"Many high quality Korean products are made from Japanese components". That is the title of the article above ET News today, shows the potential danger to kimchi if Japan extends its range.
Limit export of contrast material, Japan wants to "take down" Samsung?
LG screen, Samsung depends on Japanese technology, US like?
The semiconductor industry and the Korean screen all depend heavily on Japan. That's what Korean media have warned, and now, it's high-end products like smartphones and high-tech devices. The components produced by Japan play an important role in controlling telecommunications functions, cameras, … of smartphones. They also extend to high-tech devices. Experts warn, there will be an extremely serious impact if the Japanese government extends restrictions, especially in the area of components supplied to smartphones.
Many experts worry that Japan will open a limited scope to both smartphone, TV, …
This means the Korean smartphone component supply industry must be prepared, ready to receive any impact in an unpredictable situation. A lot of components in the phone come from Japan. For example, duplex transmitter, Surface Acoustic Wave filter, energy amplifier (power-amp), telecommunication cable, electronic compass, image sensor, spacer (spacer) , …
The duplexer is part of the phone's antenna system, which separates the frequencies received from the signal being transmitted. SAW filter filters frequencies from incoming and outgoing signals. Power amplifier helps phone speaker or device to operate. Currently, it is estimated that Japanese companies have a market share of up to 70% of these components. Camera system on smartphones includes many components, from sensors, drives to lenses. In which the gasket helps fill the gap between the lenses, Kimoto (Japan) completely controls this market with 98% market share. The plastic lens market is also dominated by Japanese firms with 98%.
A lot of components in the phone come from Japan
Different Japanese firms have different product range stretches. For components for smartphones, Murata Hitachi, Kyocea, Hirose offered a "giant" product portfolio as a department store. Or like Nitto Denko, ITO class producer plays the role of an electrode in the screen panel, especially with a touch screen. But besides ITO, they also attract customers across the globe through a list of 13,000 different products.
Recently when Huawei was embargoed by the US government, Japan's Nikkei dissected the flagship P30 Pro. "Endoscopic" results show that 53.2% of components are from Japanese companies. These components are more than all components from the US, Korea, China, and Taiwan combined. Electronic component manufacturers from Japan are recognized as having superior technical skills. In the industry there is a saying that word of mouth: Japanese components are for high-end products, while Korean and Chinese parts give products that prioritize economics.
Japanese components are for high-end products, while Korean and Chinese components give products with priority for economy
An expert said: "Samsung and LG need to consider both high quality and competitive prices at the same time, in the context of a slowing down mobile industry.". He said this was the main reason they had no choice but to buy Japanese components. Another expert said that if extended to restrict the export of components in smartphones, it is not too serious for mid-range and cheap machines. However, "There are no Japanese components, even Samsung can't produce smartphones", he said. The statement emphasizes the impact on the high-end Galaxy S and Note series.
Experts agree that this is the time when the entire industry and the Korean government should learn the lesson. There is a global network where Japanese firms play a role in producing the essential components needed, while the Korean side produces terminals. Experts say a more active ecosystem is needed, so that they can neutralize the negative impact when the "watershed" is limited like the current situation.
Without Japanese components, even Samsung cannot produce smartphones
Korean businesses in charge of component manufacturing are known to suffer from many ups and downs, when sales are not stable. Due to them being dependent on requests from customers, market trends. For Japan, they were successful because they did not regret spending on R&D activities, thus building a huge product portfolio to help overcome the unpredictable difficulties.
Professor Hwang Won-bin commented: "Rather than saying that Korean companies are poor in designing components, it must be said that there are many cases where they withdrew from the project because of the fierce challenges". He added that, in Japanese companies, they have 10 to 20 employees working for 70 to 80 years, helping to receive valuable secrets.