Samsung Electronics Formally Launches Custom SoC Development Team
Samsung Electronics, May 2 2023: In a move that tends to enhance custom semiconductor development to respond to ever-growing special-chip needs from globally renowned tech companies, Samsung Electronics has revamped its Device Solutions (DS) division and formally launched a Custom SoC Development Team in the System LSI Business Unit.
New Leadership and Organization
As per industry reports, the new development team will be working under the SoC Business Team led by Park Bong-il, a newly promoted Vice President and an acknowledged expert in System-on-Chip (SoC) who had been leading customized system semiconductor development in the DS division. The very fact that he is the one selected for this role further indicates Samsung's attempts to strengthen its internal System LSI capabilities.
From Outsourcing to Internal Development
Analysts see the reorganization as a major shift in Samsung's business model. The company seems to be trying to step away from an organization that primarily designs chips to external customer specifications. Instead, an important part of the changing ecosystem is to underscore a design-oriented effort: strengthening internal capabilities in SoC architecture, IP, AI, and NPUs in order to deliver holistic custom chip solutions.
Catering for Big Tech
Reconstruction of Samsung's design unit targets custom SoC development, and with the demand for chips surging from big techs, the restructuring will allow Samsung to enlarge its foothold in the custom SoC market, where current hegemons Apple, Meta, and Tesla—are both investing heavily and putting pressure for chips that meet specific applications in AI camera sensors and mobile computing.
This restructuring takes place after the previous attempts of consolidating design support organizations and streamlining the business into three main teams: SoC, Image Sensor, and LSI. Experts like Professor Lee Jong-hwan from Sunchon National University predict that this will put Samsung in a position to respond more professionally to the demands of its key customers and to forge closer links between these design capabilities and its foundry services.
