“There was an order to exclude the distribution, splitting, and sprinkling methods among those announced by the government. “We will plan mid- to large-scale projects with a certain purpose and provide support centered on mid- to large-scale projects.”

At the 2023 Korea Industrial Technology R&D Fair held at COEX in Samseong-dong, Seoul, statements were made outlining the direction of R&D projects in 2024.

At the event that opened on the 6th, the 2024 Industrial Technology R&D Project Planning Public Hearing was held on the main stage and in individual conference rooms. On that day, Lee Jeong-woo, head of the Business Planning Innovation Team at the Korea Institute of Industrial Technology Evaluation and Planning (KEIT), announced that the plan is to plan the 2024 R&D projects centered on mid- to large-scale projects that are expected to create future food for our country.

Next year's new budget proposal was set at 906.5 billion won based on the government's submission, which is an increase of approximately 75% compared to last year's new budget of 517.4 billion won. However, in the case of continuing projects, the total R&D budget was reduced from KRW 2.5967 trillion to KRW 1.9151 trillion due to reasons such as the project expiring this year.

However, the budget for the new tasks in 2024 has not yet been finalized, and the scale of the new tasks will be determined depending on how the 2024 budget is passed by the National Assembly.

Team leader Lee Jeong-woo said, “This year’s task plan reflects the new economy state administration philosophy and the Ministry of Trade, Industry and Energy’s key tasks,” and “We will support 70% of the total budget for the ultra-gap R&D support announced in April,” making it certain that there will be a focused R&D budget investment in the ultra-gap field.

In particular, as the current government has announced a policy of cutting R&D budgets, support for projects and businesses with low performance is expected to be significantly reduced.

■ 3 new system semiconductor businesses...power semiconductor drive

Instead, in the system semiconductor field, which is a super-gap field, many new tasks have been discovered and task planning is almost complete. In addition to the ongoing projects of ▲next-generation intelligent semiconductors and ▲K-sensor technology development, the following new projects have been earmarked for the 2024 budget: ▲development of advanced compound power semiconductor technology (KRW 13.5 billion), ▲development of advanced system semiconductor design platform technology (KRW 5.4 billion), and ▲development of export-linked system semiconductor technology (KRW 6.5 billion).

Kim Jin-seop, PD of System Semiconductor, said, “The planning and passage of these plans were made because there was a goal that they should be done at the national level,” looking at the policy directions for power semiconductors, AI semiconductors, and automotive semiconductors related to system semiconductors. He advised, “I hope that you will set the direction of your business planning and make proposals by looking at the direction in which the government intends to invest.”

According to data released by KEIT, the new project, the Compound Power Semiconductor Advanced Technology Development Project, is a project with a total project cost of 138.4 billion won, of which 90 billion won will be invested in government funds over five years. The detailed project details are divided into commercial components and modules, power ICs, and materials.

While Busan TP has secured public infrastructure such as a commercialization center related to compound power semiconductors, KEIT is looking at technology development from a commercialization perspective through new projects supporting power ICs and materials.

PD Kim said, “The three commercial device businesses are TRL Level 8 and led by the companies,” and mentioned that the R&D that was already supported through the previous business, the New Industry Creation Power Semiconductor Commercialization Business, must be supported by this new business and the products must be released as commercial devices within three years.

As it is a product installed in an automobile, it is expected that the project will be centered around the main company as it must satisfy stringent automobile-related standards and functional safety.

■ Budget cuts tie up design platform and IP development projects

There is a growing demand for design platforms in the system semiconductor field.A project was planned to reflect this demand, but it is said that the design platform and ultra-high-speed interface IP development support were combined into one project due to budget cuts next year.

The development of advanced system semiconductor design platform technology, supported for 5 years with a total business budget of 30 billion won, was planned with the aim of strengthening the domestic foundry-centered ecosystem. It is expected that support will be provided for products developed for domestic foundries.

The last overseas market export-linked system semiconductor development project will be supported with a total of 33 billion won over five years, and considering the semiconductor-related situation between the US and China, mid-low level product development will be supported for semiconductors destined for China, and high-end development will be supported for semiconductors destined for the US.

Meanwhile, as the 2024 R&D project plan has not been finalized yet, it has been reported that additional opinions and suggestions will be received through future public hearings and the project will be finalized around February 2024.

PD Kim advised, “If you provide support in line with the planning direction, purpose, and character, the probability of receiving business support will increase.”