Set up New Teams to Break Through a Slump
Samsung Electronics and SK Hynix have reorganized themselves to respond to a slump in the semiconductor industry. They are seeking to break through the complex global crisis, in which sales are declining due to an economic downturn and the war for supremacy between the United States and China is accelerating.
Samsung Electronics’ Device Solution (DS) Division recently established the Advanced Package Team. As a unit that researches packaging technology, the team plans to respond to the semiconductor back-end process market.
Packaging refers to the back-end process of cutting wafers after the previous process into semiconductor shapes or connecting wires. In an semiconductor ecosystem consisting of design, consignment production and a back-end process, the importance of the packaging field is on the uptick. Intel in the United States and TSMC in Taiwan are also actively investing in advanced packaging.
Samsung Electronics tapped Vice President Lee Gyu-yeol as general manager of TSP. The TSP general manager is a job that oversees the entire process from memory and system semiconductor package development to mass production, testing and product shipment.
The recent global semiconductor situation is not friendly with domestic companies. The United States has rolled up its sleeves to foster its own semiconductor industry through the so-called CHIPS for America Act. Several companies including TSMC have promised to invest in the United States in exchange for unprecedented tax benefits. China is also aiming to realize 70 percent self-sufficiency in semiconductors by 2030.
Samsung Electronics is determined to overcome this crisis through steady investment and technology development. On Dec. 5, Samsung Electronics promoted two highly talented engineers from the DS Division to presidents in a top executive reshuffle.
SK Hynix also recently reorganized itself. In order to respond to global uncertainties, it established a new global strategy unit under its Future Strategy Organization. The chipmaker explains that the unit plays a role in devising new strategies by monitoring policy changes in each country with a focus on semiconductors.
SK Hynix will also strengthen the management of global business sites. In order to respond to each production facility development and regional issues, a global operation TF was created under the direct control of the CEO. Cha Seon-yong in charge of the Future Technology Research Institute was appointed to take the helm of the TF. The chipmaker spilt the Overseas Sales and Marketing Division into the Overseas Sales Division and the Marketing Division in an effort to boost their specialties.
Meanwhile, market research firm Gartner predicted that global semiconductor sales would decrease by 3.6 percent to $596 billion in 2023 from this year.