The Ministry of SMEs and Startups and Samsung Electronics held a fabless contest in Seoul on July 27. A total of 21 fabless companies joined the contest and the ministry and Samsung Electronics selected five to assist in their prototype production and new product testing.Specifically, the five compa
China is increasing its pressure on South Korea not to join the U.S.-Japan-Taiwan alliance in the semiconductor industry.According to experts, this pressure has to do with memory chips. “China is aiming to reduce its external dependence to 30 percent by 2025 and this goal cannot be met without Samsu
The South Korean government announced on July 21 that it would increase tax incentives related to R&D and facility investment in the semiconductor industry so that companies in the sector can invest at least 340 trillion won by 2026.In addition, it is planning to open a semiconductor engineer traini
Samsung Securities said in its recent report that Samsung Electronics needs to diversify its foundry business portfolio in the non-memory chip sector with its DRAM sales having decreased for the second consecutive quarter.“Macroeconomic conditions are deteriorating and Samsung Electronics’ DRAM capa
The authors are analysts of Shinhan Investment Corp. They can be reached at snowKH@shinhan.com and wonyong.sim@shinhan.com, respectively. -- Ed. Bright growth outlook for 2H22TSE is expected to have generated operating profit of KRW23.9bn (+17% YoY) for 2Q22, continuing on a growth track after hitti
The authors are analysts of Shinhan Investment Corp. They can be reached at ym.ko@shinhan.com and doyeon@shinhan.com, respectively. -- Ed. Equipment stock performance and market conditionsShort-term correction triggered by worries over slowing demandShare prices of IT equipment suppliers dropped sig
U.S. news outlets reported on June 2 that Samsung Electronics and Intel may attempt to take over ARM together. Samsung Electronics vice chairman Lee Jae-yong and Intel CEO Pat Gelsinger had a meeting on May 30 and, according to the outlets, it is highly likely that joint investment in ARM was discus
The authors are analysts of Shinhan Investment Corp. They can be reached at snowKH@shinhan.com and wonyong.sim@shinhan.com, respectively. -- Ed. 1Q22 operating profit comes in at KRW17bn (+59% YoY)LB Semicon registered operating profit of KRW17bn (+59% YoY) on sales of KRW132.7bn (+17% YoY) for 1Q22
Samsung Electronics vice chairman Lee Jae-yong is expected to attend the Allen & Company Sun Valley Conference scheduled for July. He is expected to attend the conference for the first time in six years and visit the United States for the first time since November last year.According to industry sou
The author is an analyst of KB Securities. He can be reached at jeff.kim@kbfg.com. -- Ed. Semiconductors: A key strategic asset for the economy We maintain BUY and 12m TP of KRW85,000 for Samsung Electronics. We believe the visit to the company’s semiconductor factory in Pyeongtaek by U.S. President
The authors are analysts of Shinhan Investment Corp. They can be reached at doyeon@shinhan.com and hyon@shinhan.com, respectively. – Ed. Record-breaking earnings streak to continue into 2Q22DB HiTek generated operating profit of KRW181.5bn (+31.4% QoQ) on sales of KRW395bn (+7.4% QoQ) in 1Q22, once
The authors are analysts of Shinhan Investment Corp. They can be reached at snowKH@shinhan.com and wonyong.sim@shinhan.com, respectively. -- Ed. Solid performance regardless of the semiconductor market cycleWonik QnC, the bellwether for IT materials, parts, and equipment stocks, is on a structural g
LX Semicon, a semiconductor design arm of LX Group, announced on May 17 that it would secure a 10.93 percent stake in Telechips, a company specializing in automotive semiconductor design, for 26.8 billion won. LX Semicon will become the second-largest shareholder after Lee Jang-kyu, CEO of Telechips
The authors are analysts of Shinhan Investment Corp. They can be reached at snowKH@shinhan.com and wonyong.sim@shinhan.com, respectively. -- Ed. 1Q22 operating profit jumps 42% YoY to KRW22.2bnTSE recorded an all-time high operating profit of KRW22.2bn (+42% YoY) on sales of KRW80.9bn (+31% YoY) for
The Ministry of Trade, Industry and Energy announced on May 12 that exports from the ICT sector of South Korea totaled US$19.94 billion in April this year.“It is the highest April figure in history, and the monthly imports and trade surplus are US$12.13 billion and US$7.81 billion, respectively,” it
The Korea Institute for Industrial Economics and Trade (KIET) said in its report on May 1 that the global semiconductor supply chain is likely to be reshaped in 2025, and then it will be difficult for South Korea to maintain its ambiguous neutrality between the United States and China.“This means So
Market research firm TrendForce said on April 26 that TSMC’s share in the global foundry market is expected to increase to 56 percent this year, whereas that of Samsung Electronics is likely to fall from 18 percent to 16 percent. According to the firm, the global foundry market is expected to grow 2
The Presidential Transition Committee said that the new South Korean government is planning to come up with a 6G communications prototype in 2026 with the technology expected to be commercialized between 2028 and 2030.“When it comes to future economic growth drivers, the current government is focusi
The Federation of Korean Industries said in its report on April 25 that South Korean semiconductor companies’ share in the Chinese market, the largest semiconductor market in the world, has fallen since 2019, when the United States began to restrict semiconductor supply to China.“China began to incr
The IMF recently said that Taiwan’s GDP per capita is expected to increase at least 6 percent to over US$36,000 this year and that of South Korea is estimated to edge up US$190 to US$34,990. South Korea surpassed Taiwan for the first time in 2003 and then the gap continued to widen. However, it has