Apple is said to be discussing the supply of FC-BGA substrates for Apple Car with a Korean company that has exchanged FC-BGA samples with Apple Car developers and passed preliminary quality tests.
According to BusinessKorea, the FC-BGA substrate is one of the key materials needed to make self-driving cars. The reason why Apple chose a substrate maker ahead of other component makers was a shortage of substrates.
Currently, FC-BGA substrates are in a severe supply-demand imbalance as manufacturers fail to forecast demand and the explosive demand for IT equipment. Some predict that its supply will remain in short supply until 2026.
With the entry of Apple, the global substrate market is expected to change. Japanese and Taiwanese companies produce FC-BGA substrates earlier than Korean companies, and their share is higher than that of Korean companies.
But Apple gave the South Korean company high marks for its fast technological development and fast delivery. Apple believes that the company is competitive in other high-value-added substrate fields.
So it can quickly gain international competitiveness in the FC-BGA substrate field. It is reported that Apple is discussing plans to make an equity investment in the company.
Specifications for the Apple Car have not yet been finalized. Apple will complete the Apple Car’s supply chain management system by the end of 2022 and begin developing prototypes. Apple is expected to launch Apple Car as early as 2024.