LG Electronics is furiously entering the advanced semiconductor packaging equipment market amid rising demand for AI footprint in the development space. LG intends to naturally avail production of AI semiconductors, related process equipment, and high-bandwidth memory (HBM) in South Koreas local market. This initiative is intended to extend the businesss presence. LG Electronics has been proving for decades, and now, with its new AI approach to equipment development, the company has come a long way through its consistent initiative in advanced packaging. Advancements in HBM and glass-substrate equipment will drive and accelerate the advanced packaging market. With this decision, LG is fixing its position in the long-term competitive AI sector, where most markets are thriving and seeking opportunities and profit.
Recently, the director of the Advanced Equipment Research Institute at LG Production Research Institute (LG PRI), Park Myung-joo, commented at a seminar, “With the increased importance of advanced packaging, the backend process equipment sector is predicted to grow by KRW43 trillion (US$30 billion) by 2030. LG will be constantly concentrating on establishing process equipment to fulfil new technology demands.”
LGs pattern of leveraging its developmental growth is quite different. The company does not directly compete with the developed process equipment firm; instead, it collaborates with institutions and external companies. By focusing on the number of resources for future semiconductor equipment development and improving efficiency through division of labor, the company aims to achieve profit in both business and production. Park claims that only a few pieces of semiconductor-examined equipment have been delivered to customers.
Lately, LG has officially confirmed that PRIs developing a hybrid bonder for robust HBM. Hybrid bonding enables direct copper-to-copper bonding in wafer-level stack packaging. This provides higher throughput, excellent performance, and thinner stacks compared to conventional thermo-compression (TC) bonding. The mass production of hybrid bonder equipment is planned for 2028. Following the ecosystem, demand, yield, and customer qualification are worth further analysis.
The LG PRI is upgrading glass-substrate-based equipment that has drawn attention for its capabilities. Involving ultra-accurate TGV laser equipment for corresponding automated optical inspection (AOI) and signal connection processing systems. The company position as a major domestic player moving locally with the localization approach, with its prominent implications, has driven the focus to its semiconductor equipment initiatives.
26 January 2026
26 January 2026
23 January 2026
23 January 2026