Huawei Is Spending Billions To Fight The US Ban
Huawei has been under the US ban since May 2019. A year later, updated U.S. sanctions completely cut the company off access to U.S. technologies that the company was pushing for. Recently, the Chinese tech giant has started ramping up the manufacturing and manufacturing of its own chipsets.
According to recent Chinese media reports, the company is in talks to open a new chip manufacturing facility in Shenzhen, China. The new location is being brought into being with the help of SMIC (Semiconductor Manufacturing International Corporation).
According to initial forecasts, the project will cost tens of billions of dollars. But the industry assumes that money is not an issue for Huawei.
SMIC is the largest contract chip manufacturer in mainland China. According to reports, Huawei plans to leverage SMIC’s semiconductor manufacturing experience and combine it with its own chip manufacturing process.
In particular, the brand also reached out to the Taiwan Semiconductor Manufacturing Company (TSMC) supply chain for collaboration to expand its independent chip manufacturing capabilities through official funding.
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The report also mentions quotes from the SMIC, which said, “Recently, Huawei came to us to help us build a factory on the mainland.” The appointments added that Huawei’s main goal is to source adequate equipment and resources to start high-level mass production.
Therefore, Huawei contacted the members of the “TSMC Alliance”. This, in turn, would help speed up the set-up process of your manufacturing facility while reducing the time it takes to reach mass production.
In addition to chip manufacturing, the project also aims to manufacture chip design tools, semiconductor materials, and compound semiconductors, all of which are essential for chip manufacturing.
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