LG Electronics plans to directly develop and produce automotive semiconductor MCUs-EEWORLD

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CINNO Research Industry News, LG Electronics will manufacture its own automotive semiconductors to internalize the semiconductor supply chain in order to cope with the automotive market where production is hampered by insufficient semiconductor supply. LG Electronics has recently invested in the development of automotive microcontroller units (MCUs). This is the first time that LG Electronics has developed automotive semiconductors. It is reported that the overall development is in the charge of the SIC Center within the CTO department.

According to Korean media ETNews, LG Electronics is reportedly in contact with semiconductor design companies to build its own MCU. Industry analysts believe that this is an attempt by LG Electronics to internalize MCU. LG Electronics' CTO department is currently recruiting semiconductor professionals such as digital logic design and SoC. These are all MCU-related fields, paving the way for cultivating its own semiconductor capabilities. It is expected that its own MCU products will be produced in one or two years at the earliest. MCU is a dedicated processor that controls a specific system and plays the role of the brain of various electronic products and devices. MCU is also used when controlling various electrical components inside a car.

LG Electronics has started developing automotive MCUs to ensure a stable MCU supply chain. LG Electronics is advancing its automotive parts business through the VS Business Headquarters, LG Magna e-Powertrain and ZKW. In order to cope with the impact of insufficient MCU supply on the electrical parts business, it plans to independently develop MCUs.

An LG Electronics official said on November 30, “We are indeed studying the internalization of automotive semiconductors, but we have not yet finalized a detailed plan.”

According to Omdia's forecast, the automotive semiconductor market size will increase from US$45 billion in 2021 to US$67.6 billion in 2026, with a compound annual growth rate of 7%.

Reference address：LG Electronics plans to directly develop and produce automotive semiconductor MCUs

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