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Chips&Media’s Advanced IP Aligns with Industry Boom, Driving Stock Price Increase

Seoul, South Korea – Jun 10, 2024

Chips&Media's shares are showing notable strength in the market. 

According to the Korea Exchange on June 10th, the company closed trading at 23,100 won, marking a 1.32% increase from the previous trading day.

Chips&Media is a corporation specializing in video codec IP. Currently, 70-80% of IC chips utilize their internal designs. Among outsourced IP companies, it is estimated to hold the second-largest global market share. Although the company's shares experienced a decline in the first quarter due to sluggish sales, this is viewed as a temporary setback attributed to deferred sales. Both the NPU fabless and the automotive sectors, which have garnered significant expectations, are expected to drive strong growth in the foreseeable future.

Established in 2003, Chips&Media specializes in developing and selling system semiconductor design assets, particularly video codec IPs. The company licenses its video IPs to semiconductor chip manufacturers, who then design, develop, manufacture, and deliver semiconductor chips for smartphones and digital TVs leveraging Chips&Media's technology. 

The company's revenue streams include license fees obtained when supplying IPs to customers, royalties accrued from the sale of semiconductor chips incorporating these IPs, and maintenance services.

(https://cwn.kr/article/1065586371520573)