00:00I wanted to get a view as to you know how life has been since the listing right obviously still
00:04loss making and everyone wants to know when that's going to turn to profit. Yes. First of all thank you
00:12for having us. And as you said we are making a lot of achievement in the market and the panel
00:17just discussed about the broadening of the AI Silicon ecosystem and 75 is leading us the way. So just to
00:25give you a brief introduction of what we are doing. We are an ASIC family.
00:30Or as we call a design foundry. So we design custom chips for our customers and then supply those developed
00:37chips to the customer on the per unit basis. The interest on the custom AI chip are really really surging
00:45and as you mentioned as we went public last year we are seeing more even you know faster growing demand
00:52from all regions and all applications not just within the data set application but also in the on device and
00:59the more
00:59server server like a more smaller servers and actually type of server. So yes we are seeing a lot of
01:04opportunities coming. Where do you see the most opportunities because obviously geographically the markets that you have clients at this
01:12point fairly broad.
01:16Yes. Our customer basis geographically very well diversified and for among the regions especially in North America and Japan are
01:28the fastest growing market. Now we have our silicon supplying our customers in Japan China India Europe and the U
01:37.S. of course as well as in Korea. So each region has a different you know strategy and different strategies.
01:44In terms of what kind of products and technology they want to implement. So it is very important for an
01:51ASIC players like us to be really flexible and scalable to meet the demands and fulfill the requirements in designing
02:00and delivering those diversified types of AI jobs.
02:07Tell us about the Samsung Foundry partnership.
02:12All right. So it's no secret that all the Foundry business are seeing huge opportunities from AI demand and more
02:21and more customers are getting interested in using Samsung Foundry's technology and also capacity.
02:28And it creates a huge growth momentum for Semi 5.2. And at the same time customers come to Semi
02:375.2 for our comprehensive and proven custom AI chip design solution.
02:44So we are adding demand and also we are helping Foundry to close its new projects on their process nodes.
02:51So it's really a symbiotic relationship and it is creating a lot of results.
02:56So for example we recently brought up a huge 520 square millimeter chip on Samsung's SF4X and we brought its
03:07very fast LPD Dell 5X interface to full speed just within three days which is a remarkable technological trend which
03:16made enabled by the superior technology of the Foundry.
03:20Additionally, we also kick off a monumental 3D IC project on Samsung Foundry's 8LPU technology which delivers ten times higher
03:31bandwidth than HBN4 technology.
03:34So these are all frontier technologies that very few companies in the world can really execute and we are turning
03:43them into reality with the help of our tight collaboration and partnership with Samsung Foundry.
03:50as you say I mean so much of the focus is on the hyperscalers and the data centers right when
03:56it
03:56comes to some of the smaller clients how much visibility is there and forward planning is there
04:01in knowing what types of chips and technology they're going to need given how quickly this
04:06space is changing yeah so when our customers need more supply of an existing chip they typically
04:16let us know six months in advance and when they need an entire new chips to be designed they come
04:22to us two three years in advance so we are in a position to have a clear view where the
04:29trend is
04:29heading and as you mentioned two three years ago when we were working with the customer for a new
04:35AI chip in most cases the chips were for data centers but recently we are talking more about
04:41own device AI chips and the chips for smaller servers and edge type servers these days so if
04:49you think about it so this means that while we need still need a massive amount of intelligence to build
04:56and hyperscale data centers there are millions and billions of places where we need smaller more
05:04efficient more specialized or more private kind of intelligence so they are using a lot of different
05:10technologies like four or five eight nanometer process rather than two three or more 3D ICT RAM
05:18integration rather than HBM technology so forth and so on so it is again it is very important to be
05:25able to respond to this diverse type of technical requirements to see sees this demand and opportunities
05:34you've talked about how the transition of accumulated development projects into mass production
05:40essentially was what was driving the positive earnings growth can you tell us about what the pipeline
05:46looks like in terms of future projects and where that cycle is going to head yes of course so you
05:55mentioned that in the first quarter 75 has recorded already 75 percent of production booking of all of last year
06:04so the chips that we are getting orders from will are making even more orders in the remaining time of
06:12the year
06:12but at the same time there are more chips that are entering into mass production stage this year and early
06:19next year
06:20so we are expanding not just linear growth but the compounding growth in our production revenue and this is coming
06:29also from both data center demand and also the on-device demands and we are very competent we can sustain
06:36a very high
06:38double digit number growth if not faster and now we are focused on doing it profitability
06:44how's the supply chain looking for you in terms of some of those risks again have become apparent with ongoing
06:51geopolitical uncertainty
06:53uh yes so uh it is true that many players wants to diversify their supply chain both in terms of
07:03capacity and
07:04technologies and all of these uh trends and also the geopolitical shifts are really uh creating a lot of opportunity
07:13for us and we
07:15are well positioned for that environment so for advanced in those we are working with samsung
07:21foundries with fax in korea and in north america and for legacy nodes on the other hand we are extensively
07:28working with global foundries with fax in north america and singapore and also in germany we are also
07:36working with all the major osat companies and important osat technology companies so we can provide
07:43very diverse options in supply chain for our customer and our customer base is also very geographically
07:52diversified in multiple continents so we are leveraging at both ends from supply and also demand we are
07:58leveraging this diversity in our supply chain to provide a very flexible options for our customers
08:04and this is creating a lot of opportunity in our business already
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