Chinese semiconductor industry

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tokenanalyst

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The Chinese are exercising their legs, geopolitics is making that 52% of the investment in China is going to upstream part of the supply chain of their semiconductor industry.
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Affected by geopolitical factors coupled with the downturn of the chip market business cycle, China's semiconductor industry development focus is gradually shifting upstream. During 2021-2022, there were 176 semiconductor materials projects and 56 equipment projects, they took up a combined share of more than 30% of the 742 projects in total.

In comparison, during 2016-2020, there were only 40 semiconductor material projects and 7 equipment projects, accounting for a total of 15.6%.


In other words, the Chinese invested in a single year in the most neglected foreign dominated area of their semiconductor industry DOUBLE of what they invested in four years.


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HereToSeePics

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Any Chinese AI chips to replace Nvidia

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was mentioned in this discussion thread quite a few times in the past, especially after the release of their BR100 GPU that
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. But they've been very quiet since the last rounds semiconductor manufacturing sanctions from last year - most likely due to the 7nm process that is required to produce their chips.

Who's next after Micron?

Texas Instruments has a
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according to wallstreet estimates would be a reasonable target in the semi space. They specialize in
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built on older processes like DACs, power management, embedded microcontrollers, logic and analog circuits that are reasonably easy to substitute with Chinese, Korean and Japanese competitors.
 

huemens

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The timing of the rule’s rollout is still uncertain, as chip makers continue to push the administration to forego or ease the new restrictions. The administration is likely to wait until after a visit to China by Treasury Secretary Janet Yellen in early July to avoid angering Beijing, according to a source familiar with the situation.
Could this mean that the US is hoping to use this threat as some kind of leverage to negotiate something during Yellen's visit.
 

Maikeru

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Could this mean that the US is hoping to use this threat as some kind of leverage to negotiate something during Yellen's visit.
It could, who knows? They could do it regardless of Yellen's chip. China should assume the worst and proceed accordingly - as I'm sure it is. If the worst doesn't happen all well and good but if it does at least some preparations have been made.
 

tokenanalyst

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Shanghai Institute of Optics and Mechanics has made progress in research on silicon carbide surface femtosecond laser modification to improve polishing efficiency

  Recently, the Center Laboratory of Precision Optical Manufacturing and Testing of Shanghai Institute of Optics and Fine Mechanics, Chinese Academy of Sciences has made progress in the research of femtosecond laser modification of silicon carbide surface to improve polishing efficiency. It is found that the surface modification layer with bonding strength of 55.46N can be obtained by modifying the surface of RB-SiC pre-coated with Si powder by femtosecond laser. And the surface of the modified RB-SiC can be polished for only 4.5 hours to obtain an optical surface with a surface roughness Sq of 4.45nm. Compared with direct grinding and polishing, the polishing efficiency is increased by more than 3 times. The research results expand the surface modification method of RB-SiC, and the controllability of the laser and the simplicity of the method make it applicable to the surface modification of RB-SiC with complex profiles. Relevant results were published in Applied Surface Science ("Applied Surface Science").

  As a silicon carbide ceramic, RB-SiC has excellent performance and has become one of the best and most feasible materials for light-weight large-scale telescope optical components (especially large-size and complex-shaped mirrors). However, RB-SiC is a typical high-hardness, multi-phase material. When liquid Si reacts with C during sintering, 15%-30% of residual silicon remains in the green body. The difference in the polishing properties of these two materials will form micro-steps at the junction of the SiC phase and the Si phase components during the surface precision polishing process, which is prone to diffraction, which is not conducive to obtaining a high-quality polished surface, and will affect the subsequent polishing belt. Here comes the great challenge.

  Aiming at the above problems, a femtosecond laser surface modification pretreatment method was proposed. Using femtosecond laser to modify the RB-SiC surface pre-coated with silicon powder can not only solve the problem caused by the difference in two-phase polishing performance. Surface scattering problem, and can effectively reduce the polishing difficulty of RB-SiC substrate and improve polishing efficiency. The research results show that the pre-coated Si powder on the surface of RB-SiC is oxidized under the action of femtosecond laser, and as the oxidation gradually penetrates into the interface, the modified layer forms a bond with the RB-SiC matrix. By optimizing the laser scanning parameters to adjust the oxidation depth, a high-quality modified layer with a bonding strength of 55.46N was obtained. Compared with the RB-SiC substrate, the modified layer is easier to polish, so that the surface roughness of the pretreated RB-SiC can be reduced to Sq4.5nm in just a few hours of polishing, and the abrasive polishing of the RB-SiC substrate Compared with that, the polishing efficiency has increased by more than 3 times. In addition, the method is simple to operate, has low requirements on the surface profile of the RB-SiC substrate, can be applied to more complex RB-SiC surfaces, and significantly improves the polishing efficiency.​

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Overbom

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Great news.

Now tencent, bytedance & inspur will have no excuse to use Nvidia products. I am kind of sick of these Chinese tech not using Huawei ai chips because they don't want to use their competitors products. This should leave them with no choice.
Big tech companies might want Huawei to spin off their AI chip business before they buy from them
 

horse

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Big tech companies might want Huawei to spin off their AI chip business before they buy from them

Then again, if big Chinese tech businesses, do not buy from Huawei, they may no longer be in business if they buy American and then the Biden ban those sales.

The PRC attack on Micron, that appears to be insisting all products imported into China be Micron free, this a clear signal to all tech companies worldwide that this tech war is going the distance.

If a tech company unfortunately gets caught in the crossfire and becomes collateral damage, well then that is tough shit.

Echos of Chairman Mao. To make an omelette, gotta break some eggs.

It is kind of interesting.

They keep talking about a Ukraine counteroffensive, but here comes the Chinese counteroffensive in the tech war and it is coming on hard, like real hard.

There is no limit to the damage they want to inflict onto Micron.

It is like the car industry. China is the biggest car market. Automobile makers must be in this market. Be there, be square.

Micron is being cut off.

:oops::D
 

european_guy

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Great news.

Now tencent, bytedance & inspur will have no excuse to use Nvidia products. I am kind of sick of these Chinese tech not using Huawei ai chips because they don't want to use their competitors products. This should leave them with no choice.

One difference I see in AI marketplace development in US and China is that in US companies are willing to make synergies and collaborate among them, for instance there are only few big players with big models and big GPU farms, and many companies that leverage them for specific applications and market niches.

In China instead it seems everybody wants to build their own model. There is a huge and widely spread duplication of efforts and energies, across a huge number of actors, big and small, old and new.

It is almost impossible to predict the outcome of a possible NVIDIA ban, but one can assume that this will lead to less fragmentation in the market because hardware resources will be more scarce, so who has the hardware and the data centers will serve also GPU-less companies that may still have good business ideas. Tencent calls this MaaS (Model as a Service), and it's like cloud service but for AI.

IMHO a ban of NVIDIA could lead to this. Not necessarily a bad thing in the long term, but of course another annoying issue to manage in the short term.

Could this mean that the US is hoping to use this threat as some kind of leverage to negotiate something during Yellen's visit.

Yellen goes to China to push China to buy US treasury bonds. China reduced its portfolio of US securities of
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. This is a problem for US because their economy (including their huge military budget) is heavily based on debt, i.e. on printing money. They leverage the dollar status as world currency to print money as if there is no tomorrow.

I have no idea if this ban will be used as leverage by Yellen, but IMHO if (this is a big if) SMIC 7nm production is enough for AI, they will not cave in to US blackmail: a ban of NVIDIA will kick them out of China market for free (as is happening now with AMAT and friends), a huge plus for China in the long term, when the Chinese fabs will reach advanced nodes capacity in volumes.
 
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