Hanwha Solutions Acquires Part of Samsung Electro-Mechanics' Communication Module Business

Wi-Fi and 5G Millimeter Wave Antenna Module Market Entry

[Asia Economy Reporter Hwang Yoon-joo] Hanwha Solutions is entering the WiFi and 5G millimeter wave (mmWave) organic substrate antenna module market to diversify its electronics business. The company plans to venture into the semiconductor module business in response to the growing demand for electronic products and automotive electronic devices (electronic components) that require real-time transmission of large volumes of data.

Hanwha Solutions announced on the 30th that it will acquire Samsung Electro-Mechanics' communication module business. Both parties completed the acquisition contract on the 30th and plan to finalize the acquisition procedures by the end of March 2022. The communication module business Hanwha Solutions is acquiring covers WiFi and 5G mmWave organic substrate antenna modules.

The WiFi module is a component used for communication between IT devices such as smartphones. The 5G mmWave antenna module is used to exchange data at ultra-high speeds with communication base stations. Samsung Electro-Mechanics possesses global capabilities in WiFi module design, high-integration packaging, and testing, and has solutions from design to manufacturing based on long-term collaboration with global set manufacturers.

Hanwha Solutions plans to expand beyond supplying communication modules to existing smartphones by leveraging module technology to enter the rapidly growing markets of wireless earphones, virtual reality (VR), and augmented reality (AR) devices.

In particular, the company expects explosive growth in demand for communication modules in the IoT market connecting various electronic devices such as TVs and speakers equipped with communication functions, as well as in automotive electronic components requiring infotainment, advanced driver-assistance systems (ADAS), vehicle communication, and remote updates.

Hanwha Solutions Vice President Jang Se-young stated, "We will create synergy by combining Samsung Electro-Mechanics' communication module design and manufacturing capabilities with Hanwha's global network," adding, "By adding the semiconductor module business with high future growth potential to Hanwha Solutions' electronics business, we will pursue continuous growth through differentiated business items and the expansion of skilled personnel."

This content was produced with the assistance of AI translation services.