Daeduck Electronics will develop flip-chip-ball grid arrays (FC-BGA) specialized for high-performance computing (HPC). FC-BGA substrates are semiconductors that connect the semiconductor chip to the main substrate. Daeduck Electronics is fostering FC-BGAs, whose demand is rapidly increasing, as a future growth engine for the company. Daeduck Electronics is developing FC-BGA substrates for HPC alongside Amkor Technology Korea, a global semiconductor packaging company, with the goal of mass production in 2023.
FC-BGAs, developed by Daeduck Electronics, is a board that is applied to 2.5D by integrating several input/output (I/O) terminals. 2.5D is a technology that increases the transmission speed and reduces area by arranging several individual semiconductor chips flat on a substrate. Daeduck Electronics has secured the production capacity for large substrates with more than 20 layers and a width of 100mm × 100mm or more.
Market prospects are also bright. Recently, the non-memory semiconductor market, such as autonomous driving, servers, and data centers, has grown rapidly based on artificial intelligence (AI) technology. High-performance semiconductor substrates are expected to be in tight supply until 2027. Daeduck Electronics entered the FC-BGA market for the first time in 2020 and made large-scale facility investments in March and December of last year, and April of this year. The cumulative investment in facilities amounts to KRW 540 billion.
Sales are soaring as well. Daeduck Electronics recorded KRW 1.92 trillion in consolidated sales and KRW 71.86713 billion in operating profit last year. Sales increased by 61.3% and operating profit by 2580% compared to the previous year. FC-BGA sales started in September 2020 last year. They expect to surpass last year's performance.
Daeduck Electronics is reorganizing its business structure around FC-BGAs. It will reduce their proportion of low value-added products, such as flexible printed circuit boards (FPCB) and high multi-layered printed circuit board (MLB) business, and focus on high value-added substrates. By the end of 2024, it plans to build a production capacity of more than KRW 700 billion in annual sales in FC-BGAs. Sales of the FC-BGA business this year are expected to exceed KRW 200 billion.
[Table] Daeduck Electronics' FC-BGA Investment History
By Staff Reporter So-ra Park srpark@etnews.com