Samsung Electro-Mechanics is expected to develop a flip chip ball grid array (FC-BGA) for Apple's next-generation PC processors. FC-BGA is a semiconductor substrate that connects the semiconductor chip to the main substrate. Samsung Electro-Mechanics will develop the product by this year, and expected to supply to Apple.
Samsung Electro-Mechanics is participating in Apple’s PC processor M2 development project developed by Apple according to the industry on the 20th.
It was reported that Samsung Electro-Mechanics supplied FC-BGA substrates to the M1 that was first unveiled in November 2020.
The M1 was the first chip Apple designed for the Mac PC, and it is an ARM-based system semiconductor (SoC) using a 5-nanometer process. Based on the ARM architecture, M1 is specialized for mobile, and performs with high efficiency and provide safety from heat.
Apple installed the M1 on the 4th generation MacBook Air, 5th generation Mac mini, 13-inch 5th generation MacBook Pro, and 5th generation iPad Pro. Apple is installing this year’s Mac series with M1 processors, and expanding the use of it.
Apple started developing the M2 immediately after introducing M1. It is developing at least nine Mac PCs equipped with the M2, the successor to the M1. It is expected that Apple will introduce the M2 processor in the first half of the year.
Samsung Electro-Mechanics participated in the Apple M2 development project because it received high scores from supplying the high-spec substrates for the M1 series. There is a handful of companies that can reliably supply FC-BGA to Apple. Despite Taiwan and Japan investing trillions in FC-BGA, Apple has a small number of companies, such as Japan's Ibiden and Taiwan's Unimicron, that supply FC-BGA. Unlike other substrates, FC-BGA requires an advanced technology that makes it difficult to enter the FC-BGA business.
LG Innotek recently entered the FC-BGA business, and it seems like LG Innotek will not participating in the Apple M2 project.
Samsung Electro-Mechanics has been expanding its high value-added substrate business in an aggressive manner. It is expanding investment and focusing on securing customers as a supply shortage is expected by 2027. Samsung Electro-Mechanics invested KRW 1.3 trillion in package substrate production facilities in its Vietnamese production subsidiary at the end of last year, and it invested additional KRW 300 billion in the FC-BGA substrate last month.
Samsung Electro-Mechanics is No.1 in the world in market share and technology in the semiconductor package substrate market for flagship mobile application processors (AP). An official from Samsung Electro-Mechanics said, "We cannot confirm our customer information."
By Staff Reporter So-ra Park srpark@etnews.com
