@Decartes, MagnaChip isn't a pure play foundry like Dongbu.
But you are absolutely correct that MagnaChip is also offering a specialty foundry service similar to Dongbu. MagnaChip, too, is hoping to take advantage of the explosive growth of smartphones and tablets worldwide; MagnaChip, which is also striving to offer processes for such products as PMIC, modules and MOSFET, announced earlier this year the availability of 0.18 micron BCD process technology.
IC Insights' 2012 foundry service ranking chart (by revenue) shows MagnaChip at 11th place, whereas Dongbu is ranked at 9th.
It will be certainly interesting to watch how they will compete against each other...
The cost of building and running a fab is so high that few companies can afford the outlay. Foundries will always be needed by startups, so the business model is sound. Focusing on analog and high voltage processes should allow higher margins. The hard part is growing capacity without overextending the finances of the company.
Dongbu is really very fortunate to have Chang-Sik Choi as CEO for the firm. It is also very evident that Dongbu is having a very diversified product line, but still many products like MEMS are missing in it, Choi will be the right person to bring all the remaining into the basket of Dongbu. Also 300mm wafer size if a high demand of the growing need of semiconductor chips in the industries, and that will increase the production capacity almost by 50% more.