The Korea Institute of Science and Technology Information (KISDI) proposed on the 13th that a support program for advanced semiconductors, which supports not only products but also technology layers, needs to be developed policy-wise in its report titled 'A study on the effectiveness of artificial intelligence (AI) semiconductor policy measures.'
According to the report, AI semiconductors are emerging as a new growth driver in the existing semiconductor market. KISDI analyzed that in the current semiconductor market, ▲ on-device AI activation ▲ segmentation of AI semiconductors ▲ the emergence of big tech companies as new market participants in AI semiconductors ▲ the emergence of various technological opportunity areas (technology layers) for optimizing the use of AI semiconductors ▲ and the platformization of leading companies in AI semiconductors are underway.
KISDI also noted that major advanced countries perceive the high dependence on foreign countries in the semiconductor industry as a threat to national security. It stated that these countries are continuously promoting domestic-centered semiconductor industry nurturing and supply chain restructuring. It recognizes semiconductors as a next-generation national core technology for implementing AI, autonomous driving, smart factories, medical equipment, and advanced defense weapons, fostering it as an essential area directly related to security.
KISDI paid particular attention to the differing semiconductor status of Korea and Taiwan and conducted an investigation. Both Korea and Taiwan started their semiconductor industries in the low value-added sector during the 1970s and 1980s. However, while Korea focused on nurturing memory semiconductor manufacturing centered on integrated device manufacturing (IDM), Taiwan strengthened its non-memory (system semiconductor) sector centered on foundry (contract manufacturing).
KISDI analyzed in the report that 'the development process of Taiwan's semiconductor industry has followed a similar technology catch-up path as Korea, but the type and context of the technology catch-up are very different.' It stated that in Korea, private sector-led (large corporations centered) indirect government support has been carried out, whereas in Taiwan, the government has actively intervened and directly supported the catching up of advanced technologies. It continued, 'Korea's semiconductor technology development method is based on integrating the capacity for large-scale memory semiconductor production and key element technologies into a large corporation IDM business model,' while 'Taiwan's semiconductor technology development method is a model in which demand surveys, design, production, and packaging are planned over 3-4 years, centered on non-memory semiconductors.'
Jung Hyun-jun, a research fellow at KISDI, stated, 'The domestic semiconductor industry needs to break away from the existing catch-up strategy and establish a new leading model,' and 'we need to explore our current situation and direction through the semiconductor industry status of Korea and Taiwan.'
Kim Min-sik, a deputy research fellow at KISDI, noted, 'Recently, advanced semiconductors are core components of national security and strategy, necessitating the establishment of innovative support policies. It is important to establish a multi-dimensional and diversified program that activates the advanced semiconductor industry ecosystem.' He added, 'It is necessary to redefine the government's role in the domestic advanced semiconductor industry and establish innovative policies, and the domestic advanced semiconductor support program should be designed to not only transform production methods to respond to various demand sources but also capture opportunities across various technology layers.'