SK Corp. Acquires Electric Vehicle SiC Power Semiconductor Company YesPowerTechnics..."Aiming to Become the World's Leading Advanced Materials Company"

Investing 120 Billion KRW to Acquire Management Rights and Capital Increase... Acquiring 95.8% Stake
"SiC Power Semiconductors, Next-Generation 'Game Changer'... Approximately 6.1 Trillion KRW Market by 2026"
Securing the Only Domestic 'SiC Wafer-Chip Design-Manufacturing' Supply Chain

SK Inc. has acquired Yes Power Technics, an electric vehicle SiC power semiconductor company. (Photo by SK)

[Asia Economy Reporter Moon Chaeseok] Investment specialist SK Inc. is strengthening its silicon carbide (SiC) power semiconductor business, a key component for electric vehicles.

On the 27th, SK Inc. announced that it will invest a total of 120 billion KRW (securing 95.8% stake) to acquire management rights and participate in a paid-in capital increase of YesPowerTechnics, the only domestic SiC power semiconductor design and manufacturing company.

Since January last year, SK Inc. invested 26.8 billion KRW to acquire a 33.6% stake (second largest shareholder) in YesPowerTechnics and has supported strengthening competitiveness in the SiC power semiconductor business through product development, process upgrades, and customer acquisition. SK plans to continue R&D investment to lead the localization of YesPowerTechnics’ core SiC power semiconductor technology and enhance technological competitiveness through facility investments. Through this, SK aims to nurture YesPowerTechnics into a global leading company in SiC power semiconductors.

Power semiconductors are essential semiconductors used to control current direction and power conversion in electric vehicles, electronic devices, and 5G communication networks. As next-generation power semiconductors, SiC power semiconductors can withstand voltages about 10 times higher and high temperatures of several hundred degrees Celsius compared to conventional silicon (Si) power semiconductors. Their thickness is only one-tenth. Thanks to these characteristics, as demand for ultra-fast electric vehicle charging requiring high voltage expands, the adoption rate of SiC power semiconductors is expected to exceed 60% by 2025.

In particular, SiC power semiconductors can improve electric vehicle energy efficiency by about 7%, establishing themselves as a key component for electric vehicles. Since Tesla first introduced SiC power semiconductors in the Model 3 in 2018, currently one-third of all electric vehicles use this component. Global market research firm Yole D?veloppement forecasts the SiC power semiconductor market to reach $4.9 billion (approximately 6.1 trillion KRW) by 2026. Due to the surge in electric vehicle demand, actual performance is exceeding market expectations.

SK Inc., which has SK Siltron, a SiC wafer manufacturer, as a subsidiary, has established the first domestic supply chain covering everything from SiC power semiconductor material wafer production to SiC power semiconductor design and manufacturing through this acquisition of YesPowerTechnics. The SiC power semiconductor market is dominated by a few companies from Germany, the United States, and Japan. YesPowerTechnics possesses 1700V-class high-voltage MOSFET technology capable of competing with global leading companies. MOSFET is a semiconductor material used for high-speed switching that controls the amount of current.

In a global environment where SiC wafer supply shortages persist, YesPowerTechnics will be able to stably receive SiC wafers through SK Siltron. SK Inc. also plans to work on securing SiC power semiconductor customers based in the U.S. through synergy with SK Siltron’s U.S. subsidiary.

Going forward, SK Inc. plans to establish a global mass production system for SiC power semiconductors and collaborate with world-class companies to develop high value-added products such as gallium nitride semiconductors based on SiC. Gallium nitride semiconductors are next-generation semiconductors used in 5G, satellite communications, and radar equipment.

Kim Yang-taek, head of SK Inc.’s Advanced Materials Investment Center, said, "SK Inc., which has proactively invested in core electric vehicle technologies, has secured another growth opportunity in the rapidly growing SiC power semiconductor market through this investment. We will leap forward as a key semiconductor material company for electric vehicles by advancing SiC power semiconductor technology and quickly establishing a global mass production system."

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