The Korean company LS Industrial Systems and Infineon Technologies AG have announced the establishment of the joint venture (JV) LS Power Semitech Co Ltd, which will focus on the development, production and marketing of molded power modules for white goods applications.

The establishment of the joint venture paves the way for Infineon and LS Industrial Systems to more rapidly access the promising market for energy efficient household appliances, such as washing machines, refrigerators and air conditioners, and also for other low-power consumer and standard industrial applications. The use of variable-speed motors to reduce the energy consumed by household appliances is growing in response to regulatory requirements and consumer demand. Concurrently, smart design of drive control electronics to make best use of these motors presents manufacturers with further opportunities for efficiency and savings.

LS Industrial Systems holds 54% and Infineon 46% of the joint venture with headquarters at LS Industrial Systems' site in the city of Cheonan which is located around 160km to the south of Seoul. Infineon will provide the joint venture with licenses to IP as well as technology and process know-how on its power module family CIPOS (Control Integrated Power System), and will transfer existing CIPOS back-end manufacturing equipment from Regensburg, Germany.

Both companies will closely cooperate in terms of marketing, international sales, and new product developments. LS Power Semitech expects to begin mass production for CIPOS modules by January 2010 in its Cheonan manufacturing site.