UPDATED. 2024-06-21 07:30 (금)
LG Innotek likely to announce additional spending in FC-BGA in 2023
LG Innotek likely to announce additional spending in FC-BGA in 2023
  • Gijong Lee
  • 승인 2022.09.27 17:47
  • 댓글 0
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Shortage of boards, no customer reasons for conservative outlook
Image: LG Innotek
Image: LG Innotek

LG Innotek is likely to announce additional spending plans for its flip chip (FC)-ball grid array (BGA) next year, TheElec has learned.

The South Korean component maker announced a 413 billion won spending plan in February this year for the business that will last until April 2024.

LG Innotek had said at the time of the announcement that it will continue spending on the sector step by step going forward.

It said it would grow FC-BGA into its growth engine and offer the boards for use in mobile, server, PC, telecommunication, network, TV and automobile.

There was speculation from this that the company would announce additional spending on FC-BGA within the year before year’s end.

This is because 413 billion won was considered insufficient to compete with rival Samsung Electro-Mechanics which had announced it would spend 1 trillion won in the sector in December 2021.

This has increased to a total of 1.9 trillion won as the company announced additional spending plans since then.

LG Innotek still lacks a steady customer and there is a shortage FC-BGA, which means the company doesn’t need to hurriedly expand its capacity.

Large customers such as Intel had been forming joint ventures with key suppliers to secure enough supply of the boards.

LG Innotek is expected to begin FC-BGA production for the first time next year.

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