LG Electronics is strategically entering the semiconductor equipment sector, focusing on high-bandwidth memory (HBM) chips critical for AI applications. The company is developing a hybrid bonder, an advanced chip packaging device, through its Production Engineering Research Institute, with a target for commercialization by 2028. Despite previously losing its chipmaking arm during the 1997 Asian financial crisis, LG has continued investing in semiconductor R&D and recently partnered with Canadian AI chip design firm Tenstorrent. The renewed effort aligns with LG Group Chairman Koo Kwang-mo’s AI strategy, aiming to meet the growing demand for AI chips. Experts, including Professor Lee Jong-hwan, emphasize the market potential of HBM, a vital component in AI technology. With its expertise in mass production systems, LG is well-positioned to succeed in this evolving sector, leveraging its strengths in developing cutting-edge semiconductor tools.
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