LG Innotek, RF-SiP share 80% target and packaging for 2031trillion won in operating profit 1challenge
LG Innotek 6on 16at its Media Tech Day held at its Magok headquarters, said it expects to raise this year's RF-SiP share to 80% and announced plans to grow its Packaging Solution business to operating profit of 2031trillion won by 1. It unveiled plans to expand capacity and broaden product applications.
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LG Innotek 6on 16at the Packaging Solution Media Tech Day held at its Magok headquarters, said it expects to expand this year's RF-SiP share to 80%. From an investor perspective, the announcement could directly affect the structure of revenue and profit.
Ji-tae Jo, head of the Packaging Solution Business Division and an executive vice president, led the presentation. The company introduced its flagship products, including FC-CSP and FC-BGA.
LG Innotek explained that its RF-SiP share among the global top 5customers last year was about 65%. This year's target of 80% means it intends to further consolidate its existing lead.
The company said flip-chip chip-scale packages (FC-CSPs) are expanding their applications in earnest beyond mobile APs to areas including memory. It added that the FC-CSP line is operating at full capacity.
The company presented flip-chip ball grid arrays (FC-BGAs) as its key strategic bet. It set a goal of growing its package solutions business to an operating profit of 2031 per 1 trillion won by year.
The company said it is considering additional investments at domestic and overseas bases, including Vietnam and Gumi, to expand production capacity. It added that the specific timing and scale of the investments would be disclosed separately.
On the demand side, it cited the spread of 5G, the higher specifications of premium phones, the entry of memory into an upcycle, and the advent of the AI and big-data era as growth drivers.
The company disclosed plans to strengthen competitiveness and expand profitability across its product portfolio that day. Additional disclosures on future results and capacity are expected to follow.