more news suggesting huawei is establishing its own fabs
According to a report by the Taiwanese media "Economic Daily", the industry has reported that Huawei intends to use the power of the largest domestic foundry SMIC to establish a wafer factory in Shenzhen and cut into wafer manufacturing. Through official funds, Huawei China's chip design capabilities, as well as SMIC's semiconductor manufacturing technology and experience, and also sought cooperation from the TSMC supply chain to expand its own chip manufacturing capabilities.
The report quoted an unnamed industry company as saying: "Recently, Huawei has come to us to help build a fab in the mainland."
The industry estimates that Huawei's initial investment to build a factory is about tens of billions of dollars. The industry believes that for Huawei, money is not a problem. The focus is on how to obtain abundant equipment and plant resources to quickly introduce mass production. It is understood that Huawei has locked up relevant members of the "TSMC Alliance" this time, hoping to use the experience of past alliance members to assist TSMC's fabs, shorten the learning curve of self-built fabs, and quickly enter mass production.
The industry revealed that Huawei is looking for partners to promote its own fab plan, and will work with SMIC Southern. Due to the official funding support from the mainland, the investment amount of individual companies is still unclear. How to bypass international patents and technologies is a problem. But it is still rumored that a factory will be built in Shenzhen to supply Huawei's own needs. SMIC South was jointly funded by SMIC, SMIC Holdings, National Largest Fund, and Shanghai Integrated Circuit Fund.
The industry pointed out that Huawei’s active self-built wafer fab should be the first step for the group to gradually develop from IC design to integrated component (IDM), not only for smartphones, but also for the local manufacturing of chips such as Netcom and telecommunications.
As of the publication of IT House, Huawei officials have not yet responded to this report.
It is worth mentioning that Huawei recently established a Huawei Precision Manufacturing Co., Ltd. with a registered capital of 600 million yuan. Its business scope includes: optical communication equipment manufacturing; optoelectronic device manufacturing; electronic component manufacturing; semiconductor discrete device manufacturing, etc., by Huawei Technology Co., Ltd. holds 100% holdings. According to China Business News, Huawei insiders responded that Precision Manufacturing Co., Ltd. has a certain scale of mass production and small batch trial production (capabilities), but it is mainly used to meet the system integration needs of Huawei's own products. "We do not produce chips. Our main business is the precision manufacturing of some core devices, modules, and components of Huawei wireless, digital energy and other products, including assembly and packaging and testing." The above-mentioned person said that the "semiconductor discrete devices" mentioned in the business scope "Mainly the packaging and testing of discrete devices.