[Power Interview] Sigetronics CEO Shim Kyu-hwan on Localizing Specialized Semiconductors with M-FAB
[Power Interview Featured Guest] Shim Kyu-hwan, CEO of Sigetronics – “A Comprehensive Semiconductor Company Leading the Localization of Specialized Chips with M-FAB”"MTN Leaders’ Story [Power Interview – Featured Guest] Shim Kyu-hwan, CEO of Sigetronics"Host: Park Min-hong, Head of Money Today Broadcasting (MTN)Guest: Shim Kyu-hwan, CEO of SigetronicsHost:Hello viewers, this is Park Min-hong from Power Interview Featured Guest.Semiconductors — the core components of all electronic devices we use, and one of the most crucial industries that determine national competitiveness.Today, we introduce a comprehensive semiconductor company that has succeeded in localizing specialized semiconductors for AI, defense, and space industries, and has made its mark on the global stage.In today’s Power Interview Featured Guest, we will speak in detail with Shim Kyu-hwan, CEO of Sigetronics, a company driving change in the semiconductor paradigm.Host:Thank you for joining us despite your busy schedule. Could you first introduce Sigetronics to our viewers?Shim Kyu-hwan:Hello, I’m Shim Kyu-hwan, CEO of Sigetronics. Our company is located in the Wanju Technovalley, near Jeonju in Jeollabuk-do Province. We specialize in developing and commercializing specialized semiconductors. In August 2023, we were listed on KOSDAQ, and with a production capacity of 18,000 wafers per month, we are ready to make our next big leap forward.Host:I understand the company was founded in 2008. Could you share some of the major milestones achieved since then?Shim:Yes, Sigetronics was established in 2008. Over the past decade, we have developed and commercialized various semiconductor devices. In 2015, we built our back-end fabrication facility, and in 2020, we established a full front-end fab. In addition, we developed device, structural, and process technologies, as well as equipment and facilities, to build our M-FAB. I believe this M-FAB is the most significant achievement and asset of our company.Host:Sigetronics is known as a comprehensive semiconductor company with a Multi-Project Fab (M-FAB). Could you explain what that means in simple terms?Shim:In semiconductors, “Fab” comes from “Fabrication.” Typically, fabs focus on a single category, such as memory, non-memory, or power semiconductors. Our company, however, operates a Multi-Project Fab, capable of developing and producing various semiconductor devices. In our M-FAB, we process multiple semiconductor materials, including silicon, gallium arsenide (GaAs), gallium nitride (GaN), and gallium oxide (Ga₂O₃). We combine facilities, process technologies, and a range of intellectual properties to create advanced convergence technologies.Host:Globally, Taiwan, the U.S., and South Korea are considered major leaders in semiconductors. Where do you think Korea currently stands?Shim:In the U.S., giants like Intel and GlobalFoundries dominate, supported by many small companies specializing in niche devices. Including software and design, the U.S. remains the world leader. According to projections for 2025, the U.S. will hold about 41% market share, Korea 19%, China 16%, and Taiwan 7%. While the U.S. still maintains a large share, it is declining, and China is growing rapidly. Korea remains strong in memory semiconductors but has weaknesses in other areas. With competition from China intensifying, Korea will need to stay highly vigilant.Host:We’re seeing a global race for semiconductor supremacy, with countries like the EU and China heavily investing in domestic semiconductor industries. How do you see the market outlook?Shim:Countries including Europe, Japan, and the U.S. are investing tens to hundreds of billions of dollars. I believe China poses the greatest threat. It is projected that by 2030, China will surpass Korea in semiconductors. With state-led investment, abundant talent, and a huge domestic market, China’s growth resembles a massive tsunami.Host:You also serve as a university professor. How do you leverage your industry experience to benefit students, and what synergies do you expect?Shim:I mainly teach semiconductor device design and manufacturing processes. I ensure students learn both theory and hands-on skills, preparing them to adapt quickly when they enter the industry. I focus on practical, real-world problems so they can become immediately productive engineers.Host:You’ve been in semiconductors for over 30 years, since 1986. What is your ultimate goal in this field?Shim:Sigetronics works in ESD devices, sensors, power devices, RF, and foundry businesses — all areas where Korea is relatively weak, particularly compound semiconductors, which have not been fully developed in Korea over the past 40 years. My goal is to establish a foothold for compound semiconductors in Korea through our technology development and commercialization efforts.Host:Could you explain your current business areas in more detail?Shim:We operate in four main sectors:ESD devices – used in displays and lighting.Sensors – applied in wearable devices like smartwatches and smart rings for healthcare purposes.Power semiconductors – our MOS Controlled Thyristor (MCT) is used in defense applications.RF semiconductors and foundry services – used in wireless communications and radar systems.Host:I’ve heard you produce specialized semiconductors for defense, space, aerospace, and medical applications, securing major global clients. What are specialized semiconductors, and who are your customers?Shim:Specialized semiconductors are not standardized products; they are custom-developed with unique device structures and performance tailored to specific applications. For example, we developed a space-grade Schottky Barrier Diode (SBD) and an MCT for defense use. These devices can withstand extreme conditions such as cryogenic temperatures, high vacuum, and radiation — areas where Korea currently has little to no domestic technology.Host:Wide Bandgap (WBG) power semiconductors are predicted to grow due to carbon neutrality and energy efficiency demands. How is Sigetronics preparing?Shim:WBG semiconductors, such as silicon carbide (SiC), gallium nitride (GaN), and gallium oxide, have larger bandgaps than silicon, making them more robust thermally, electrically, and against cosmic radiation. We have long focused on GaN-based power and RF devices. By 2030, GaN is projected to account for about 15% of the total semiconductor market, and we are positioning ourselves for that growth.Host:With the rapid growth of AI semiconductors, competition is intensifying. What is Sigetronics’ competitive edge?Shim:In AI, memory and processors are like the brain, while specialized semiconductors are like the sensory and motor organs. For AI to take action, specialized semiconductors are essential. Our M-FAB gives us unique strengths in device structure, process technology, IP, and skilled personnel, enabling us to lead in the convergence technologies required for the AI era.Host:Given the global attention on semiconductors, what role should the government play?Shim:Korea is a semiconductor powerhouse but lacks companies equivalent to Infineon in Germany or Texas Instruments in the U.S. The government should nurture “seed companies” and help small semiconductor firms grow into mid-sized companies, ensuring global-scale semiconductor firms take root domestically.Host:What new products are you producing this year, and where will they be used?Shim:Our new products include Flip-Chip TVS, Broadband Photodetectors, Avalanche Photodiodes, Flip-Chip Photodiodes, and MCTs. These products are becoming smaller and more efficient to meet surface-mount technology trends. Applications range from automotive and display protection to wearable device sensors and power switching in defense systems.Host:Tell us about your global expansion so far.Shim:Over 80% of our products are exported, mainly to Taiwan, China, and Vietnam. We currently sell through agencies but plan to establish local offices, and eventually production lines, to localize our global business.Host:What are your mid-to-long-term plans?Shim:We are currently focused on expanding sales of newly developed products and diversifying into new business lines. Long-term, we aim to establish a leading position in compound semiconductors, contributing to Korea’s technological independence.Host:After more than 30 years as both a professor and CEO, what is your most memorable moment?Shim:After 15 years of product development and business challenges, being listed on KOSDAQ in 2023 was my most emotional moment. I view our technology-special listing as a valuable opportunity given by the nation and feel a deep sense of responsibility.Host:What core values do you uphold as the leader of Sigetronics?Shim:We emphasize three virtues:Open Mind – openness to people and technology.Hot Heart – passion for work.Cool Brain – maintaining composure and sound judgment in business and life.Host:Finally, could you share Sigetronics’ vision for becoming a global leader?Shim:As semiconductor technology competition intensifies worldwide, Sigetronics will focus on rapidly developing and commercializing new technologies in specialized semiconductors, contributing to our community, employees, and the nation.Through its integrated Multi-Project Fab, Sigetronics has secured industry-leading capabilities and contributed to the localization of specialized semiconductors. We look forward to seeing Sigetronics soar toward becoming a global Top 10 company with its differentiated technological edge. Thank you, CEO Shim Kyu-hwan, for joining us today.article link : [Power Interview – Featured Guest] Shim Kyu-hwan, CEO of Sigetronics: A Comprehensive Semiconductor Company Achieving Localization of Specialized Chips with M-FAB