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CHINA INJECT $2.25 BILLION INTO SMIC PLUS PLANS ANOTHER $3 BILLION MORE FROM SHARE SALES IN SHANGHAI

Daniel808

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Big Tech
China injects US$2.2 billion into local chip maker SMIC
  • The investment comes as Washington restricts the ability of telecoms gear maker Huawei to develop chips using American technologies
  • SMIC, mainland China’s biggest chip maker, plans a share sale in Shanghai that could raise more than US$3 billion

China’s state-backed funds pumped US$2.25 billion into a wafer plant by Semiconductor Manufacturing International Corp (SMIC) to support advanced chip making, as Washington tightens technology restrictions on the world’s second largest economy.


The SMIC plant’s registered capital jumps from US$3.5 billion to US$6.5 billion after the investment, the company said in an announcement on Friday.


The Hong Kong-listed chip maker’s stake in the Shanghai facility will drop from 50.1 per cent to 38.5 per cent, according to the company, which is mainland China’s largest semiconductor foundry.


The plant has capacity to produce 6,000 14-nanometre wafers a month and plans to boost that to 35,000.

SCMP Series: China’s silicon ambitions


The new investment came as Washington moved to prevent sales to Huawei Technologies by chip makers using US technology.

The Commerce Department on Friday said it would require licences before allowing US technology to be used by Huawei or its 114 subsidiaries, including its chip design unit HiSilicon.

SMIC is planning a Shanghai share sale that could raise more than US$3 billion, based on its closing value of more than US$13 billion on Friday. China is betting the local chip foundry can help reduce the country’s reliance on US technology
 
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The real question is the process equipment manufacturers. not only SMIC but YMTC and Tsinghua Unigroup have proven their capability for design and foundry. The final question will always come down to the tools. Right now, buying Japanese is possible. But what if US orders Japan to stop exporting the way they ordered Netherlands to stop exporting ASML tools? Then what?
 
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The real question is the process equipment manufacturers. not only SMIC but YMTC and Tsinghua Unigroup have proven their capability for design and foundry. The final question will always come down to the tools. Right now, buying Japanese is possible. But what if US orders Japan to stop exporting the way they ordered Netherlands to stop exporting ASML tools? Then what?
China will need to develop the tool themselves.
 
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lithography is an area the Chinese must advance in order to become totally invulnerable to US attack. A wake up call, capital and talents is essence
 
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The real question is the process equipment manufacturers. not only SMIC but YMTC and Tsinghua Unigroup have proven their capability for design and foundry. The final question will always come down to the tools. Right now, buying Japanese is possible. But what if US orders Japan to stop exporting the way they ordered Netherlands to stop exporting ASML tools? Then what?
This is the reason I think China should punish American companies such as Apple, Qualcomm, Boeing very hard. Make other countries realize US is not the only one who can play sanction game.
 
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Qualcomm has lost quite a lot of revenue with no thanks to the restrictions. China can retaliate by placing orders of Airbus instead of Boeing. Many options available.
 
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This is the reason I think China should punish American companies such as Apple, Qualcomm, Boeing very hard. Make other countries realize US is not the only one who can play sanction game.
Don't have to punish directly, just spoil the market. Squeeze the margin out of the electronic market.
 
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With enough investment everything is possible. People always doubt China's ability to make breakthrough, until it suddenly happens, then they cry about national security and they try to stop it by all means. There are already companies making inroad into fab equipment, no worries.
 
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Absolutely. Be like Thanos. Snap fingers and magically the fab tools will appear qualified and ready to produce. :lol:
Indeed... :enjoy:

http://www.tbcoer.com/en/new/new-43-290.html

With enough investment everything is possible. People always doubt China's ability to make breakthrough, until it suddenly happens, then they cry about national security and they try to stop it by all means. There are already companies making inroad into fab equipment, no worries.
Especially laser is Chinese speciality.
 
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When China managed to produce 7nm wafers, they will claim that China hacked into their secret data.
 
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So this will be a competition between Taiwan and mainland Taiwan semiconductor foundry.
 
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The real question is the process equipment manufacturers. not only SMIC but YMTC and Tsinghua Unigroup have proven their capability for design and foundry. The final question will always come down to the tools. Right now, buying Japanese is possible. But what if US orders Japan to stop exporting the way they ordered Netherlands to stop exporting ASML tools? Then what?

China will need to develop the tool themselves.

China already develop 10nm Lithography Machine.

With Huge Capital injection to chip industry, this will boost Chinese R&D Capability for sure.
Of course 5nm and 7nm Lithography Machine on the list also

China created the first independent new lithography machine, which can make 10nm chips in the future.


Hu Song, deputy director of the Institute of Optoelectronic Technology of the Chinese Academy of Sciences, revealed that the newly accepted lithography machine has a processing capability between the deep ultraviolet and the extreme ultraviolet, and uses a 365 nm ultraviolet mercury lamp. Ten thousand yuan, and the price of the whole lithography machine is in the range of one million yuan to ten million yuan, "let many users overjoyed"...

On November 29th, Beijing time, the Institute of Optoelectronic Technology of the Chinese Academy of Sciences announced that the National Research and Development Equipment Development Project “Super Resolution Lithography Equipment Development” passed the acceptance test and became the world's first 22nm resolution lithography machine realized by ultraviolet light source.

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According to China Science and Technology Daily, Hu Song, deputy director of the Institute of Optoelectronic Technology of the Chinese Academy of Sciences, revealed that the newly accepted lithography machine uses a 365 nm UV mercury lamp, a cost of only tens of thousands of dollars, while lithography The price of the whole machine is in the range of one million yuan to ten million yuan.

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Hu Song also said that the processing capability of the lithography machine developed by the Institute of Optoelectronic Technology of the Chinese Academy of Sciences is between the deep ultraviolet and extreme ultraviolet levels, "to make many users overjoyed."

A new route, perfect to avoid foreign manufacturers' patents

The lithography machine is the core role of the integrated circuit manufacturing industry. The lithography machine is equivalent to a projector, and the fine line pattern is projected on the photosensitive plate, and the light is a carving knife. But the level of fineness of the line has a limit - not less than half the wavelength of light. "The light is too fat, the door is too narrow, and the light can't pass." Yang Yong, a scientist involved in the research, told reporters.

At present, a lithography machine using a deep ultraviolet light source is the mainstream, and the imaging resolution limit is 34 nm, and the resolution is further improved by using multiple exposure techniques and the like, which is expensive.

The lithography giant ASML of the Netherlands monopolized the cutting-edge integrated circuit lithography machine with a processing limit of 7 nm. ASML's EUV lithography machine uses a 13.5 nm EUV source that costs up to $30 million and is also used under vacuum.

In 2003, the Institute of Optoelectronics of the Chinese Academy of Sciences began to study a new method: metal and non-metal film bonding, there will be disordered electrons at the interface; light illuminates the metal film, causing these electrons to vibrate in an orderly manner, producing electromagnetic waves with much shorter wavelengths. For lithography. In this way, the "wide knife" becomes a "narrow knife."

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Hu Song said that the lithography machine has a maximum linewidth resolution of 22 nm in a single exposure at a wavelength of 365 nm, which is equivalent to 1/17 wavelength. In principle, the project breaks through the resolution diffraction limit and establishes a new high-resolution, large-area nanolithography equipment research and development route. It has completely independent intellectual property rights and is a revolution in metamaterials/supersurfaces, third-generation optical devices, and generalized chips. The leap-forward development of the sex field provides manufacturing tools. He specializes in processing a range of nano-functional devices, including large-diameter thin film mirrors, superconducting nanowire single photon detectors, Cherenkov radiation devices, biochemical sensor chips and ultra-surface imaging devices.

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According to the report, the Institute of Optoelectronic Technology of the Chinese Academy of Sciences has mastered core patents such as super-resolution lithography lens, precision gap detection, nano-level positioning precision workpiece table, high aspect ratio etching and multiple graphic matching lithography processes. , leading the world in the field of super-resolution imaging lithography.

ASML equipment still dominates, and domestic efforts still need to work hard.

Prior to this, Shanghai Microelectronics, which was established in 2002, has taken the lead in developing a 90nm process lithography machine. Now the 22nm lithography machine developed by the Institute of Optoelectronic Technology of the Chinese Academy of Sciences has passed the acceptance test, which can be said to achieve leapfrog progress. It is understood that the related devices for the manufacture of such super-resolution lithography equipment have been studied in many research institutes and universities such as the Eighth Research Institute of China Aerospace Science and Technology Corporation, the University of Electronic Science and Technology, the West China Hospital of Sichuan University, and the Microsystems Institute of the Chinese Academy of Sciences. Applied in the task.

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Although Chinese research institutes have developed new lithography machines, lithography machines developed by ASML in the Netherlands are still the first choice for Chinese customers. At the end of May this year, according to Dutch media reports, the Chinese chip giant “Yangtze Storage” shipped a $72 million lithography machine ordered from ASML to Wuhan, Hubei.

Another Japanese media reported that China's other chip maker SMIC also ordered a $120 million lithography machine from ASML, which is expected to be delivered in 2019.

Following ZTE and Fujian Jinhua, it is reported that the United States is considering sanctioning China's monitoring equipment giant Hikvision and cutting off chip supply. This will prompt China to accelerate the pace of applying domestic equipment.
http://www.tbcoer.com/en/new/new-43-290.html
 
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