As we all know, Chinese manufacturing is in full swing. From small mobile phones, computers, home appliances and medical care to cars, high-speed rail, aircraft and aerospace, and aircraft carriers, Chinese manufacturing is constantly witnessing the world‘s scientific and technological achievements. But the embarrassing status quo is that more than half of the “hearts” of the products that make the people proud are imported from abroad, and they are dependent on imports for a long time and on a large scale. “The lack of core and less soul” has always been the most troublesome industry in China. The pain of domestic chips has always been there.
China’s manufacturing needs to develop at a high speed, and chip technology must keep up. If the localization of the chip cannot be realized, it means that it needs to be purchased at a high price in the international market, and at any time, it faces the risk of technical blockade and prohibition of export, and eventually falls into the industrial foundry. In the end of the loop. Moreover, instead of importing chips, it can generate hundreds of billions of industrial clusters; not to mention the upcoming 5G communications, Internet of Things, unmanned economy and other industries. These emerging industries will grow more demand for chips. A lot of new industrial forms.
Status: There is a giant before, there is a chase
The localization of chips has reached a critical moment, and progress in recent years is also obvious. Including the world’s first 10 nanometer technology AI chip released by Huawei HiSilicon; the domestic third-generation Beidou chip realizes the sub-meter positioning accuracy and chip-level security encryption; the supercomputer equipped with the domestic chip “Shenwei·Taihu Light” For the third consecutive year, it has won the world’s top score in the field of supercomputers; Ziguang and Haisi rank among the top ten chip design companies in the world; Xiaomi‘s 澎湃S1 chip is released; Huawei also successfully puts the Haisi Kirin chip in various high-end models. And expeditions to overseas European and American markets… These achievements indicate that the Chinese chip industry is catching up and is gradually growing and maturing with the stars.
Despite the madness of Chinese chips, competitors will not stop to wait for you, especially in the current global level of chip development and resource inequality. The US chip industry is unique, mastering the absolute right to speak of key technologies, and investing heavily in manufacturing bases in third countries such as India and Israel. This has led to a situation in which the Chinese chip industry, which started late and lacks R&D experience, is in an “isolated and helpless” situation. The road ahead has no referees, and the latecomers quickly catch up.
As can be seen from the table below, before the global advanced suppliers, the size of the domestic chip leader is still very small. But on the contrary, the growth space of Chinese chip companies is also very broad.
Pain point: R & D short board market disconnect
In the industry view, the pain point of Chinese chips is not only the research and development level, but more from the disconnection from the market and the impact of rapid technological development. From a technical point of view, the most advanced international process technology is 10 nanometers or even 7 nanometers. China’s mainstream technology is only 28 nanometers, but Huawei Hisilicon’s 10 nanometer AI chips also appeared last year. Therefore, the gap in the technical level can be shortened by research and development.
As for the market, most of the domestic self-developed chips are out of their own supporting needs. Huawei’s unicorn is used in Huawei products, and Xiaomi’s 澎湃 is used on Xiaomi mobile phones, not to mention the supporting chips such as Beidou chips and supercomputer chips. Even if manufacturers are willing to face the market, it is difficult to attract more attention. Let’s look at another example. The media’s protagonist, “Apple wants to buy a domestic flash memory chip”, Changjiang Storage, has a total investment of 160 billion yuan in 3D flash memory projects. It is expected to produce 300,000 flash memories per month by 2020. The chip, with a monthly output of 1 million pieces in 2030. It seems that the prospects are good, but after two years, when the project capacity is in place, whether the technology or products are outdated, no one can make a conclusion. In the unlikely event that technology is largely outdated, huge-capital projects will become backward production capacity, and this huge gap is difficult to compensate.
Of course, this does not mean that China’s industrial chips can’t take the road of scale. The chip companies represented by Ziguang are also successful in capital operation. I always want to emphasize that Chinese chip companies can’t just build a car for a few nanometers of process technology. They should keep up with the global chip trend and sell the products in order to have more resources for research and development and to cope with the impact of technological development with their own strength. .
Going: Doing more measures and launching new industries
In today’s information age, semiconductors are always the real “core technology”, mastering the chip technology, can truly promote the progress of the technology industry. Further, the localization of the chip is not only an upgrade and transformation of the semiconductor industry, but also a escort for Chinese manufacturing.
As far as the current industry situation is concerned, it will take some time for China’s chips to successfully complete the localization process, which is about 10-15 years. The closest time to us is the commercial use of 5G communications, around 2020. With the advent of 5G, the comprehensive transmission of information and data transmission speed, the application of emerging industries such as Internet of Things, automotive electronics, smart grid, big data, cloud computing, consumer electronics, automation, etc. will gradually increase, and will also bring semiconductor integrated circuits. The continued prosperity of demand.
China’s chip companies, under the double blessing of government policies and industrial funds, must take independent measures of innovation and capital operation. The combination of production, education and research, from quantitative to qualitative change, completely rid of external dependence, and take the lead in market demand. And to create a true global chip industry power.