronic to mechanical parts, including components, modules, and substrates

3

LX Semicon

LX Semicon, a global fabless leader in innovative system semiconductor technology for a better future

4

Seung-Jae Ha

CEO of AIBIZ Co., Ltd.

AI-based manufacturing process diagnostic platform ‘DutchBoy’ that has dramatically improved industrial production efficiency and product quality

5

Dong-Myung Kim

President, LG Energy Solutions

LG Energy Solutions is creating a sustainable future by leading next-generation battery technology in the era of green energy

6

LOTTE ENERGY MATERIALS

From laying the foundation for manufacturing copper foil for domestic secondary battery to developing strategic next-generation battery materials... LOTTE ENERGY MATERIALS leads

the advanced materials industry

7

Jong-Hwan Park

Vice President and CEO of HD Hyundai Energy Solutions

The importance of energy transition amidst the climate crisis, and HD Hyundai Energy Solution's sustainable steps to lead the world's leading solar energy industry

8

Yong-Seok Kang

Chairman of the Korea Marine Environment Management Corporation (KOEM)

The nation's only specialized marine environment agency continues its efforts for a clean and healthy sea

9

Young-Yeon Park

Director of the National Institute of Meteorological Sciences

“We will lead the development of the meteorological and climate academia and industry in our country and advance towards becoming a world-leading research institution in the future”

10

Yoon-Ki Ahn

Director of the Metropolitan Air Quality Management Office

The air quality that determines the health and quality of life of residents in the metropolitan area, continuous efforts will be made to improve for a healthy and pleasant environment

11

Yoon-Ki Ahn

Managing Director, POSCO Research Institute

Sustainable super-gap competitiveness in the era of low-carbon economy, government, industry and finance must work together

12

Jae-Soo Bae

Director of the National Institute of Forest Science

Leading Carbon Negative with Forests and Science Technology, Actively Fulfilling the Role of a National Research Institute in Forestry and Creating Future Growth Engines through Proactive Research

13

Byung-Ki Kim

Director of K-water Research Institute

K-water Research Institute, a research institute specializing in water to enhance the competitiveness of the national water industry

14

Mu-Yeol Choi

President of the Korea Forestry Promotion Institute (KOFPI)

“On the path to a prosperous Korea through forests, we will take the lead in increasing the income of forestry workers and promoting the forestry industry”

15

Eun-Hae Chung

Director, GHG Information Center, Ministry of Environment

U.S. Climate Change Response Policy: Focusing on Greenhouse Gas Reduction Targets

16

Min-Sung Lee

CEO REVATION Co., Ltd.

Helping Transition to a Plastic-Free Society with One-Stop Eco-Friendly Package Solutions Optimized for Businesses

17

Korea Environmental Industry & Technology Institute (KEITI)

The Future of Environmental Technology to Overcome the Climate Crisis, KEITI

18

Jeung Hye Jang

CEO of EXCarbon Co., Ltd.

Leading the way in resource circulation through the ‘C-PCC’ technology that transforms industrial CO² into valuable resources, EXCarbon Co., Ltd.

19

Shin-Kyun Hyun

CEO of LG CNS

LG CNS' Strategy for Successful DX Transformation for IT Business Transformation across Industry Areas

20

Jin-Bae Hong

President of the Institute for Information

& Communications Technology Planning & Evaluation (IITP)

Leading Research and Corporate Support to Secure Global Technological Dominance in the Rapidly Changing Digital and ICT Technology Industry

21

Yoo-Chul Kim

head of LG AI Research's Strategic Division

LG AI Research takes the lead in securing ethical insights for the usefulness of life, AI technology that changes the world

22

Hee-Soo Cho

Chief of the Gyeonggi Regional Small

and Medium Venture Business Administration

“We are supporting the diversification of export destinations and the development of new markets for small and medium-sized enterprises”

23

Sukhwan Yoon

CEO of DCCENT Co., Ltd.

Elevating the Status of South Korea’s Webtoon Industry by Offering Fresh Content Experiences Based on Killer Content with Good Influence and Various Genres

24

Sunho Baek

CEO of Twigfarm Co., Ltd.

Presents a New Data-Centric AI Platform to Enhance the Value of Content Utilization with AI Technology

25

Dong-Il Song

CEO of Live Arena Inc.

Combining Advanced Technology and the Unique Charm of Korean Content to Challenge the Global Market with a New Genre, the ‘Musical Ice Show’

26

Jungwoo Hahn

CEO of ZETAFOODLAB Co., Ltd.

Innovation through Biosensor Technology and On-site Kits:

ZETAFOODLAB Establishes Itself as a Leader in Food Solutions

CONTENTS

alchedek

VOL. 01

OCTOBER 2024

Publisher

Sung-rae, Park

Editor-in-Chief

Yoon-sil, Nam

Associate Director

Yoon-hye, Kim

Keum-hyun, Park

Team Leader

Chae-young, Moon

Ji-yeon, Yoo

Planning Team Leader

So-yeon, Park

Writer

Min-yee, Kim

Journalist

Yeon-jin, Shin

Ye-jin, Kim

Mi-jin, Park

Design

Do-sung, Kim

Su-mI, KIm

https://www.alchedek.com/

[email protected]

82-2-2038-4470

Room 4233, 4th floor, NH Capital Building, 27-8,

Gukjegeumyoongro 8-gil, Yeongdeungpo-gu,

Seoul, Korea

ISBN 979-11-989266-0-9

Semiconductor

Cover Story

Jong-Hee HanVice Chairman, Samsung Electronics

Samsung Electronics' sustainable efforts

to establish a unique Korean identity

that will lead the world in ‘Talent and Technology’

Samsung Electronics, a company that symbolizes Korea's identity and a global market leader, is preparing for a new leap forward. The strategy is to solidify the share of existing businesses such as memory semiconductors, TVs, and smartphones, while fostering future businesses such as AI, 5G, bio, and battlefield (electronic equipment) components. In addition, the company is putting its weight behind Mercury as the No. 1 system semiconductor company and is busy developing related markets with robots as the next growth engine. Since 2021, Samsung Electronics has invested 240 trillion won in future new businesses including robotics and AI, and last year, it announced the launch of a healthcare wearable robot (tentatively named EX1) for seniors, speeding up its efforts to capture the healthcare market. The outlook for next year is also bright. Industry analysts expect Samsung's operating profit to reach KRW 33.3 trillion, up 360% from last year, thanks to its entry into the semiconductor bull cycle and a step-by-step entry into the high-bandwidth memory (HBM) market. In addition to the significant contribution of an increased share of HBM to improving D-RAM profitability, the company is expected to gain momentum in 2024 due to expanded production capacity and a possible entry into the HBM3 market. As a national company that has driven Korea's economic growth, Samsung Electronics will continue to fulfill its social responsibilities and take steps toward the next 100 years with Korea.

By Sung Rae Park

Delivering better experiences and value to users with products and services based on super-gap technologies

With a value system based on its management philosophy, core values, and management principles as its compass, Samsung Electronics is moving toward becoming a top global company that cares about people and society. The ultimate goal of Samsung Electronics is to contribute to human society by creating the best products and services based on talent and technology. The company's five core values of▲Talent First,▲Highest Orientation,▲Change Leading,▲Just Management, and▲Pursuit of Win-Win, along with its five management principles of▲Compliance with Laws and Ethics,▲Maintenance of a Clean Organizational Culture,▲Respect for Customers, Shareholders, and Employees,▲Environment, Safety, and Health, and▲Fulfillment of Social Responsibility as a Global Corporate Citizen, drive Samsung Electronics' continued growth and provide direction for the future. Samsung Electronics' business is divided into two segments, Device eXperience (DX) and Device Solutions (DS), each of which operates independently. The DX division was formed by integrating the existing CE division, which includes TVs, monitors, air conditioners,and refrigerators, and the IM division, which includes mobile phones, communication systems, and computers, while the DS division consists of memory, foundry, and system LSI businesses.

Samsung Electronics, which ranked No. 1 in the global market for flat-panel TVs and monitors in 2006 thanks to its superior technology and design, is consolidating its position as an absolute powerhouse. The Consumer Electronics Division continues to develop and expand its strategic products. Under the "Screen Everywhere" philosophy, where displays are utilized everywhere, Samsung Electronics has introduced new lifestyle TVs such as "The Frame," "The Serif," and "The Portrait," and is challenging for the 15th consecutive year to become the world's No. 1 in the TV market.

Digital signage has become one of the most sought-after media platforms, providing personalized information, content, education, sports, art, and more. Samsung's outdoor LED signage in St. Peter's Square in Vatican City, one of the world's most iconic locations, is a prime example. The four high-definition LED signs clearly communicate the course of events presided over by the Pope, creating a dramatic experience for all who visit the square. In March last year, Samsung Smart Signage was installed in the hotel lobby, spa, and outdoor pool at Atlantis The Royal, an ultra-luxury hotel and resort that opened in Dubai, Middle East. In addition, Samsung's wide range of display solutions, including The Wall, electronic blackboards, and interactive displays, led to the company's selection as the best overall IT solution provider at the 2023 EdTech Breakthrough Awards, which recognizes innovative edtech solutions. The market for signage, which has been steadily expanding its role in everyday life, is also growing rapidly. Business Insight, a global market research firm, predicts that the digital signage market will expand to KRW 48 trillion by 2026, with a compound annual growth rate (CAGR) of 7.8%. In addition, the digital home appliance business has also seen remarkable growth in the premium market due to innovative new product launches and differentiated designs. Samsung's vision of becoming a home and lifestyle creator has led to consumer-centered innovations to meet consumers' diverse lifestyles. In the Health & Medical Devices segment, we continue to innovate to provide products and solutions that enhance the diagnostic reliability of medical professionals.

The IT & Mobile Communications segment focuses on maximizing value and convenience for customers. The remarkable technology in the smartphone segment is evidenced by the sale of more than 400 million smartphones worldwide, and the equipment and solutions in the IT & Mobile Communications segment, which have contributed to the spread of 4G across the globe, are enriching the lives of customers. Samsung's digital imaging technologies contribute to the creation of new cultures by enabling people to capture special moments and instantly share memories anytime, anywhere. Samsung Electronics is committed to more meaningful innovation and building next-generation network infrastructure and solutions.

The Device Solutions division, which has expanded its market leadership in the memory business by demonstrating superior technology and dramatic cost savings, will focus on developing next-generation products for a better tomorrow. Driven by strong growth and cost leadership in AP and CIS sensors, our System LSI business is accelerating the introduction of next-generation products. In addition, we provide optimized foundry solutions for the success of our customers' products, including cutting-edge process technologies, proven IP and design service solutions. In addition, Samsung has established Samsung Research, a proactive research and development organization that prepares for the future for continuous research and development in the consumer electronics (CE) and IT and mobile communications (IM) sectors, and leads the development of future technologies for Samsung's products and services with more than 10,000 researchers working in overseas R&D centers and global AI centers. Samsung Research aims to not only create new value for Samsung's products and services, but also to discover new growth engines and secure advanced technologies for a better life for people.

Meanwhile, Samsung Electronics conducts all-round business with 232 ginseng production and sales centers, R&D centers, and design centers around the world as of the end of 2022. The company's global network is operated under 15 regional headquarters in North America, Southeast Asia, Europe, and Africa, including its headquarters in Korea. In June last year, the company opened the Samsung Network Innovation Center in Texas, USA, to serve as a business-to-business (B2B) hub for innovative network solutions such as virtual radio access networks (vRANs) and 5G private networks in the U.S., taking an active step toward expanding its North American market share. This is the first time a network equipment manufacturer has opened a dedicated B2B experience space. It will provide a new experience for B2B buyers in the U.S. market and serve as a stable customer base. The Samsung Network Innovation Center, an interactive collaboration space for customers and partners, provides use-case-based demonstrations and explanations of 5G network solutions and next-generation applications and services using vRAN, fixed wireless access (FWA), and 5G private networks for large, medium, and small US carriers, as well as a dedicated field test lab to support partner and customer collaboration, and digital twin augmented reality (AR) service experiences. In November last year, the company opened an Executive Briefing Center in Quito, Ecuador to provide B2B solutions. Created with local partner IDF to provide visitors with customized business solutions, the Executive Briefing Center offers individual consultations and experiences on a variety of products, including digital displays, air conditioners, and home appliances.

'ONE Samsung' drives Samsung's sustainable innovation and positioning as a globally recognized brand

At the 54th anniversary ceremony in November last year, Vice Chairman Han Jong-hee expressed his gratitude for the hard work of the employees by emphasizing the need to prioritize technology and quality, create the best customer experience and value, secure the foundation for sustainable growth by further strengthening future preparation, and practice sustainability management together. He also declared the principle that technology and quality are fundamental competitiveness that must be protected first and foremost, and emphasized that even as times change, technology leadership is Samsung Electronics' highest value and quality is a core competitiveness that cannot be compromised. He urged Samsung to always prioritize investments to secure technological superiority, and to reinvest the financial resources secured through technological gaps into R&D to build a virtuous cycle that strengthens the foundation for growth. To build Samsung's own virtuous cycle, it is important to work together under 'ONE Samsung'. He explained that Samsung needs to position itself as a company that leads the future lifestyle by connecting its various products and services to provide greater value. Han called on employees to work together as ONE Samsung across organizational boundaries to become a customer-centric company, and stressed the need to actively expand the discovery of new businesses that can drive future growth.

Samsung's innovations under ONE Samsung are translating into product sales and awards. At CES 2024, the world's largest electronics exhibition scheduled to be held in Las Vegas in January, Samsung Electronics won a total of 28 CES Innovation Awards, including three top innovation awards. The awards included 14 for video displays, five for mobiles, and eight for home appliances. The three Most Innovative Awards, which recognize the most innovative products or technologies in the industry, were awarded in the video display category, while the Innovation Awards went to gaming TVs and smart home services. In the Home Appliances category, Innovation Awards were given to AI-powered SmartThings Energy, Samsung Food, and the sustainability technology Microplastic Reduction Filter. In the Mobile category, two Innovation Awards were given to the Galaxy Z Fold5, which continues to strengthen its leadership in the foldable market with a more refined design and innovative form factor. In the semiconductor category, the Exnos Connect U100, an ultra-wideband (UWB) solution that provides high range accuracy and location information for mobile, automotive, and IoT devices, received an Innovation Award in the Embedded Technologies category. Samsung will showcase the CES Innovation Award winners at the Las Vegas Convention Center from January 9-12.

Meanwhile, market research firm OMDIA ranked Samsung Electronics as the No. 1 in the global TV market in the third quarter, with a 29.9 percent share in terms of revenue. This is up 2.4 percentage points from the same period last year. This is especially significant as the company expanded its lineup of premium products, including Neo QLED and lifestyle, ultra-large, and OLED, amid a year-on-year decline in global TV market demand. Our sales share in the $2,500+ premium product market reached 62.0%, and we also held the top spot in the 75+ ultra-large market with a 34.8% share. This marks the 18th consecutive year since 2006 that Samsung Electronics has been the industry leader in TVs.

Samsung Electronics' brand value has also been growing and has been ranked among the world's top five brands for four consecutive years. Samsung first entered the top 10 global brands in 2012 and remained in the top 10 for 12 consecutive years until last year. This year, Samsung Electronics' brand value was valued at $91.4 billion, representing a 4% year-on-year growth. Despite the weakness in the global IT industry, the brand value of all business divisions, including mobile phones, TVs, home appliances, networks, and semiconductors, increased evenly. To enhance synergies between products and provide customers with a higher level of experience, Samsung Electronics operates the D2C Center, which provides integrated online and offline experiences, and the CX-MDE Center, which is responsible for enhancing multi-device connectivity experiences, under the Global Marketing Office. In addition, 'Smart Sense', which provides an integrated connection experience, provides customers with a wide range of connection experiences through open partnerships that can connect not only its own products but also various external devices. It provides optimized gaming experience to customers by promoting partnerships with major companies in various product lines such as mobile, TV, PC, and monitor. In addition, we continue to invest in leading future technologies such as 5G-6G, AI, and battlefield, and focus on ESG management. Furthermore, the company plans to establish itself as a brand loved by customers through differentiated connection experiences, future technology leadership, and various activities to enhance sustainability.

Expect unexpected innovations from 'New Samsung' with a 'two-track' strategy of stability and renewal

Samsung Electronics' choice for 2024 is stability over change. Last year, the company established the Future Business Planning Group to identify new mid- to long-term businesses, and the plan is to solidify the company's inner workings and expand its stable infrastructure. Mr. Han is currently Vice Chairman of the CEO of Samsung Electronics and Head of the Device eXperience (DX) Division, which includes video displays, digital home appliances, and mobile. He is known as a TV expert who has been involved in the development of most of Samsung's TVs, leading the company to the No. 1 global TV market share for 16 consecutive years.

In his new role, Mr. Han will focus on building global partnerships to respond to the risks posed by the era of multipolarization and the DX business, as well as discovering new growth engines in new technologies such as robots. Samsung Electronics has been accelerating its robotics business, including upgrading its Robotics Commercialization TF to a robotics business team at the end of 2021 and acquiring a stake in Rainbow Robotics last year. In May 2022, the company announced a plan to invest KRW 450 trillion over the next five years, aiming to strengthen its competitiveness through "super-gap innovation" in new growth IT fields such as artificial intelligence (AI) and next-generation communications (6G), which will determine future industrial competitiveness. Vice Chairman Han also revealed that the company is examining various fields that can become new growth engines, such as AI, 5G, and battlefields.

Samsung Electronics, which has been leading the way in practicing ESG management with the management principle of fulfilling social responsibility as a global corporate citizen, was the first Korean company to receive the best rating in the '2022 Shared Growth Index Assessment' for 12 consecutive years. Under the core value of 'Pursuit of Win-Win and Fair Management', Samsung Electronics has been conducting various win-win cooperation activities and expanding the horizon of win-win cooperation by supporting not only primary suppliers but also secondary and tertiary suppliers and even untraded SMEs. In 2005, Samsung Electronics became the first domestic company to pay its suppliers in cash, leading to an improvement in the payment culture of domestic companies. Since 2010, Samsung Electronics has established a KRW 1.4 trillion win-win fund to provide low-interest loans to suppliers for technology development and facility investment, as well as the Win-Win Cooperation Academy Consulting Center, which consists of experts in manufacturing, quality, development, and purchasing, to discover and improve problems of suppliers such as low productivity and defects, and to support factory operation optimization and manufacturing and quality innovation.

The customized smart factory construction support project aimed at manufacturing innovation for poor SMEs began in 2015, and since 2018, the support has been expanded to all small and medium-sized enterprises that need support regardless of whether they do business with Samsung Electronics through cooperation with the Korea Federation of Small and Medium Enterprises. To date, more than 3,000 SMEs nationwide have been supported to build smart factories. Samsung Electronics has deployed more than 200 experts with decades of manufacturing and quality know-how to provide comprehensive support for innovation, human resource development, and post-management at manufacturing sites. Since last year, the company has been focusing on upgrading SME manufacturing sites to intelligent factories by utilizing artificial intelligence (AI) and data technology. The plan is to select SMEs in depopulated areas as priority targets for support, and to promote the 'Smart Factory 3.0' project to enhance the sustainability (ESG) competitiveness of SMEs by forming a dedicated organization.

The company is also making efforts to realize its environmental vision, 'Everyday Sustainability'. Since announcing the 'New Environmental Management Strategy' in September 2022, Samsung Electronics has been developing technologies and products that can contribute to the preservation of the global environment, as well as conducting various activities with employees. The 'New Environmental Management Strategy' states that the DX division will be the first to achieve carbon neutrality by overcoming the climate crisis and building a circular economy, and the entire company, including the DS division, will achieve carbon neutrality by 2050. Consumers can naturally participate in the eco-friendly campaign just by using Samsung's products with eco-friendly technologies, such as smartphones made of recycled materials from discarded fishing nets, solar cell remotes that can be recharged with daily lighting, and filters that reduce microplastics.

As such, Samsung Electronics pursues sustainability in the entire life cycle of its products, from design and development to production, consumption, recovery, and recycling. The DX division, which aims to transition to renewable energy at home and abroad by 2027, achieved 100% renewable energy use in 2022 at all domestic plants and at plants in Vietnam, India, and Brazil. We also develop special materials and energy-efficient solutions for the environment, and collect and recycle waste from around the world. The DS Division reduces greenhouse gas emissions from the manufacturing process of semiconductors such as memory, image sensors, and driving ICs, and improves the efficiency of semiconductor products to lower the power consumption of IT devices such as smartphones and laptops and data centers. In addition, we improve accessibility for everyone and provide upgrades that support the latest user experience for years to come. At the end of a product's life, we also focus on improving the design and production of products so that they can be recycled back into the resources needed to make new products. Our efforts toward our goal of reducing water pollutants at our sites to "natural" levels by 2040 have earned us the highest rating of "Platinum" from the Alliance for Water Stewardship (AWS).

Social contribution activities to spread sharing in everyday life also continue. During the two-week Sharing Week, which was held in conjunction with the 2023 Second Half Sharing Day event in November last year, 110,000 Samsung employees joined forces to conduct blood donation campaigns, including face-to-face volunteering for local communities near their workplaces, as well as everyday donations through sharing kiosks. Samsung also announced the launch of a new CSR program with its affiliates to work with the socially vulnerable, including multicultural youth and the elderly. Cheil Industries will run the 'Samsung Multicultural Youth Sports Class' to boost the confidence and social skills of multicultural youth, while S.O.P. will run the 'Samsung Senior Digital Academy' to help the elderly, who face difficulties in their daily lives due to the digital information gap, prevent fraud and find employment. Samsung Electronics said that it will provide active support for the project, focusing on win-win cooperation, as the theme was selected through suggestions from employees under the vision of a company that grows together with society.

As a role model for corporate social contribution, Samsung Electronics, which is helping to lay the foundation for national economic growth, is continuing its efforts to become a top global company, including the development of new businesses to secure global competitiveness in the future. We look forward to the unexpected and amazing innovations that Samsung Electronics, which has been breaking down the barriers between products, organically connecting all devices, and providing customers with smart device experiences, will present as it leaps forward to become a company that turns customer imagination into experiences and leads new lifestyles.

Semiconductor

Deok-Hyun JangPresident and CEO of Samsung Electro-Mechanics

‘Samsung Electro-Mechanics’ leads the world

with unrivaled ultra-gap technology from

advanced electronic to mechanical parts,

including components, modules, and substrates.

The global electronics industry market is expected to reach $570.9 billion by 2026, growing at a CAGR of 4.80%, according to a Market Study Report. As the world rushes toward the end of the spending tunnel caused by inflation and rising interest rates, the electronics industry is expected to enter a modest recovery. Artificial intelligence is leading the rebound. The on-device AI ecosystem, which utilizes AI functions built into the device without going through a server, is expanding, especially in the Android camp. The MLCC (multilayer ceramic capacitor) industry, which is a power control device that helps drive high-performance AI semiconductors, is also expected to benefit. Faced with the momentum of on-device AI, Samsung Electro-Mechanics is expected to rebound in both its mobile and electronics businesses. Samsung Electro-Mechanics, a global manufacturer of advanced electronic components and mechanical parts, has grown into a global company that develops and produces core electronic components since its founding in 1973. Its core technologies in materials, multilayer thin-film molding, and high-frequency circuit design are creating synergies across its businesses, and it is expanding its business portfolio by upgrading its technologies and products to keep pace with the expansion of industries related to electronics and AI computing. We follow the steps of Samsung Electro-Mechanics as it invests in future markets such as robotics, aerospace, and next-generation energy beyond automobiles and servers, develops new products, and provides valuable experiences to all with the best components and unique solutions.

By Min Yee Kim

Samsung Electro-Mechanics, a leader in the localization

of South Korea's electronics industry, emerges as a 'first-class tech component company' hat provides a valuable experience for everyone

The history of Samsung Electro-Mechanics parallels the history of localization in the electronics industry. Founded in the early 1970s to overcome Korea's harsh electronics industry environment, which relied entirely on imports for small to core components, Samsung Electro-Mechanics laid the foundation for the technological independence of the Korean parts industry based on the production of audio and video components. In 1973, Samsung Electro-Mechanics overcame obstacles such as inadequate technology and a shortage of skilled workers to produce 5,000 tuners in less than a month of operation, marking its first export as an OEM to Taiwan's Sanyo, and by 1975, the company was producing more than 1 million tuners.

With a solid foundation for growth, Samsung Electro-Mechanics launched a five-year management plan with the goal of becoming a world-class comprehensive parts maker, after Chairman Lee Byung-chul expressed his intention to foster the parts business, and the company quickly rose to the ranks of Korea's top 100 companies. In addition to diversifying into materials and computer components in the 1880s, the company became the first company in the general electronic components industry to be awarded the '100 million dollar export tower' in 1985, followed by the 'Precision Industry Promotion Tower' in December of the same year. In 1986, the company succeeded in mass-producing MLCC, a high-value-added high-tech component. This paved the way for thinner, smaller, faster, and more prolific production of electronic devices.

In 1993, Chairman Lee Kun-hee declared "quality-oriented management," and Samsung Electro-Mechanics implemented new management activities in line with the new management direction and the characteristics of the component business. The company began to make its presence felt on the global stage by focusing on the development of promising new products such as chip components, mobile communication components, and optical components, as well as acquiring materials and core technologies to move away from the component assembly business and into the material components business. Samsung Electro-Mechanics established production bases in China, Southeast Asia, and Europe, laying the foundation for its internationalization strategy. Today, Samsung Electro-Mechanics operates production subsidiaries, sales subsidiaries, and sales offices in five regions: the U.S., Europe, Japan, China, and Southeast Asia, and has established a global network of production subsidiaries in three countries, China, the Philippines, and Vietnam. As a result, Samsung Electro-Mechanics' products, which guarantee the highest quality, can be found anywhere in the world, and 65% of sales are currently generated overseas. In Korea, Samsung Electro-Mechanics operates the Suwon Plant, which is responsible for R&D, marketing, and support, and the Busan and Sejong plants, which are the main production bases in Korea, focusing on high-value-added products such as next-generation semiconductor package boards and MLCCs.

In the 2000s, when the digital era opened, the company declared a 'New Vision' and focused on deepening the development of three strategic technologies, including materials, high frequency, and optics, and creating business synergies. The main goal was to transform the product structure into eight major products, including substrates, chip components, digital tuners, network modules, mobile RF, camera modules, light semiconductors (LEDs), and optical modules. In particular, three small-sized and high-capacity models that were developed in advance of the emergence of smartphones made Samsung Electro-Mechanics' name known in the global market, and Samsung Electro-Mechanics' MLCCs leaped to the second place in the world. The company continued to actively develop new technologies such as substrates for semiconductors and displays, using market inflection points as a springboard for growth.

In the 2010s, when the era of the 4th Industrial Revolution, which included 5G mobile communications, AI, and autonomous vehicles, began, the company expanded its business scope and diversified its product portfolio to make its core products first-class. Leading the market innovation with differentiated products such as MLCCs and camera modules for automobiles, 3-terminal MLCCs and power inductors for 5G smartphones, Samsung Electro-Mechanics is providing valuable experiences to all with the best components and unique solutions. In particular, it has presented a new paradigm for semiconductor package substrates by introducing a new platform that integrates all systems, starting with the next-generation semiconductor package substrate SoS (System on Substrate), which applies a technology that improves semiconductor performance by placing multiple semiconductor chips on a single substrate and connecting them with fine rewiring technology. At the same time, Samsung Electro-Mechanics is building a history as a top growth company that everyone wants to work with, centered on its core values of ▲ Respect all, ▲ Integrity first, ▲ Growth mind, ▲ Harmony with, ▲ Technology for Great, ▲ Challenge.

Delivering valuable experiences for all with the best components and unique solutions

Samsung Electro-Mechanics is focusing on advancing components to foster world-class businesses in chip components, substrates, camera modules, and communication modules. In the component field, which is the business of passive chip components essential for various electronic devices, optical communication solutions centered on camera modules and communication modules, and package solutions for the production of semiconductor package plates, Samsung Electro-Mechanics is challenging itself to upgrade components for new form factors such as ▲ ultra-high speed, ▲ ultra-small and ultra-thin, ▲ high reliability (high temperature and pressure), ▲ ultra-high capacity, and ▲ high performance.

The Components Business is a business of passive chip components that are essential for various electronic devices. Major products include MLCC, Inductor, Chip Resistor, Tantalum, etc. which are essential electronic components used in smart IT and home appliances, industrial, battlefield, medical devices, etc. MLCC, which is becoming increasingly important in the 5G era and with the development of electronic devices and autonomous vehicles, is a component that acts as a "dam" that stores electricity and releases a certain amount. It plays an important role in regulating the constant flow of current in the circuit and preventing electromagnetic interference between components, but it is also a field that requires high technical skills to accumulate electricity by stacking as many layers as thinly as possible inside a thickness of 0.3 mm, which is 250th of a grain of rice. Samsung Electro-Mechanics, which boasts the technology to produce high-capacity MLCCs with up to 600 layers, is leading the market trend by developing ultra-small, ultra-high capacity, reliable, and high-quality products.

Power Inductor, which is called the 'second MLCC', is a component applied to power supplies and circuits, where magnetic materials prevent rapidly changing currents in the circuit and allow a constant current to flow inside the electronic circuit. There are metal composite and ferrite types, and they are made to maintain inductance and have low resistance when current is applied. Chip resistors play a role in reducing the voltage or keeping the current constant inside an electronic circuit by utilizing the property that direct current limits alternating current. Resistors basically follow the Ohm's law, and materials with high electrical conductivity and low conductivity are used together to realize the required resistance value. Samsung Electro-Mechanics has a lineup of general resistors, array resistors, ultra-low resistors, yellowing-resistant products, high-power products, and eco-friendly products. Tantalum, which is widely used in electronic devices, is a common type of capacitor that charges/discharges electricity and eliminates noise. In particular, it is characterized by being eco-friendly as it does not use RoHS-regulated materials and has high stability to voltage and temperature changes. In addition, it has the advantage of being designed in the form of a chip and can be applied to surface-mounted devices.

Optical communication solutions, an application business based on the convergence of new passive devices and materials, is a technology-intensive industry that is becoming more prominent as digital control and S/W technologies are becoming more important. It consists of camera modules and communication modules utilized in smartphones, mobile devices, automobiles, and smart home appliances, and provides various modules and solutions such as world-class cameras and wireless communications by combining material capabilities based on optical lens design, circuit design, packaging, and S/W technologies. In particular, it is the only company that possesses all the core technologies for designing and manufacturing world-class camera modules and produces camera modules for mobile and automobiles.

The main products of the Package Solution Business are semiconductor package substrates. Semiconductor package boards, which consist of circuit-connected components that electrically connect and mechanically support semiconductors and electronic components, are fundamental to all industries, from IT and home electronics to automobiles, aircraft, and ships. Based on its accumulated product technologies, stable supply capabilities, and close partnerships with customers, Samsung Electro-Mechanics is focusing on strengthening its R&D capabilities for high-functionality and lightweight miniaturization of IT devices by promoting ultra-thin, high-density, high-stratification, and line-width miniaturization. In particular, high-density circuit boards, which have much finer circuits than regular boards, reduce assembly defects and costs associated with attaching expensive semiconductors directly to the main board. Samsung Electro-Mechanics's semiconductor package boards for high-end mobile APs are the world's No. 1 in terms of market share and technology.

Samsung Electro-Mechanics widens the gap by internalizing facilities and