Microcontrollers Global Top Smart MCU Innovator 2018 Investor

Microcontrollers Global Top Smart MCU Innovator 2018 Investor Relations February 2018

Table of Contents 01 MCU 02 Business 03 Vision 04 Introduction Product Portfolio ABOV Business Area MCU Global Market ABOV Management MCU Market Segmentation Sales Category Future Opportunity Foundation ABOV Leading Products ABOV Sales in China GP MCU Roadmap Organization Growth and Margin ASSP MCU Roadmap Management Strategy Expansion Vision Market Position Annual Sales Record ABOV Network Core Competency

01 M C U • Product Portfolio • Market Segmentation • ABOV Leading Products

MCU Present MCU • Internal applications control Memory CPU Manufacturing Process In/Out S/W

Product Portfolio 범용 (GP) MCU 특정 (ASSP) MCU § Memory Type § Remote Controller • Flash MCU • OTP MCU • Single, Universal, LCD, IR blaster § Sensor • Touch Key, Light Sensor § Core Type • 32 -bit • 8 -bit • 4 -bit § Multimedia • 3 D Glasses • LED BLU (Back Light Unit) • Voice § Motor § Custom Solution • 12 V MCU • PPG MCU • Inverter Motor § Battery Management • Battery Charger • Power Bank • Smart Battery System 로직 IC § Peripherals • Segment LED/LCD/VFD Driver IC • I/O Expander § LED Lighting • AC Direct LED Driver § Audio Solution • PWM Processor • Audio So. C • Digital Class-D Amplifier

MCU Market Segmentation Consumer Automotive 1) Remote Controller Small home application Mobile / PC Motor Controller Medical / Healthcare 2) 1) Head/Rear Lamp, Day Light, Door Lock 2) Outside Mirror Folding, Power Window Infotainment/HVAC Industrial Energy White goods TV STB Building , Factory automation, High-speed railway train

ABOV Leading Products Remote Controller MCU Touch Key MCU SAR Sensor Small Home Appliances Integrated Platform for White Goods 32 -bit Power Bank MCU Mobile Accessories (Flip Cover, Travel Adaptor) Ambient Light Sensor

ABOV Leading Products – (1/3) Washing Machine Air-Conditioner(Indoor) AC 33 GC 256 Main AC 33 GC 256 Inverter AC 33 C 6064 (Main Controller) Core: Cortex-M 3 (32 -bit) Flash: 256 KB SRAM 24 KB PKG: MQFP-100 AC 33 C 6064 (Inverter Motor Controller) Core: Cortex-M 3 (32 -bit) Flash: 64 KB SRAM 12 KB PKG: LQFP-64 Main AC 33 GC 256 Inverter AC 33 C 6064 Refrigerator Air-Conditioner(Outdoor) Main AC 33 GC 256 FAN AC 33 C 6064 Inverter Control AC 33 GC 256 Inverter AC 33 C 6064

ABOV Leading Products – (2/3) PHILIPS ODM/OEM MC 97 F 1104 MC 96 F 1608 MC 96 F 8316 MC 96 F 6432 MC 96 FT 242 MC 96 F 8208 MC 81 F 8816 MC 96 F 4548 MC 96 F 6332 MC 96 F 7864 PHILIPS ODM/OEM MC 96 F 6432 MC 96 F 8316 MC 96 F 8208 MC 96 F 6432 MC 97 F 1204 MC 96 F 8208 S MC 96 F 7616 A A 31 G 112 MC 81 F 4204 MC 80 F 1604 MC 80 F 0504 MC 81 F 4104

ABOV Leading Products – (3/3) Rice Cooker IH Cooker CUCKOO MC 96 F 8316 MC 80 F 1604 MC 81 F 6204 MC 96 F 8204 AC 33 M 4064 MC 96 F 6432 MC 96 F 8316 MC 96 FT 242 Refrigerator A 33 G 257 A 33 G 256 Inverter AC 33 M 4064 Inverter AC 33 M 6128 Air-Conditioner (Outdoor) MC 96 F 643 MC 96 F 8316 MC 96 F 7864 Microwave Oven

개발양산 성공사례 1 § Full Flash MCU Pressure Cooker Air-Conditioner Blood Pressure Monitor Bidet Soy Milk Maker Power Tool Hair Dryer Microwave Oven § Voice MCU (MC 93 CV 420) § COMBO MCU Navigatio n Audio Blender Walky-Talky TV & Monitor Door Lock Rice Cooker E-Bike Curling Iron Set Top Box

개발양산 성공사례 2 Touch Key+SAR Robot Vacuum Cleaner MP : Galaxy S 6+, S 7+ 2016 A 3/A 5/A 7, C 5, C 7, C 9 2017 A 3/A 5/A 9, C 5 Pro, C 7 Pro… Vacuum Cleaner Mattress Vacuum Cleaner Air Cleaner

02 Business • • • ABOV Business Area Sales Category ABOV Sales in China Growth and Margin Expansion Annual Sales Record

ABOV Business Portfolio Domestic 2017 Sales KRW 1, 058 억(+2. 5%) Global CUCKOO Application Region Total ≒ 800 Customers ≒ 240 Customers ≒ 560 Customers

ABOV Sales In China (K$) (EA) 35, 000 400 30, 000 25, 000 350 300 250 20, 000 200 15, 000 150 10, 000 5, 000 0 Year 100 50 0

Growth and Margin Expansion Revenue Growth and Margin Improvement (Unit: KRW 100 M) ABOV Revenue Gross margin ABOV H. K Revenue Operation margin R&D Cost Investment

Annual Sales Record Major Products – Present & Future Constant Growth Compound Annual Growth Rate : 8 -bit/32 -bit GP MCU >15% Io. T/Consumer Electronics SAR/Grip Sensor Mobile Devices 2017 2016 Bluetooth Low Energy So. C Class-D Audio Amplifier AI Speakers 83. 5 2014 87. 5 2013 Year Quadcopter/Drone/Robot 89. 0 2015 Wearable/Smart Devices RF Remote Controllers Motor Controller 100(Est. ) 80. 4 2012 72. 9 2011 Etachips Acquisition 2010 50. 6 2009 Smart Home/Smart Factory Healthcare(Oximeter) 36. 5 2007 28. 2 0 50 Wide range of products and mass-production capability OVER 35. 1 Global Economic Recession 2008 Optical Sensor 61. 5 550, 000 Shipped Annually 100 [$M]

03 Vision • • • MCU Global Market Io. T MCU GP MCU Roadmap ASSP MCU Roadmap Vision

MCU Global Market APAC Market (Unit: $bn) Others, $0. 97, 10% EMEA, $4. 07, 25% Americas, $2. 81, 17% (Unit: $bn) Korea, $1. 00, 10% APAC, $9. 45, 58% China, $3. 90, 39% Japan, $2. 13, 21% Taiwan, $1. 93, 19% (Source: IHS 2015)

Io. T - MCU RF Sensor and Algorithm merged into a Smart MCU for upcoming Io. T market Present MCU • Internal applications control Memory Future Smart MCU • RF functions synchronized to connected applications CPU Manufacturing Process Memory Manufacturing Process CPU Bluetooth Algorithm Sensor In/Out S/W 1. RF (BLE, Wi. Fi, Zig. Bee, etc) 2. Protocol stack 3. MCU Cloud

Io. T MCU Roadmap 1 Road Map 2010 ~ Now ~2020 Conventional Home Appliances Io. T/Sensor Applications OTA Home Appliances Lineup ü General Purpose Series ü Display(LCD, LED) Series ü 2 KB~64 KB ROM ü 16~80 pins 2 Portable Medical Energy Metering Fire & Safety Battery Applications Application 스마트 카드 웨어러블 RF 리모컨

ASSP MCU Roadmap Bluetooth® 4. 2 & 5 MCU • • RF Remote Controller Wearable Device Beacon Payment USB Type-C PD MCU • Smartphone/Laptop Adapter • Power Bank • Monitor/TV Class-D Audio AMP • TV • Sound Bar • Wireless Speaker TA(Travel Adapter) IC • Smartphone Automotive MCU • General Purpose • Accessory (Type-C PD, 차량정보 BLE) Wireless Charger IC • USB PD & WPC Compliant • Smartphone • Small Home Appliances

Vision Global TOP Smart MCU Innovator Growth Automotive Industrial Io. T MCU Smartphone Measuring Instrument Medical Devices Large Home Appliances (32 bit) LED Tap driver Remote controller Battery Charger (BTC) Small Home Appliances 8 -bit 2006 2014 2017 Future

04 Corporate Overview • • ABOV Management Foundation Organization Management Strategy Market Position Annual Sales Record ABOV Network

ABOV Management Name Career - Korea Aerospace Univ. Telecommunication Engineering CEO Choi, Won - LG Electronics MCU Sales Team Leader - Green. Chips, CEO - ABOV Semiconductor, CEO - Yonsei Univ. CFO Kim, Yeong Jin - CPA - KPMG - ABOV Semiconductor, CFO - Yonsei Univ. Electronic Engineering R&D Chae, Jae Ho - Hynix Semiconductor, Director - Dongbu Hitek, Executive Vice President - ABOV Semiconductor, Executive Vice President - In. Ha Univ. Industrial & Management Engineering ABOV H. K Choi, Jae Kyung - Greentech (Shanghai), Director - ABOV Semiconductor, Managing Director

Foundation More than 25 years of accumulated R&D experience for MCUs 2006년 1월 11일 “ 2012, Hidden Champion” “ 2014, World Class 300”

Organization R&D Focused (>50 %) CEO QA Team R&D Marketing Production Group Management Group ABOV China

Market Position in China • • • ABOV Semiconductor ranked #16 in total Chinese MCU market in 2015 While ABOV revenue is growing at 15% annually, our China revenue is growing at 113% annually ABOV’s greatest strength lies on custom MCU solutions dedicated for customer applications Ø Optimized performance to meet customers needs Ø Proven customer service track record with major CE customers Global Market APAC Market (Unit: $bn) [범주 이름] [백분율] [범주 이름] [백분율] [범주 이름] [백분율] (Source: IHS 2015, IC Insights 2016) Global MCU Market ü Revenue > $17 billion ü Shipments > 22 billion units APAC MCU Market ü Revenue > $10 billion ü Shipments > 12 billion units 28

ABOV Network Germany USA Frankfurt Korea Los Angeles Seoul Ochang India Japan New Delhi Mexico Guadalajara Osaka Tokyo China Brazil São Paulo Shenzhen Hong Kong Shanghai Shunde Australia Subiaco Taiwan Taipei Singapore R&D Entity Test House Sales Office Sales Agency