In the competition for artificial intelligence (AI) technology, the electronic materials business of Doosan Group, Doosan Corporation, surpassed an annual revenue of 1 trillion won last year, and steady growth is expected this year. Doosan started supplying key materials for AI accelerators (semiconductors that enhance the speed of AI calculations) to the U.S. semiconductor company NVIDIA at the end of last year and is currently undergoing quality verification for products for next-generation AI accelerators. If it passes the verification, it is expected to establish a foundation for increasing overseas sales.
According to the business community on the 25th, the electronic business group (BG) of Doosan is expected to exceed the sales target of 1.1 trillion won set for this year. This is because the sales from the products supplied to NVIDIA since the fourth quarter of last year were not reflected in the annual management goal established in September of last year for 2025.
Since November of last year, Doosan has been supplying its main product, Copper Clad Laminate (CCL), to NVIDIA. CCL is a key material for printed circuit boards (PCBs), essential components of electronic products, made by layering copper foil onto an insulation layer composed of resin, glass fiber, fillers, and other chemicals. Currently, the CCL produced by Doosan is used in NVIDIA's main AI accelerator product, Blackwell. When Doosan supplies CCL to PCB manufacturers, those companies produce finished products to supply to NVIDIA.
Products for AI accelerators fall into the high-profit category. The revenue earned by the electronic BG from supplies to NVIDIA in November and December of last year alone amounts to around 100 billion won. Based on this, the electronic BG recorded sales of 335.9 billion won in the fourth quarter of last year (October to December), an increase of 58% compared to the same period the previous year.
Last year, the annual revenue of the electronic BG was 1.072 trillion won, surpassing 1 trillion won for the first time. The revenue from the electronic BG accounted for 73% of Doosan's total revenue (1.3771 trillion won, on a separate basis) last year. Although Doosan does not disclose the operating profit by business segment, it is estimated that a significant portion of the total operating profit (141.1 billion won) which doubled last year came from the electronic BG.
If the demand for AI semiconductors in the U.S. continues to grow, the supply of products from Doosan's electronic business division is likely to increase. Doosan is currently conducting quality testing for products to be incorporated into the next-generation AI accelerator, Rubin, which NVIDIA is developing. If it passes the tests in the second half of the year, mass production could begin in the fourth quarter. It is also known that Doosan is negotiating product supply with another large IT corporation in the U.S. that is developing AI semiconductors.
In response to increased demand, Doosan is also reviewing the expansion of its facility in Jeungpyeong, Chungcheongbuk-do, in the medium to long term. A Doosan official said, "Current production capacity can handle the expected demand this year, so there are no plans for expansion this year, but various options, including expansion, are being considered if necessary."