LX Semicon is selling its silicon carbide (SiC) power semiconductor patents, marking the final stage of its exit from the SiC business. Industry sources said on October 13 that LX Semicon has put over 60 patents covering SiC devices and epitaxial wafers up for sale as a bundle rather than individually, with the whole portfolio expected to fetch under KRW 1 billion. A Korean power semiconductor company has been selected as the preferred negotiation partner.
The patents cover SiC MOSFET technology, including planar and trench gate structures, terminations, and gate pads, plus epitaxial wafer technology—thin crystal layers grown on SiC wafers where devices are fabricated. Patents have been filed in Korea, the US, China, Europe, Japan, and Taiwan, with validity extendable to 2045.
LX Semicon entered SiC in 2021 by acquiring LG Innotek's device manufacturing equipment and patents. Then-CEO Son Bo-ik pushed the move to diversify a business heavily dependent on display driver ICs (DDI). But after Lee Yun-tae took over as CEO in late 2023, strategy shifted. With EV demand stagnating and SiC market growth slowing, LX Semicon scaled down its SiC R&D organization in 2024. At the March annual shareholders' meeting, the company added technology, know-how, and IP transfer, assignment, and licensing to its business objectives; an official said the change aimed to streamline operations.
LX Semicon has sought new businesses to reduce DDI dependence, with mixed results. It began mass production of heat dissipation substrates in April 2024, started supplying MCUs—formerly for home appliances—to Hyundai and Kia, and is in talks with Hanwha. Its power device JV with Japan's Sanken Electric, Advanced Power Device Technology, was liquidated in H1 this year.
Revenue shows the urgency. Annual sales fell for three straight years, from KRW 2.1193 trillion in 2022 to 1.9014 trillion in 2023, 1.8656 trillion in 2024, and 1.6391 trillion in 2025. H1 this year revenue fell 7.6% year-over-year to KRW 789.9 billion, with operating profit plunging 39% to KRW 42.6 billion. DDI still accounts for over 86% of total revenue. Sources say challenges worsened after losing a major customer's DDI orders to Taiwan's Novatek.
ICgoodFind Summary: From a high-profile patent acquisition in 2021 to a bundled patent sale in 2025, LX Semicon's five-year SiC cycle reflects how slowing EV demand hit power semiconductors. With DDI still over 80% of revenue and new businesses yet to replace it, the company's transformation pressure is far from eased.
