LG Innotek Enters the Market with Automotive AP Modules, Boosting Its Semiconductor Component Business

• Surging demand for automotive semiconductor components for ADAS and digital cockpits in
  the era of connected cars
• 400 components, including chipsets and memory, squeezed into a single 2.5 inches x 2.5 inches module
• "Aiming for mass production in the second half of 2025 and facilitating efforts to build a solid business portfolio"

SEOUL, South Korea, Feb. 25, 2025 /PRNewswire/ -- LG Innotek (CEO Moon Hyuksoo) announced on February 25 that it will launch a new electronic component for vehicles, the Automotive Application Processor Module(AP Module), targeting automotive semiconductor component markets worldwide. This move will enable the company to expand its existing electronic components business into the automotive semiconductor sector.

Automotive AP modules are semiconductor components installed in vehicles to integrate and control automotive electronic systems such as Advanced Driver Assistance Systems(ADAS) and digital cockpits. They serve as the vehicle's brain, similar to a computer's Central Processing Unit (CPU).

With the advancements made in connected cars, such as autonomous driving capabilities, the demand for AP modules is increasing rapidly every year. This is because the Printed Circuit Board(PCB)-based semiconductor chips used in existing vehicles cannot efficiently process the vast amounts of data generated by digital cockpits equipped with advanced ADAS and high-resolution displays.

According to industry estimates, the number of AP modules installed in vehicles worldwide is expected to grow by 22% annually, from a total of 33 million this year to 113 million by 2030.

The greatest advantage of LG Innotek's Automotive AP Module is its compact size.

The compact module measuring 2.5 inches x 2.5 inches contains more than 400 components, including a memory semiconductor, Power Management Integrated Circuit(PMIC), and integrated chipset(SoC∙System on Chip), which controls various systems such as data and graphics processing, display output, and multimedia.

The application of this product makes it possible to shrink the size of existing motherboards, enhancing design flexibility of automaker clients. It also shortens the signal distance between the highly integrated components in the module, further improving the module's control performance.

LG Innotek's plan is to continue to enhance its Automotive AP Module. This year, it aims to increase the module's heat dissipation performance, enabling it to operate at up to 95˚C, and significantly shorten the AP module development period by predicting warpage through virtual simulation.

LG Innotek is currently promoting the product to global semiconductor companies in North America and other regions, hoping to start mass-producing it in the second half of this year.

CEO Moon Hyuksoo commented, "The development of Automotive AP modules has enabled us to accelerate the expansion of our semiconductor components business." He added, "LG Innotek will continue to develop products that deliver unique customer value and establish itself as a reliable technology partner for its global customers."

LG Innotek is planning to grow its semiconductor components business to 3 billion dollars in annual sales by 2030, largely based on high-value semiconductor substrates such as FC-BGA(Flip-Chip Ball Grid Array), RF-SiP(Radio Frequency-System in Package) and Automotive AP modules.

[Terminology]

Digital Cockpit: Digital Cockpit refers to devices installed in vehicles, such as cutting-edge dashboards and Head-Up Displays(HUDs). Previously, digital cockpits offered additional functions, such as navigation, but they now also provide a comprehensive range of information, including data on the air conditioning system and vehicle condition.

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