The South Korean government will begin a large-scale program in May to develop on-device artificial intelligence semiconductors, committing a total budget of 1 trillion won through 2030. The initiative aims to have major companies including Hyundai Motor and LG Electronics work with domestic fabless chip designers to build customized AI chips.
Lim Ki-taek, a project director at the Korea Institute for Advancement of Technology (KEIT), said April 28 that the “K-On-Device AI Semiconductor Technology Development Program” will launch new projects in May and then continue for five years.
“We held a final review meeting yesterday with the Ministry of Science and ICT and the Ministry of Trade, Industry and Energy, and we expect to post the request for proposals as early as late May,” Lim said. He added that a draft RFP is complete and will be adjusted slightly to fit the budget before it is announced.
Under the program, domestic fabless companies will design AI chips requested by corporate users, and domestic foundries will manufacture them. The government plans to link demand companies with fabless designers and foundries. As an example, Lim said a fabless firm could design an AI chip needed for Hyundai Motor’s autonomous vehicles, and a foundry such as Samsung Electronics could produce it.
The program targets four areas: automobiles; Internet of Things and home appliances; machinery and robots; and defense. The goal is to develop on-device AI semiconductors domestically and build advanced products using them, with mass production targeted for 2030.
Lim said the government’s R&D planning reflects the need for industry-specific customization in system semiconductors. “The biggest change in R&D policy under the current administration is connecting fabless companies with leading firms in each industry,” he said. “Because system semiconductors must be tailored to each industry, fabless companies need to know what demand companies want. We built matching opportunities into the R&D plan so they can meet more often.”
This year, based on feasibility reviews and demand surveys, the government plans to newly support seven areas. In autos, it will back development of an advanced driver assistance and autonomous driving (ADAS/AD) domain controller for next-generation software-defined vehicles. In IoT and home appliances, it will support development of human-empathy smart space systems and on-device AI semiconductor technology. It will also support development of an on-device AI computing unit for collaborative robots at a commercially viable level, and product development of next-generation AI collaborative robots based on neural processing units (NPUs).
Demand-side participants include Hyundai Motor, LG Electronics, Doosan Robotics, Daedong and Korea Aerospace Industries (KAI). Selected fabless companies include Nextchip, Telechips, DeepX, Mobilint, Boss Semiconductor, Aim Future and DeeperAI.
Lim said the program is designed primarily to help domestic fabless companies expand globally. “We are placing more weight on the fabless sector,” he said, adding that working with major domestic demand companies through chip development and commercialization will strengthen technical capabilities and create “a win-win” for both chip designers and end users.
* This article has been translated by AI.
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