You can’t get fat by eating just one bite. I’m sure SMIC has its reasons.
Chinese semiconductor industry
- Thread starter Hendrik_2000
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SMIC is a consumer of chipmaking machinery, not a producer or even an aggregator - it's next to irrelevant to China's semiconductor independence drive. And it's reasons are commercial, it's expanding its capacity to produce what its customers want. We shouldn't waste time on the trolling posts of tidalwave's alts.
What SMIC does is process engineering. That is relevant. Just see all the problems a company like Intel is having. They have access to all the tools including EUV same as TSMC or Samsung but can't build a process that works with them.
SMIC won't ramp up production at advanced processes because the tools and materials might be subject to sanctions and they lost both Huawei and Qualcomm as customers. That's millions of chips worth of orders lost. Not surprising they are focusing on processes which can use Chinese tools and materials. I think if the US sanctions hold they will likely switch to non-sanctioned tools and manufacture chips for Huawei in the near future. If both companies are sanctioned there's no reason not to operate with them as a customer.
SMIC won't ramp up production at advanced processes because the tools and materials might be subject to sanctions and they lost both Huawei and Qualcomm as customers. That's millions of chips worth of orders lost. Not surprising they are focusing on processes which can use Chinese tools and materials. I think if the US sanctions hold they will likely switch to non-sanctioned tools and manufacture chips for Huawei in the near future. If both companies are sanctioned there's no reason not to operate with them as a customer.
The DPP is deliberately causing a global chip shortage with the goal of attacking China's auto sector.
Europe is caught in the crossfire, which explains why it is drifting closer to China nowadays.
The Taiwanese may have bitten off more than they can chew.
Europe is caught in the crossfire, which explains why it is drifting closer to China nowadays.
The Taiwanese may have bitten off more than they can chew.
Which is why I don't think they will ever build an EUV fab in the US.
Not unless they want it to be gobbled up up freeloader.
Skywatcher
Captain
If half of that is true, than the EUVL embargo might not last very long.
Skywatcher
Captain
Wait, but what if South Korea just picks up the slack instead?
Okay.....recently SMIC recently completed the construction of it huge SN1 12inch FAB for 14nm Finfet Chips in Shanghai.@foofy @WTAN @Oldschool @OppositeDay
from cntechpost
SMIC will consider strengthening the development and deployment of first and second-generation FinFETs and expanding the reliability and competitiveness of its platform.
Means the mass production of 14nm and N+1 (8nm) chips? and whose the customer?
SMIC plans to expand production of 10,000 wafers on its mature 12-inch line this year
February 4, 2021 By:
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SMIC plans to expand its mature 12-inch line by 10,000 wafers and its mature 8-inch line by no less than 45,000 wafers this year, according to company Co-CEOs Zhao Haijun and Mong-Song Liang.
The leading contract chipmaker from China said in its fourth-quarter earnings release on Thursday that the current capacity in the foundry industry is tight and demand for mature processes, in particular, remains strong, with mature capacity expected to remain full.
In order to meet customer demand, SMIC expects to spend $4.3 billion in capital expenditures this year, with most of it going to mature process expansions and a small portion to advanced processes, civil construction of new joint venture projects in Beijing, and others.
Under the influence of the US entity list, SMIC will consider strengthening the development and deployment of first and second-generation FinFETs and expanding the reliability and competitiveness of its platform.
SMIC's revenue for the fourth quarter of 2020 was $981 million, and the company reported record financial results for the year, with profit attributable to the company of $716 million, an increase of 204.9%.
Because of its inclusion on the US government's entity list, SMIC's revenue target for the first half of 2021 is approximately $2.1 billion, with a full-year gross margin target of approximately 15 percent.
There are plans for another plant called SN2 which will be ready by 2024.
SMIC already produces 12nm and 14nm FINFET Chips and will be expanding the production of these Chips at this plant in 2021.
This was discussed earlier where the Shanghai Local Government was promoting the production of 12nm and 14nm Chips.
According to this CNTechpost article SMIC will strenghten production of 1st and 2nd Gen FINFET.
This means that SMIC will be producing its 14nm and N+1 Chips(April) at this new plant.
It appears the new SN1 production line is able to produce the N+1 Chips as well.
So looks like SMIC will mass produce its N+1 Chips this coming April as mentioned by Liang Mongsong.
SMIC will have no problems producing the 12nm and 14nm Chips for local and overseas customers.
SMIC is only restricted from producing Chips 10nm and below.
Will it sell to Huawei?
With the new Entity list laws, SMIC may be forced to supply Huawei with Chips.
Huawei has just released a new Mobile Phone with Kirin 710A 14nm Chips.
Most likely made by SMIC.
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