SiC, GaN Semiconductors Used in EVs, Solar Power Generation
The author is an analyst of NH Investment & Securities. He can be reached at hwdoh@nhqv.com. -- Ed.
Korea’s MOTIE has announced plans to increase investment support for domestic SiC and GaN businesses. In addition, SK Group has recently strengthened its investment in compound semiconductors. We expect the SiC and GaN markets to see accelerating growth moving ahead on a combination of corporate and government investment.
MOTIE to invest in support for SiC and GaN businesses
The silicon carbide (SiC) and gallium nitrite (GaN)) semiconductor markets are to see accelerating growth moving ahead. On Feb 1, the Ministry of Trade, Industry, and Energy (MOTIE) announced that it will boost support for R&D and infrastructure expansion to pre-emptively occupy the global SiC and GaN markets from 2021.
Meanwhile, domestic firms are also jumping into a range of related investments. On Jan 28, SK Group invested W26.8bn in Yes Power Technix, a subsidiary of YEST. Established in 2017, Yes Power Technix researches and develops SiC devices and boasts SiC wafer production capacity of 14,000 sheets/year at its 100mm and 150mm lines. In addition, SK Group’s SK Siltron has recently acquired DuPont’s SiC wafer business.
SiC, GaN semiconductors used in EVs and solar power generation
With band gaps of more than 3x those of conventional Si semiconductors, SiC and GaN semiconductors can withstand 10x the voltage of traditional semiconductors per unit area. For reference, GaN and SiC band gaps stand at 3.4 eV and 3.2 eV, respectively, far above the 1.1 eV of the currently-used Si.
Advances in SiC/GaN technology are allowing smaller, more energy-efficient chips and higher rates of current. Going forward, SiC adoption is expected to accelerate in DC-DC conversion and on-board charging, power factor correction in industrial applications, and solar power inverters. Among SiC-related plays, we highlight domestic RFHIC, Metal Life, Silicon Works, and YEST, and overseas Cree, Veeco, STMicroelectronics, and Rohm.