What Happened
On May 3, multiple industry reports confirmed that Samsung Electronics has restarted its Silicon Carbide (SiC) foundry business, with the goal of achieving mass production by 2028. SiC is widely regarded by the industry as the core material for next-generation power semiconductors.
Meanwhile, Dutch semiconductor equipment maker BESI revealed that Samsung is expected to make a decision on adopting Hybrid Bonding technology around mid-year — a technology considered central to next-generation semiconductor manufacturing.
Together, these two announcements outline Samsung’s strategic layout on two fronts: power semiconductors and advanced packaging.
Why SiC Matters
Silicon Carbide (SiC) offers significant advantages over traditional silicon (Si) materials in the power semiconductor field:
| Characteristic | Si (Silicon) | SiC (Silicon Carbide) | Advantage |
|---|---|---|---|
| Breakdown field | Low | 10x higher | Higher voltage tolerance |
| Thermal conductivity | Low | 3x higher | Better heat dissipation |
| Switching loss | High | 75% lower | More efficient |
| Operating temperature | <150°C | >200°C | Wider range |
Key Application Areas
- Electric Vehicles: SiC power devices can improve driving range by 5-10%, making them a key battleground for Tesla, BYD, and other automakers
- Charging Infrastructure: Fast chargers need SiC for high power density
- Industrial Power: Data centers, telecom base stations, solar inverters
- Rail Transit: High-speed rail, subway traction converters
Samsung’s SiC Strategy
Foundry Model
Samsung has chosen the foundry model this time, rather than producing end devices itself. This means Samsung will manufacture SiC power devices for other chip design companies, similar to its foundry business in logic chips.
Target customer groups include:
- Fabless power semiconductor companies
- Automotive Tier 1 suppliers
- Industrial power solution providers
2028 Mass Production Timeline
| Phase | Time | Key Milestone |
|---|---|---|
| Production line construction | H2 2026 | Equipment installation, commissioning |
| Process validation | 2027 | Customer tape-outs, yield ramp-up |
| Mass production | 2028 | Large-scale shipment |
Hybrid Bonding: Another Front
BESI’s revelation about the hybrid bonding technology decision is equally noteworthy. Hybrid bonding is an advanced packaging technique that can directly bond two chips together at nanometer precision, without traditional solder balls or wire bonds.
Significance for AI chips: Hybrid bonding is a key technology for breaking through HBM (High Bandwidth Memory) bandwidth limits. If Samsung decides to adopt hybrid bonding this year, it will directly impact the competitiveness of its HBM4 and subsequent products.
Landscape Assessment
Competitive Landscape
Key players in the SiC foundry space:
| Company | Status | Advantage |
|---|---|---|
| Wolfspeed | In production | Full SiC materials + device chain |
| STMicroelectronics | In production | Deep automotive customer ties |
| Infineon | In production | Power semiconductor leader |
| Samsung | Restarting | Foundry capability + scale manufacturing |
| TSMC | Planning | Advanced processes + customer ecosystem |
Samsung’s advantage lies in its massive foundry infrastructure and manufacturing experience, but its weakness is relatively thin technical accumulation in the SiC field.
Industry Signals
- SiC demand is about to explode: Even a giant like Samsung re-entering signals that the market space is large enough
- Power semiconductors are the next semiconductor battleground beyond AI: EVs + charging infrastructure + data centers create triple demand
- Advanced packaging is becoming consensus: The hybrid bonding adoption decision shows Samsung is also accelerating its catch-up in packaging technology