South Korea's Imagis Technology Wins 5.8 Billion Won Automotive Chip Contract

en.Wedoany.com Reported - According to a regulatory filing disclosed on June 8, South Korean chip design company Imagis Technology has secured a contract worth approximately 5.8 billion won for automotive semiconductors. This amount is roughly equivalent to 44% of the company's total revenue last year.

This contract marks the first major achievement for the company's new CEO, Lee Dong-seop, who took office in March this year. Due to confidentiality agreements, the client has only been disclosed as an "automotive semiconductor distributor," with the supply region designated as overseas markets. The contract runs until the end of 2025, with monthly payment arrangements.

Since 2023, Imagis has been in a loss-making state for three consecutive years. The company's operating losses for 2023, 2024, and 2025 were approximately 2.3 billion won, 5.2 billion won, and 2 billion won, respectively. Industry observers believe that the weak performance is mainly due to the continuous reduction in orders from key client Samsung Electronics.

Imagis's main business is the development of semiconductor chips for smartphones, with core products including touch controllers, grip sensors, haptic controllers, and Magnetic Secure Transmission (MST) chips for Samsung Pay. Among these, touch controller integrated circuits contribute the largest share of sales, with revenue in this segment reaching 6.6 billion won last year, accounting for 50.7% of total annual sales.

To promote business portfolio restructuring, the company appointed Lee Dong-seop, who previously served as a senior vice president, as CEO in March. Lee previously worked at SK hynix (then known as Hyundai Electronics) and The Sign, joining Imagis in 2023, with his term set until March 2029. At the time of the appointment, Imagis stated that this leadership change aims to support the company's expansion into physical AI and robot-based solutions. Additionally, the company appointed former Nvidia marketing and sales director Cha Jung-hoon as an external director.

In a letter to shareholders, Imagis revealed that it is preparing to fully enter the physical AI and robotics field and has initiated plans including recruiting industry experts and expanding infrastructure. Earlier this year, the company also announced plans to establish a strategic partnership with SiMa.ai, aiming to integrate its integrated circuit technology with SiMa.ai's Machine Learning System-on-Chip (MLSoC) platform.

Meanwhile, former CEO and largest shareholder Kim Jung-chul will continue to serve as board chairman, maintaining influence over the company while stepping back from day-to-day management.

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