🔥 [Yangpa's Macro View] Substrate Shortage is Here! Will LG Innotek Soar on the AI Tailwind? 🚀 - 2026.06.06

How is everyone doing! This is Reporter Yangpa from Bultagi.com, a veteran who has watched the market for 30 years.

Recently, the KOSPI took a hit due to the Broadcom shock, and foreigners massively net-sold large IT stocks including our LG Innotek, making the market quite volatile, right? ^[6] Seeing the price drop to the 1.16 million won range based on the June 5 closing price probably made everyone's heart sink ^[7]. But hey! What did I tell you~ In times like these, you have to look at the macro trends and the fundamentals of the main business!

🔥 AI Substrate Crisis, The Bell of Opportunity is Ringing 📈

Oh boy~ Can't you hear the market applauding? Right now, the bottleneck of AI infrastructure expansion is shifting entirely from GPUs to memory and substrates ^[4].

• According to a KB Securities report, the AI substrate supply shortage is expected to last for at least 2 years until 2028 ^[1].
• Even though Q2 is originally the biggest off-season for the substrate business, the utilization rate is at 100% full capacity ^[1].
• Global big tech companies are lining up to sign Long-Term Agreements (LTA) while even handing over prepayments, creating a structure where everything is sold out as soon as it's expanded ^[1].
• Accordingly, KB Securities raised its target price to 2 million won ^[1].

They say they can't sell substrates because they don't have enough, so our Innotek's 'spirit' is soaring high! I'm not joking around here~ Hahaha!

🚀 330,000㎡ Expansion in Haiphong, Vietnam, A Different Scale ☕

With such explosive demand, the company isn't just going to sit still! On the 4th, they signed an MOU for a massive semiconductor substrate plant expansion with Haiphong City, Vietnam ^[2].

• The site alone is 330,000㎡, the size of 45 soccer fields! Construction starts this July with a goal of completion by May next year ^[2].
• The Gumi plant will remain the 'Mother Factory' developing high-value new technologies, while Vietnam will be turned into a mass production hub under a 'dual-track production strategy' ^[2].
• Based on this, they revealed a grand ambition to grow package solution revenue to over 3 trillion won by 2030 ^[5].

🔥 Physical AI Alliance with Jensen Huang 📈

And the talk of the town yesterday and today! Did everyone see Nvidia CEO Jensen Huang come to Korea and have a 'Samso (Pork belly + Soju)' meeting in Hongdae? ^[3]

• In the 'Physical AI' ecosystem pushed by Nvidia, synergy with the LG Group is strongly expected ^[9].
• In particular, LG Innotek has a firm grip on precision sensing technology, camera modules, and AI server semiconductor substrates (FC-BGA), drawing attention as a core partner ^[8].

From the perspective of Yangpa, an aggressive investor who reacts fastest to macro tailwinds (truce, rate cuts, easing), this short-term correction is just a breather. Holding the substrates and sensing technologies responsible for the blood vessels of the AI era, Yangpa sees a clear bullish scenario for LG Innotek in the mid-to-long term. The flow of the capital market cannot be defied! Let's all keep our mentality strong and look at the big picture of the market!

📰 Reference News (9)

1

AI Substrate Shortage... LG Innotek to Hit 2 Million Won - KB

네이버뉴스 · 2026.06.05

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2

[Industry/Tech] LG Innotek to Build Semiconductor Substrate Plant the Size of '45 Football Fields' in Hai Phong, Vietnam - Good Morning Vietnam Media

굿모닝베트남미디어 · 2026.06.05

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3

Jensen Huang Enjoys Friday Night in Hongdae... Forges 'AI Alliance' with Korean Firms

네이버뉴스 · 2026.06.05

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4

AI Bottleneck Shifts from GPU to Memory and Substrates... Samsung, SK Hynix, Samsung Electro-Mechanics, and LG Innotek to 'Benefit'

네이버뉴스 · 2026.06.05

📰 View original

5

LG Innotek Invests in Vietnam Semiconductor Substrate Plant Expansion... Accelerating Package Business Following Optics - Electimes

전기신문 · 2026.06.05

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6

"Goodbye Retail Investors" Foreigners Dump 30 Trillion Won in Samsung... Where Did All That Money Go?

네이버뉴스 · 2026.06.06

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7

LG Innotek Stock Fluctuates Over 5 Trading Days, Settles in 1.1 Million Won Range

네이버뉴스 · 2026.06.06

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8

Jensen Huang: "Korea is a Manufacturing Hub... Hiring for R&D Center Begins"

네이버뉴스 · 2026.06.05

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9

LG Group Joins Nvidia's 'Physical AI' Alliance... 'One Team' Synergy Across Affiliates

네이버뉴스 · 2026.06.05

📰 View original