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Appeared on: Monday, July 27, 2009
Samsung, LG To Jointly Develop Chips For Mobiles, TVs

The S. Korean gonverment will fund the domestic development of digital TV receiver chips and wireless connectivity system-on-chip (SoC) used in mobile phones and TVs, saving 300 billion won in imports.

The plan will bring Samsung Electronics and LG Electronics at the same side for the first time, working together in the development of global digital TV receiver chips. LG is expected to work with Samsung's foundry to make chips for its popular digital TV models.

SK Telecom, the country's largest mobile carrier, will also work with other local companies to make semiconductors for hightech digital appliances that can replace imports, the S. Korean government said Monday, as it was rteported by the Yonhap News agency. SK aims to create a wireless connectivity system-on-chip (SoC) for smart phones with chip designing company Xronet.

The S. Korean government plans to provide 6.8 billion won (US$5.4 million) for the project in the next year, while the private sector pledged to inject 6.5 billion won. The plan could help S. Korea save 300 billion won in imports and be able to ship out 300 billion worth products overseas three years after the product is made, according to the S. Korean gonverment.

For smart phone SoCs, the ministry in charge of the country's industrial policies said it will provide 2.8 billion won in state funding to help local development. If a domestic SoCs can be made, it is expected to replace imports of WiFi and GPS semiconductors that top 800 billion won annually.


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