According to CCTV reports, many domestic home appliance manufacturers are worried about long-term dependence on overseas chips and will encounter the risk of supply interruption in the future, so they have begun to try to use domestic chips. Due to the increase in market demand, domestic micro-control chip manufacturers have also ushered in a good opportunity for rapid development.

Yuan Yongsheng is the head of a micro-control chip manufacturer in Shenzhen. According to him, orders for micro-control chips have been very hot this year, especially orders for micro-control chips for small home appliances have been full. The demand of the entire market has exploded by nearly 10 times. Up to now, the existing orders have exceeded 300 million.

Although there are many orders, due to the shortage of wafer and packaging resources and the sharp increase in costs, many companies’ production capacity cannot keep up for a while, so they have to give up some orders. At present, the entire market is in short supply. Recently, domestic micro-control chip manufacturers Smart Microelectronics and Rockchip have announced that they will increase the price of chip products to varying degrees from April 1. At the same time, manufacturers such as Renaggi Semiconductor, Minsil Microelectronics, and Huiman Microelectronics have also issued notices of product price increases.

According to industry insiders, as the current shortage of the micro-control chip market continues, the local micro-control chip industry chain is expected to accelerate market expansion and increase product shipments to meet market demand.

Do you know what kind of chip they are talking about? It is a microcontroller used in washing machines, rice cookers, air conditioners, and various remote controls, with a wholesale price of RMB 1~5, such as Macro Crystal 51 single-chip microcomputer, cortex m3 and so on. You build 1 million air conditioners and let Hongjing ship 2 million units of Hongjing’s 51 single-chip microcomputers (one air conditioner and one remote control)-the total price is just 2 million yuan, which is approximately equal to nvidia’s 200 3090 GPUs. Price-not enough for Alienware’s official website to snap up 10 minutes of notebook sales. In the past, “100 million shirts are exchanged for a Boeing 747”, but now “10,000 Macrojing 51 micro-controller chips are exchanged for an nvidia 3090”, how come you start to install laymen one by one? The co-author really thought that “Hongjing 51 single-chip microcomputer is full, so Hongjing and nvidia are 50-50”? China’s chips will make great progress in the next 30 years, but it is not today in 2021-a rational view of the normal development of an industry is more than “As a melon-eating crowd, what you see is boiling, what you catch and what you catch, just finished blowing acres yesterday. The attitude of “forget about producing one hundred thousand catties today” is much stronger.


By zhiwo

0 0 vote
Article Rating
Notify of
Most Voted
Newest Oldest
Inline Feedbacks
View all comments
7 months ago

normal. In the past, the same chips were bought from foreign countries even if they were more expensive, because problems can be blamed. Conversely, if there is a problem with buying a domestic product, you have to explain why you don’t buy a foreign product but you want to buy a domestic product, whether you have received a benefit or something. This is not about the policy makers’ admiration of foreigners, but a rational decision under the self-protection mentality. Now, “China-made chips may be a bit short, but foreign products are in danger of being out of supply.” This reason is justified, and others can’t fault it. Similarly, this is also a rational decision under self-protection. After all, if you insist on buying foreign goods and you really cut off your confession, the pot will be all on your back. From the perspective of the development of the chip industry, I am really grateful to the Americans for their ban on sales.

7 months ago

The first thing you need to do is to solve the problems you created, otherwise the more you blow out, the more you rely on the outside world. This thing is difficult to rely solely on market promotion. Chip demanders will order cost-effective chips. Chip designers will look for cheaper places to tape out. The tape-out manufacturer will purchase cost-effective equipment unless it is not available. And your chip designer is buying the IP of a foreign company to build blocks, and he lacks competitive technology. So, this blowout is the same as the smart phone blowout. A ban can kill a company. Companies containing American technology are not allowed to manufacture for a certain chip company, and the chip company will die immediately. Companies containing American technology are not allowed to license IP to a chip company, and the chip company immediately died. Companies that contain American technology are not allowed to manufacture and license IP to the top 20 chip companies in China. These 20 companies immediately die. The so-called blowout industry collapsed all at once. Chips, which are related to the national economy and people’s livelihood, still need to have the entire industry chain, even if it is a low-level spare tire. The meaning of the whole industry chain is that you can make chips from raw materials such as sand, ore, and oil. If the United States takes its allies to choke their necks, they will not be able to choke you. Under market competition, this is wasteful and uneconomical, and it always loses money, but it exists on a small scale and can be copied on a large scale if necessary, and it becomes meaningless to get stuck. With national money, it is necessary to develop such a backward but usable industrial chain (for example, a completely independent 28nm production line). There may be hundreds of companies in the upstream and downstream of the industrial chain. This thing is the same as the military industry. You cannot rely on others.

7 months ago

It is good for domestic wafer foundries. In recent years, there is no need to worry about orders and only need to expand production capacity. Expansion of production capacity not only helps to improve the process yield, but also increases its own revenue and strengthens its self-hematopoietic ability. It is good for domestic equipment and material manufacturers. The explosive demand will be transmitted to the upstream of the industrial chain, localization will accelerate, and the situation of fabs will improve. Domestic manufacturers have more opportunities for equipment verification and introduction. The increase in demand can attract the continuous expansion of production such as TSMC Nanjing or Wuxi sk to improve the domestic market position. The continuous increase in the revenue share of major foreign suppliers in China will also enhance the resilience of the global semiconductor industry chain. It is good for semiconductor investment, consulting and other industrial institutions. At the same time, the performance of A-share related companies will improve, and the confidence of the secondary market will be strengthened, which will help more companies to go to the Sci-tech Innovation Board in the future. But be wary of blindly increasing production capacity leading to unfinished projects.

7 months ago

After reading the high praise speech of Lidang classmate, I felt that Erdai reminded Sansha: What is there to brag about? They are all low-end chips. After a big break, the report said it was a small factory in Shenzhen that did micro-control, and the company mentioned below is also Smart Microelectronics or something. Does this group of Dai sha not know about Huawei, ZTE, Unisplendour, and SMIC? Does anyone in China deny that China’s top companies are significantly behind the United States in the semiconductor industry? Otherwise, the personally known incident of Huawei being hacked by the United States can still be useful. What a fuss about climbing out of the well? Haven’t you heard in the well that the Chinese tea industry eggs can’t even eat it? Where is the difficulty in the semiconductor industry? The initial investment is at the aerospace level, and most of the cabbage prices that can be sold in the later stage. Do the forks think that only the CPU and GPU are the chips? All are on the LED light board, and on the electric cucumber your mother uses. These chips are sold in the international market for a few cents, and you have self-developed and produced hairs in China (the same as the ballpoint pen refills in the eyes of Minke). But the amount of this stuff is huge, N orders of magnitude higher than the CPU. 80% of the profits of the semiconductor industry are in low-end chips. There are also leading iron companies in China that have made them in a certain branch, but if China makes them, Renjia International will reduce the price. Therefore, it is difficult for domestic semiconductor companies to survive in the market. It’s fine now. Your American company is good in quality and sells cheaply, but my Chinese company is afraid that your grandson will cut off the supply, so I would rather buy a domestic one at a loss. Who is this great thing for? To whom is losing a customer like a bereavement? Look at where your ass sits, and you should understand what your attitude is. Lidang classmate, what do you think? In the semiconductor industry, China’s biggest lagging behind is not chip design, but tools (design software, lithography machines, almost a complete set of applied materials), processes and materials. This is a long process. It is a great thing to have China’s own companies and the market for blood transfusions. Just like the BOE’s screen, back then (and now) how much of the horizontal crotch B was exposed and a group of sweet potato powder satirized the BOE’s screen inferior to Samsung. Mr. Apple is also doing it. However, the blood transfusion of Chinese conscientious enterprises and conscientious consumers has allowed BOE to stand firm.

7 months ago

Regarding the current global chip shortage, Intel (INTC.O) CEO Pat Gelsinger said in an interview that “the supply restriction situation will continue before more production capacity goes online to meet the chip demand, and the global chip supply shortage situation may still be It will last for two years.” On the other hand, in the global chip shortage, due to the increase in market demand, domestic micro-control chip manufacturers have also ushered in a good opportunity for rapid development, and domestic chip orders have ushered in a blowout, especially small The demand for home appliance chips is strong, and some Shenzhen companies’ orders have soared by as much as 10 times. However, despite the surge in orders, due to the shortage of wafer and packaging resources and the sharp increase in costs, many companies’ production capacity cannot keep up for a while, so they have to abandon some orders. At present, the entire market is in short supply. And because of the shortage, major chip manufacturers have adjusted their prices one after another, and prices have continued to rise. The semiconductor industry is worried that it will rely on foreign chips for a long time and will encounter a supply crisis in the future, so it has begun to try to use domestic chips. This year’s chip orders are very hot and have been full. The demand in the entire domestic market has exploded by nearly 10 times. Up to now, the current orders received have exceeded 300 million, and the current market is in a state of short supply. For this reason, I also compiled a “list of domestic chip industry chains”. Friends in the stock market can pay attention to it. Add the old buckle: 2522449870. Remarks that friends can be used when domestic chip replacement reaches a critical point, and the chip will not be afraid of interruption. . But the key point is to always remind yourself that you cannot go below this critical point. Domestic downstream companies are not afraid of cutting off the supply of domestic chips, and they have the ability to bargain with the West, then it is the countdown to the end of foreign chips. When our semiconductor industry can achieve the complete localization of 7NM chips and reduce the dependence on chip imports by 50%, we should really “thank” the United States, who forced us to go out of this domestic road. After completing the entire industrial chain of domestic chips, domestic chips will not be stuck, but will drive foreign manufacturers to a dead end with higher quality, lower prices and a more stable supply chain. It’s just like our country’s surpassing in home appliances, mobile phones and other industries before. When China masters the 7-nanometer DUV production line to beautify by 2025, it can achieve 70% chip autonomy by 2025. Although the U.S. cut off supply in recent years has had a great negative impact, it has helped China in the long run. Originally, the Chinese semiconductor industry naively believed that the U.S. would not do anything special, so the speed of research and development was not slow. However, Europe, the United States and Japan have implemented strangulation strategies on China’s existing technology and equipment, resulting in the low rate of domestic equipment on domestic semiconductor production lines. No company will try domestic equipment in order to reduce short-term production efficiency. The less domestic equipment is tested, the easier it will be. There is a gap between the equipment in Europe, America and Japan, and the less Chinese companies like to use it, creating a vicious circle. This time the US chip supply cut off is a wake-up to China. I really think of the US too well. Now my country’s semiconductor industry is comprehensively de-beautifying and speeding up technological research and development. It is expected that mass production of 14-nanometer chips and domestic lithography machines will begin in 22 years. There are other domestically-made equipment that are also improving while producing. SMIC has already completed the 14-nanometer process capability. It is not a problem to fully grasp the 7-nanometer production line 25 years ago. The EUV lithography machine was originally prepared to complete the research and development in 2030, but after this stimulus, the research and development progress will only get faster and faster. It is boldly predicted that the EUV lithography machine will be completed in 2025 and the fully localized EUV production line will be completed in 2030. At that time, the US really had nothing to do with China in the semiconductor field. Huawei was cut off from the supply of finished chips, and all high-end, mid- and low-end products were cut off. It had to sell mid- and low-end mobile phone brands to survive, and high-end mobile phones still had to rely on inventory of finished chip products. Domestic companies were originally unable to design high- and mid-end chips. Seeing Huawei’s difficulties, they wanted to help but couldn’t help. They can only help after a relatively long period of time. SMIC lost Huawei’s 14-nanometer large order due to the use of American technology, and advanced processes below 10 nanometers have been significantly adversely affected. ASML in the Netherlands has not yet supplied that 7-nanometer EUV lithography machine. Moreover, it is not difficult for SMIC to have only one extreme ultraviolet lithography machine. It is difficult for my country’s chips to be made in China because of the late establishment time and the lack of technology accumulation. Fundamentally, it is because extreme ultraviolet lithography equipment is too difficult to manufacture. It must take a long process. During the development, it has been cut off by foreign countries. , So it was blocked for a long time and had to spend the world’s most money to buy foreign chips. Fortunately, our country is now making greater efforts to squeeze the layout, policies, money, and talents. Domestic chip companies have become more determined in terms of technological self-reliance and self-reliance. In addition, our country is still the world’s largest chip market. In short, there are many development opportunities. The remaining problem is time. I believe that relying on our domestically developed technology will definitely eliminate the difficulties of domestic chips.

7 months ago

In the long run, this is of course a good thing. For a long time, the methods adopted by my country’s chips have been mainly imported, and self-research is worse than purchase. Since the supply cutoff, although the domestic chip market is mixed, my country’s chips have indeed begun to work hard, hoping to be able to master the core technology on the chip road, so as to achieve independent walking instead of relying on foreign countries. The blowout of orders for domestic chips is, to a certain extent, a kind of support for chips in the industry. For the chip market, although we lag behind, we will not give up. I hope that we can continue to maintain this posture, and our country can master the technologies developed by other countries for decades. After all, no one can take away what one owns.

7 months ago

The future is very good, but don’t be too happy now. The bulk of the growth is still low-end chips, which, to put it bluntly, are those that cost a few tens of dollars. There is still a huge gap between the foundry level of Chinese manufacturers and the mainstream. We are not unable to design good chips, such as Huawei’s Kirin 9000, which is worth $200 against the standard Snapdragon 888. It is possible to design a chip for 200 dollars, but only a chip for a few dollars. This is the current situation facing China.

7 months ago

The chip industry is the world’s top science and technology industry, and it is also a product of global division of labor. Its complexity has surpassed the production capacity of a country and requires division of labor and cooperation. Let’s take a look at its industrial chain first: Overview of the integrated circuit/chip industry chain Upstream: Mainly the raw materials and production equipment required for integrated circuit/chip manufacturing. Midstream: The production process mainly involves chip design, wafer processing, packaging and testing. Downstream: used in communication equipment (including mobile phones), PC/tablet, consumer electronics, automotive electronics and other industries. What are the top companies in the various processes of integrated circuits that restrict the development of Chinese chips? 1. Semiconductor materials-wafer production chips require electronic grade purity of 99.999999999% (don’t count, 11 9), almost all rely on imports, until 2018, Xinhua Company in Jiangsu achieved mass production, and the current annual output is 0.5 10,000 tons, while China imports 150,000 tons a year. 2. Designing the chip Qualcomm, Broadcom, and AMD in the United States are all specialized in designing and are already very mature. Taiwan has MediaTek, and the mainland has Huawei HiSilicon, Ziguang Zhanrui, Ziguang Guowei, Silan Micro and so on. However, China is more profitable. Only Huawei HiSilicon and Ziguang Zhanrui design high-end computer and mobile phone chips, and they have only just started. 3 Manufacturing the chip After designing the chip, apply a layer of photosensitive material on the wafer mentioned above, and then use the [lithography machine] to manufacture it. The specific steps are very complicated, including “cleaning and drying, primer coating, spin-coating photoresist, soft baking, aligning exposure, post-baking, developing, hard baking, etching” and so on. To put it simply, it is to engrave the circuit designed by the “chip designer” on the wafer, and at the same time form dense small chips on it. Then, the wafer becomes like this: 4. The lithography machine is called the jewel in the crown of the chip industry. ASML of the Netherlands (ASML), it is the only overlord of high-end lithography machines in the world, and its output is not high. Whether it is TSMC, Samsung or Intel, whoever buys ASML’s latest EUV (extreme ultraviolet light source) lithography machine first , Who can take the lead with 7nm process. In order to restrict the export of EUV lithography machines by the Dutch ASML company to Chinese companies, the US government cannot buy it and cannot produce 7-nanometer chips. 5. After the chip is manufactured by the lithography machine for packaging and testing, it has to be cut from the engraved wafer, connected to the wire, mounted on the shell, and tested by the way. This step is called packaging and testing, and a chip is completed. my country has basically fully understood the packaging and testing technology, and Changjiang Electronics Technology, Huatian Technology, and Tongfu Microelectronics are my country’s three major packaging and testing giants.

7 months ago

Lidang’s ridicule is the best compliment to our microchip industry. Lidang’s remarks represent their position. If Cao Fengze evaluates our chip industry with this kind of remarks, we need to face the problem squarely, and Lidang is like this. Speaking, we should be happy. It shows that we are on the right path and direction. We are in the foreseeable future on the eve of quantitative change to qualitative change. The independent growth of China’s microchip industry must be a protracted battle. From defense to strategic stalemate to winning strategic counterattack, every step will not be easy. When we are in the strategic defensive stage, they will mock us and ridicule us. When we cross to the strategic stalemate stage, they will discredit us, slander us, and reach strategy. In the counter-offensive stage, they will definitely attack us with the most vicious language imaginable by mankind, and they want to expel us… But all this will be our hymn on the road to victory, dear comrades, all dedicated to China Comrades and friends of the rise of the microchip business, your commitment to this great cause will surely be remembered by everyone, and salute you!

7 months ago

An industry must grow slowly if it wants to develop. But growth requires soil. Now that the market gives this soil, manufacturers can develop steadily. Slowly penetrate from low to high. Rather than ridicule and ridicule, saying that everything is a low-end product, not a computer or mobile phone chip. What’s so boiling. These people are nothing but their names. It seems that everything can be changed at will. It doesn’t matter if you don’t work hard or support it. Also ridicule others. Isn’t the loss of making as good as buying not enough? Regardless of the low-end and high-end, always give it time to grow. Just counting on it soaring into the sky. The Chinese people do things down-to-earth, step by step, and do things down-to-earth. How much manpower and material resources were spent on the atomic bomb that year. Someone always needs to do something, and there must always be someone behind it. Rather than just add chaos.

Would love your thoughts, please comment.x