Chinese semiconductor industry

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gadgetcool5

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Huawei should not directly get involved in fabrication. Instead it should invest in and support third party fabricators. The industry trend is towards fabless, this model has proven to work better. Going back to vertical integration will not work for Huawei, they should focus on their core competency.
 

localizer

Colonel
Registered Member
vscel is for stuff like LIDAR.

1613363955281.png

I'd assume Huawei is doing it for the automotive lidar systems.

gotta make money with >45nm fab.

1613364346639.png
 
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ansy1968

Brigadier
Registered Member
Huawei should not directly get involved in fabrication. Instead it should invest in and support third party fabricators. The industry trend is towards fabless, this model has proven to work better. Going back to vertical integration will not work for Huawei, they should focus on their core competency.
Not want to embarrass you bro, but Come on @gadgetcool5 are you trolling us, :mad: Huawei had been following your suggestion since before the sanction and look what happen to them now, they're scrambling to solve their Chip problem. For a large and diverse company, HW is right to follow the footstep of Samsung and do IDM. And their FAB will help secure the supply of chips to innovate more and create new things. The better solution is HW buy SMIC that will solve both of their problems instantly.
 
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gadgetcool5

Senior Member
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Not want to embarrass you bro, but Come on @gadgetcool5 are you trolling us, :mad: Huawei had been following your suggestion since before the sanction and look what happen to them now, they're scrambling to solve their Chip problem. For a large and diverse company, HW is right to follow the footstep of Samsung and do IDM.
What? I was not even making any suggestions before the sanction. :) Huawei is right to invest in chip manufacture, just that IDM is a bad model. Intel has proved it, AMD has, Qualcomm has, every Japanese electronics maker has, etc. TSMC and SMIC proved that dedicated fabrication is the way to go. The same for other elements of the supply chain. Samsung is an outlier... it will probably will fall behind as well.
 

ansy1968

Brigadier
Registered Member
vscel is for stuff like LIDAR.

View attachment 68776

I'd assume Huawei is doing it for the automotive lidar systems.

gotta make money with >45nm fab.

View attachment 68777
@localizer, HW in my view is doing a three pronged approach to solve its chip dilemma just like China had done with its Super Computer Program (HPC), 1) to support SMIC 2) to make its owned FABS 3) to develop new tech to produce chips. Its expensive but at least a solution is being solve quickly the long term effect will make them self sufficient and strong technologically.
 

gelgoog

Lieutenant General
Registered Member
Well Huawei ships enough volume they can justify an investment in large fabs. Plus to manufacture the ASICs they use in the backend doesn't require the most expensive factories. They can use 200mm wafers with older manufacturing processes.

Fact is a company like Apple or Huawei have enough volume to own fabs. Once you get to manufacture tens of millions of devices you get to the threshold where a fab becomes a possibility. That didn't don't do this looks stupid to me.

Intel and AMD have failed for several reasons and it wasn't because being an IDM was a bad idea. AMD ran out of capital after a disastrous purchase of ATI at vastly inflated prices. Intel has bit more than it could chew with 10nm and thus failed. As leading edge process design leaves the US it becomes increasingly more difficult for the US to remain competitive. Once IBM and AMD left the market it left a huge hole in the competitive landscape of US semiconductor manufacturing. One which I suspect the US may never recover from.
 

localizer

Colonel
Registered Member
Well Huawei ships enough volume they can justify an investment in large fabs. Plus to manufacture the ASICs they use in the backend doesn't require the most expensive factories. They can use 200mm wafers with older manufacturing processes.

Fact is a company like Apple or Huawei have enough volume to own fabs. Once you get to manufacture tens of millions of devices you get to the threshold where a fab becomes a possibility. That didn't don't do this looks stupid to me.

Intel and AMD have failed for several reasons and it wasn't because being an IDM was a bad idea. AMD ran out of capital after a disastrous purchase of ATI at vastly inflated prices. Intel has bit more than it could chew with 10nm and thus failed. As leading edge process design leaves the US it becomes increasingly more difficult for the US to remain competitive. Once IBM and AMD left the market it left a huge hole in the competitive landscape of US semiconductor manufacturing. One which I suspect the US may never recover from.
Intel is failing precisely because of what the US govt and lobbies trying to do to Huawei and other Chinese industries. They've been monopolizing their manufacturing and x86 designs. Now they're getting destroyed by TSMC and ARM/AMD/Apple.

AMD doing ok but dependent on TSMC.


Intel can claw back if they figure out EUV and skip straight to 3nm or 5nm


If anything I'm betting Apple will become a dominant chip manufacturer in the future.
 
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ansy1968

Brigadier
Registered Member
What? I was not even making any suggestions before the sanction. :) Huawei is right to invest in chip manufacture, just that IDM is a bad model. Intel has proved it,
It's okay bro my bad:), your sample of Intel is a bad one. They are not the same, Intel had the luxury of buying the best equipment money can buy from the international market and still they bungled their advantages. Their problem is COMPLACENCY. Being a monopoly they drop the ball and is now leaving their once dominate position. Such a shame.
AMD has, Qualcomm has, every Japanese electronics maker has, etc. TSMC and SMIC proved that dedicated fabrication is the way to go. The same for other elements of the supply chain. Samsung is an outlier... it will probably will fall behind as well.
Bro HW problem is who will supply the Chips, If they follow Samsung as an IDM with a domestic line manufacturing process , the US will think twice before sanctioning them. Beside having a FAB is also part of HW core business and with HiSilicon plus Harmony OS a core competency, it will complete an IC industrial chain far bigger and better than Samsung.
 

Nutrient

Junior Member
Registered Member
Huawei is right to invest in chip manufacture, just that IDM is a bad model.

(By the way, IDM means "integrated device manufacturing": a company designing AND making its own chips.)

At the highest end, the heavy cost of a cutting-edge fab could be prohibitive. But there is a huge market for chips that don't need a state-of-the-art fab: electric cars and trucks, Internet of Things, 5G, and so on.

By 5G, I don't mean just the base stations; I mean an absolutely gigantic potential market for devices that will be using 5G. Probably Huawei wants to capture a large chunk of that market. TSMC is likely drooling over it too, and that could be why you are trying to scare mainland Chinese companies from producing their own chips.
 
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