Chinese semiconductor industry
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Back in the day, sometimes we read that the Soviets exchanged some materials for socks from China, on a train car in a barter deal.
If China cannot use the US Dollar anymore, guess a company like Wal-Mart will have to conduct all its China business in RMB.
In that type of financial war, what choice does Wal-Mart have?
What would the US Dollar be worth? Who knows. The supply and demand thingy still applies. The demand for dollars goes down due to a significant portion of the world economy being barred from using dollars.
Then the supply of dollars continues upwards because of QE ...
Hendrik_2000
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Talking about demand for dollar is based on petro dollar as the most used commodity in the world. But petroleum based economy is coming to and end soon Now even big integrated company like BP and Shell is jettisoning the oil industry because they believe that by 2030 the use of oil will decline precipitiously and they now don't invest in oil industry anymore. More and more countries are legislating No gasoline car California forbid IC engine by 2030 Soon other state will follow
So if there is no demand for oil there is no demand for dollars
So if there is no demand for oil there is no demand for dollars
That is true, but while the US still has the US Navy to control the world's seas they might resort to blockades or embargoes to skew the world's economy. I mean just look at Venezuela or Iran as an example. This is why China not only has to boost its economy but also has to improve its Navy so they can counter the US. Not necessarily over the entire world but in the regions of its interest.
Oil should decrease in importance eventually but this might take a decade.
I don't understand the ways of Wall MArt to get RMB.
The USA can use its currency to buy stuff because the Chinese buying USA financial instruments.
They can buy these because the USA running trade deficits - buying more stuff that making, and the difference financed with selling USA financial assets to Chinese.
This gives lot of dollars to the Chinese (and many other) hands to conduct international deals in dollar, without the danger of facing 97 type Asian financial crisis.
Now, how can USA accumulate Chinese financial assets to use RMB to conduct the international trade , without the USA running trade surplus, and China running trade deficit ?
The other option should be that the Chinese gives RMB loans to USA, but that makes in short (5-10 years) Asian financial crisis type events , but with the USA suffering huge drop in exchange rate, and afterwards huge surge in export due to the cheap dollar.
So ? What would be preferred ?
I suppose Huawei can continue to pirate US EDA Software only as long as it manufactures Chips it has already developed using the ARM Architecture. Huawei has already been banned from using ARM in future Chip designs so it will have to use its own self Developed EDA Software for any new Chip designs.
Huawei will very likely develop its future semiconductor products using the MIPS Architecture and make it compatible to its Harmony OS. RISC V is also an option but less likely.
All these new Chip designs will be done on its own EDA Software.
The Loongson Chip is designed based on the MIPS Architecture and is actually made by STMicroelectronics in a FAB in Europe using the 28nm process.Hi WTAN,
Who FAB their chips, SMIC?
from cnTechPost
Chinese chip maker Loongson says it has more than 1,000 partners
2020-10-11 11:45:07 GMT+8 | cnTechPost
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To date, Loongson Technology has more than 1,000 eco-partners, the Chinese chip maker said, adding that he Loongson Adaptation Alliance, which was set up in July this year, has attracted more than 50 tech giants.
Loongson is setting up adaptation centers across the country to provide services such as adaptation environment, construction solutions, technical support, talent training, adaptation experience and solution sharing, the company said in an article posted on its official account on Saturday.
Currently, Loongson has adaptation centers in more than 20 provinces, cities and autonomous regions nationwide.
In the past two years, Loongson said it has completed thousands of product mutual recognition with its partners.
In September this year, Loongson completed another 57 product adaptations with 34 vendors, spanning big data, cloud platforms, security, safety, storage, office and other fields.
I can imagine that once SMICs 28nm Localised FAB is completed next year, Loongson might consider shifting production of some products to SMIC for security reasons.
Yes. They can. But they won't. not because they can't buy what ever you named from other countries. But because it opens the door to a financial war. Only reason why China cannot undermine the dollar is because they are part of that system. China sells stuff priced in dollars to other countries. If US bans China from using dollars. China will price those exports in some other currency driving down demand for USD.
Huawei can just do what Apple does and get an ARM ISA license and design their own ARM compatible processor core.
I doubt that would have any US content to get banned.
The main problem with ARM is that NVIDIA is going to acquire it and more BS will happen for sure.
I think RISC-V would be an interesting choice but the problem with that is binary compatibility with existing applications. Intel tried for years to compete against ARM in the smartphone sector and even paid Lenovo to use their chips but because running Android applications on x86 required binary dynamic translation from ARM it just wasn't competitive. Of course if Huawei forces application developers to recompile their applications to Harmony OS on that architecture that would solve that problem but porting software a lot of times isn't just as easy as that. As Intel discovered also.
Yes, it is fabbed at STMicro using a 28nm FD-SOI process. So it might not be that easy to port to a SMIC 28nm process.
I think they would be better off designing their next chips for a SMIC process and jump to that straight away.
The Chinese state should support this since the proprietary rights to the MIPS architecture are owned by Chinese investors and Loongson has much less chance of infringing any Intel or AMD patents precisely because it is based on MIPS. Much like Transmeta.
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