China's SMIC Looking for $2.8 billion Funding Round via Shanghai

[Raevenlord]

As the US stranglehold on Huawei keeps on tightening its grip, China's government is keen on both investing more heavily into in-country semiconductor manufacturing that can become a viable alternative to Huawei as a source a silicon, as well as decrease the country's dependence on Western or Western-tied companies. The country has already developed promising alternatives to foreign DRAM solutions via Xi'an UniIC Semiconductors and Yangtze Memory Technologies (YMTC). Now, following a previously-successful funding round held in Hong Kong (worth some $2.2 billion injected last month), China's largest contract chipmaker Semiconductor Manufacturing International Corporation (SMIC) is looking for an additional $2.8 billion funding round via Shanghai.

SMIC is currently years behind TSMC, the current benchmark when it comes to semiconductor manufacturing. For now, SMIC is only able to provide 14 nm product designs - and even in that node, silicon is being quoted as having as much as a 70% defect-rate on any given wafer produced by the company (they've already started 14 nm production of Huawei's low-cost Kirin 710 chipset). At any rate, sources point towards a 6,000 monthly wafer production capacity within SMIC, a very, very low number that fails to meet any current demand (TSMC, for scale, are quoted as producing as many as 110,000 7 nm wafers per month). It's definitely an uphill battle, but SMIC counts with the might of the Chinese government through its sails - so while the waters might not be smooth, investment rounds such as these two (which amount to some $5 billion capital injection in two months) will be sure to help grease the engines for china's semiconductor expansion as much as possible.



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[Flanker]

Well, hopefully those money will actually go into RnD, instead of pockets of corrupt mofos, but then it's Shanghai lol.

 

[Deleted member 185088]

The stupidity of the current administration is just mind-blowing, they don't have any understanding of how the economy works, their actions are not only slowing down the global economy hurting people and businesses around the world, even worse for American consumers and businesses, in addition to remove any credibility left in the US, why would anyone deal with unpredictable child, it'll just isolate the US.
On the bright side, November is coming and hopefully Americans will vote out the kid in the White House.

 

[R-T-B]

The stupidity of the current administration is just mind-blowing, they don't have any understanding of how the economy works, their actions are not only slowing down the global economy hurting people and businesses around the world, even worse for American consumers and businesses, in addition to remove any credibility left in the US, why would anyone deal with unpredictable child, it'll just isolate the US.
On the bright side, November is coming and hopefully Americans will vote out the kid in the White House.

I mean, this is more about China, and I can't vote over there.... nor can anyone really.