Huawei semiconductors make a comeback with persistence
🟩 A fabless company with state-of-the-art technology
Huawei has procured Chips for its smartphones from a subsidiary called HiSilcon. HiSilcon was a fabless company that outsourced the manufacture of semiconductors developed in-house to TSMC and others. However, due to the tightening of U.S. regulations, TSMC is unable to manufacture semiconductors developed by HiSilcon, and is in a predicament.
HiSilcon used a state-of-the-art 5nm process to create a Chip called Krin. In other words, HiSilcon is a fabless manufacturer with state-of-the-art technology.
Huawei will continue its HiSilcon business in anticipation of an improvement in the business environment in a couple of years.
🟩 From fabless to IDM
There are plans for Huawei to build a semiconductor factory in Shanghai that does not use U.S. technology. Starting with the manufacture of 45nm chips, the company aims to manufacture at 28nm for IoT devices by the end of 2021 and 20nm for 5G communication facilities by the end of 2022.
It is planned to steadily enter semiconductor manufacturing from a place that is not a cutting-edge manufacturing process.
🟩 Targeting automotive vehicles that are not cutting-edge technologies?
Huawei and Changan appear to be partnering on automotive semiconductors.
EXCLUSIVE Huawei-Changan smart car partnership expands to include chips -sourcesChina’s Huawei Technologies (HWT. UL) is expanding its smart cwww.reuters.com
Changan is a major automobile company in China with which Changan Automobile and Mazda are also affiliated. The 45nm ~ 20nm process is the target range of automotive semiconductors, and the entry into the automotive semiconductor market is naturally in sight.
🟩Summary
Continuing the semiconductor business that does not make a profit for 2 ~ 3 years, Huawei will surely revive
Whether this will become a reality will depend on the strong leadership of top management. Will there be a Japan semiconductor maker that will make a comeback with such a strong will as Huawei?
