Apple today announced a new $410 million award from its Advanced Manufacturing Fund for II-VI, a leading manufacturer of optical technology. Today's award builds on an initial $390 million awarded from Apple's Advanced Manufacturing Fund in 2017. The expansion of the company's long-standing relationship with II-VI will create additional capacity and accelerate delivery of future components for iPhone, with 700 jobs in Sherman, Texas; Warren, New Jersey; Easton, Pennsylvania; and Champaign, Illinois.

II-VI manufactures vertical-cavity surface-emitting lasers (VCSELs) that help power Face ID, Memoji, Animoji, and Portrait mode selfies. Apple also works with II-VI to manufacture lasers used in the LiDAR Scanner—technology that helps deliver faster, more realistic augmented reality experiences and improves autofocus in low-light scenes in photos and videos.

Intel over the weekend announced that it will make new investments into its Rio Rancho manufacturing facility in the U.S. state of New Mexico. The company will hold a media event later today, describing the nature of the investment. Keyvan Esfarjani its VP and GM for manufacturing and operations will be joined by New Mexico Governor Michelle Lujan Grisham, along with a few Members of Congress from the state, in this event. Given the substantial participation of elected representatives, this is likely to be an expansion to the facility. Intel describes the Rio Rancho facility as focusing on mass production of the company's 3D XPoint memory, NAND flash, and silicon photonics products.

Update 16:13 UTC: Intel outlined its expansion plans with Rio Rancho, with a $3.5 billion investment, which could create at least 700 high-tech jobs and 1,000 construction jobs and support an additional 3,500 jobs in the state.The press release follows.

Taiwan Semiconductor Manufacturing Company, the maker of various kinds of silicon products, is the manufacturer of AMD's EPYC processors. However, have you ever questioned what CPUs are actually behind TSMC? The answer to that question is quite simple. Today, we have come to know that TSMC is using AMD EPYC processors to power their manufacturing infrastructure and tape out thousands of wafers per month. AMD has published TSMC's case study, which pointed out that the total cost of ownership has been the main challenge of the Taiwanese company. By using AMD EPYC 7702P and 7F72 CPUs, TSMC addresses the need for both reliable and high-performing server infrastructure to power the manufacturing efforts. For research and development purposes, TSMC chose the 7F72 with 24 cores and a high clock speed of 3.2 GHz, which is ideal for the company needs and purposes.

For more details about TSMC's choices and solutions, read the case study here.

The global supply of semiconductor processors has been at risk lately. Starting from GPUs to CPUs, the demand for both has been much greater than the available supply. Manufacturing companies, such as TSMC, have been expanding capacities, however, they have not yet been able to satisfy the demand. We have seen the results of that demand in a form of the scarcity of the latest generation of graphics cards, covering NVIDIA's GeForce RTX 3000 series Ampere, and AMD' Radeon RX 6000 series Big Navi graphics cards. Consumers have had a difficult time sourcing them and they have seen artificial price increase that is much higher than their original MSRP.

However, it doesn't seem like the situation will improve. According to the latest reporting from Bloomberg, the next victim of global chip shortage is... you guessed it, your home internet router. The cited sources have noted that the waiting list to get a batch of ordered routers has doubled the waiting time, from the regular 30 weeks to 60-week waiting time. This represents a waiting list that is more than a year long. With the global COVID-19 pandemic still going strong, there is an increased need for better home router equipment, and delays can only hurt broadband providers that supply routers. Taiwan-based router manufacturer Zyxel Communications, notes that the company has seen massive demand for their equipment. Such a massive demand could lead to insufficient supply, which could increase prices of routers well above their MSRP and bring scarcity of them as well.

Taiwan Semiconductor Manufacturing Company (TSMC), one of the largest manufacturers of silicon, is seemingly making plans to build as many as six of its US-based fabs in Arizona. According to the unconfirmed report coming from UDN, TSMC could be building its Arizona-based factories for much larger capacities. Based on TSMC's classifications, the MegaFab-class of factories is the one with 25,000 WSPM output. According to the report, TSMC plans to build six additional facilities in the area where the Arizona fab is, and have a GigaFab-class (even larger type) factory present on US soil. Currently, the company operates six GigaFabs and all of them are based in Taiwan.

The GigaFab class factory is supposed to have over 100,000 WSPM output, and by building one in the US, TSMC could get much closer to big customers like Apple, NVIDIA, and AMD. Reports are saying that TSMC's primary target is 3 nm node production on 12-inch (300 mm) wafers. All six of the supposed facilities are expected to output more than 100,000 wafers at their peak, making it one of the largest projects TSMC has ever done. The Arizona location is supposed to serve as a "mega fab" facility and it is supposed to start manufacturing silicon in 2024. This information is, of course, just a rumor so you should take it with a grain of salt, as this type of information is usually only known by top-level management.

Taiwan Semiconductor Manufacturing Company (TSMC), the leading provider of semiconductors, is supposed to start 3 nm node production this year. While Samsung, one of the top three leading semiconductor foundries, has been struggling with the pandemic and delayed its 3 nm node for 2022, TSMC has managed to deliver it this year. According to a report, the Taiwanese semiconductor giant is preparing the 3 nm node for the second half of this year, with the correct date of high-volume product unknown. The expected wafer capacity for the new node is supposed to be around 30,000 wafers per month, with capacity expansion expected to hit around 105,000 wafers per month in 2023. This is similar to 5 nm's current numbers of 105,000 wafers per month output, which was 90,000 just a few months ago in Q4 2020. One of the biggest customers of the upcoming 3 nm node is Apple.

Manufacturing silicon is no easy task. You need to have all the right supplies available all the time. One of the most used ingredients in silicon manufacturing is water. Almost every process needs it and it needs to be constantly available to the manufacturer. According to the report coming from Reuters, Taiwan Semiconductor Manufacturing Company (TSMC) and United Microelectronics Corporation (UMC) are experiencing water shortages. The Taiwan island is in trouble, as the typhoon season has been rather mild and water supplies are at the historic lows. Water restrictions are in place all across the island and the reservoirs in the center and southern regions are at only 20% capacity.

The lack of water is a big problem for TSMC and UMC, as both companies rely on the constant income of it. With water restrictions in place, TSMC has to keep its facilities running and needs to solve the problem. That is why Taiwan's biggest silicon manufacturer is now making small orders of waters, delivered by a truckload. TSMC expects to compensate for the lack of water coming from its regular sources with truckloads of it. While we do not know the numbers of it, we can expect the water use to be very high if we take into account the number of wafers TSMC produces at its facilities.

News just keep flowing that are bound to have impact on pricing for components users of this website know and love. The Austin-American Statesman reports that Samsung has been ordered to shutter its Texas factories in wake of recent power shortages that have impacted the state. The order, which came from Austin Energy, doesn't just affect Samsung: all industrial and semiconductor manufacturers in the state were ordered to idle or shut down their facilities, meaning that NXP Semiconductors and Infineon Semiconductors have also been affected. According to Austin Energy, all companies have complied with the order. A date for the lifting of these restrictions still hasn't been given.

As we know, semiconductor manufacturing is a drawn-out process, with some particular wafers taking several months in their journey from initial fabrication until they reach completion. This meas that it's a particularly sensitive business in regards to power outages or general service interruptions. The entire semiconductor manufacturing lines - and products therein, in various stages of production - can be rendered unusable due to these events, which will have a sizable impact in the final manufacturing output of a given factory. It remains to be seen the scale of this production impact, but a few percentage points difference in the overall global semiconductor manufacturing could have dire implications for availability and pricing, considering the already insufficient operational capacity in regards to demand. Considering the impact adverse temperatures are having on Texas residents, here's hoping for the quick resolution of these problems, which affect much more than just semiconductor manufacturing capabilities.

Samsung has been one of the world's biggest foundries and one of three big players still left in the leading-edge semiconductor process development and manufacturing. However, the Korean giant is always seeking ways to improve its offerings, especially for Western customers. Today, it is reported that Samsung has reportedly talked with regulators in Texas, New York, and Arizona about building a $17 billion silicon manufacturing facility in the United States. The supposed factory is going to be located near Austin, Texas, and is supposed to offer around 1800 jobs. If the deal is approved and Samsung manages to complete the project on time, the factory is supposed to start mass production in Q4 of 2023.

What process is Samsung going to manufacture in the new fab? Well, current speculations are pointing out to the 3 nm node, with Samsung's special GAAFET (Gate All Around FET) technology tied to the new node. The fab is also expected to make use of extreme ultraviolet (EUV) lithography for manufacturing. Samsung already has a facility in the US called S2, however, that will not be upgraded as it is still serving a lot of clients. Instead, the company will build new facilities to accommodate the demand for newer nodes. It is important to note that Samsung will not do any R&D work in the new fab, and the company will only manufacture the silicon there.

OLED panes are expertise areas of display makers such as LG and Samsung, however, when it comes to Apple, they have to rely on external manufacturers to make a display. For years Apple has been contracting LG and Samsung to make the display for iPhones and Macs, but it looks like Apple is now collaborating with another firm to develop micro OLED technology. According to sources over at Nikkei Asia, Apple is collaborating with Taiwan Semiconductor Manufacturing Company (TSMC) to develop "ultra-advanced display technology at a secretive facility in Taiwan". Despite TSMC not being the traditional choice for panel manufacturing, there is a list of reasons why Apple chose its years-long partner to work with.

TSMC is known for manufacturing silicon chips, however, Apple envisions that the Taiwan maker will manufacture ultra-advanced micro OLED technology using wafers. Building the displays using wafers will result in much lower power consumption and far lower size. Why is this approach necessary you might wonder? Well, Apple is developing a new generation of AR glasses and there needs to be a solid display technology for them to exist. It is reported that the new micro OLED displays are under development and are about one inch in diameter. The source also adds that this is just one out of two projects being worked on inside of Apple's secretive labs located in the Taiwanese city of Taoyuan. What is the other project remains a mystery, however, with more time we could get information on that as well.

Intel Corporation today announced it has invested a further US $475 million in Intel Products Vietnam (IPV). This new investment is in addition to Intel's US$1 billion investment to build a state-of-the-art chip assembly and test manufacturing facility in Saigon Hi-Tech Park (SHTP), first announced in 2006. This takes Intel's total investment in its Vietnam facility to US $1.5 billion.

"As of the end of 2020, Intel Products Vietnam has shipped more than 2 billion units to customers worldwide. We're very proud of this milestone, which shows both how important IPV is to helping Intel meet the needs of its customers all around the world, and why we continue to invest in our facilities and team here in Vietnam," said Kim Huat Ooi, vice president of Manufacturing and Operations and general manager of Intel Products Vietnam Co. Ltd.

In response to incredible customer demand, Intel has doubled its combined 14 nm and 10 nm manufacturing capacity over the past few years. To do this, the company found innovative ways to deliver more output within existing capacity through yield improvement projects and significant investments in capacity expansion. This video recounts that journey, which even included re-purposing existing lab and office space for manufacturing.

"Over the last three years, we have doubled our wafer volume capacity, and that was a significant investment. Moving forward, we're not stopping… We are continuing to invest into factory capacity to ensure we can keep up with the growing needs of our customers," says Keyvan Esfarjani, senior vice president and general manager of Manufacturing and Operations at Intel. The company also ramped its new 10 nm process this year. Intel currently manufactures 10 nm products in high volumes at its Oregon and Arizona sites in the U.S. and its site in Israel.

Susquehanna is a global trading firm which has various interests in silicon manufacturing - and part of that interest is naturally materialized in Intel. In a recent group call from the firm, some details on Intel's manufacturing and product design woes came to light, which point towards even more execution slips than we've already seen. During the call, a number of points were broached, including dismal yields for Intel's 10 nm manufacturing process as of its introduction in late 2018 (which is why it never saw mainstream adoption from the company). News that Intel is looking for a new CEO also don't instill confidence on current CEO Bob Swan's capacity to steer the Intel behemoth.

Improved yields on 10 nm are being reported due to deployment of Intel's SuperFin technology, which improved yields to upwards of 50%, but still keeps them under the ones achieved in Intel's 14 nm process; an eye-opening tidbit in that Cannon Lake on 10 nm originally saw yields of only 25% usable chips per wafer; and that backporting Rocket Lake meant Intel had to deal with unfathomably large chips and high power consumption characteristics. And to add insult to injury, there is still not a definite timetable for 7 nm deployment, with delays being expected to be worse than the previously reported 6-12 months. This all paints a somewhat grim picture for Intel's capacity to compete with TSMC-powered AMD in many of its most important markets; the blue giant won't topple, of course, but it's expected that five years from now, we'll be looking at a very different outlook in the market between AMD and Intel. You can check the talked-about points in the call via the transcript after the break. You should still take the transcript with a grain of salt.

The possibility barely exists to account for all the silicon manufacturing processes currently in development; TSMC themselves are rolling out 5 nm, 4 nm, 3 nm, and 2 nm processes at various points in time in the future. Now, the company has announced that it will be rolling out a revision of the 3 nm manufacturing process, named 3 nm Plus, come 2023. According to DigiTimes, the Taiwanese manufacturer's first client for this process will be Apple.

There is no information on what exactly 3 nm Plus leverages and offers over the "vanilla" 3 nm process. It could be anything from higher transistor density, lower power consumption, or higher operating frequency - or maybe a mixture of the three. The original 3 nm manufacturing process is set to offer a 15% performance gain over the current top-of-the-line 5 nm node, with 30% decreased power use and up to 70% density increase. Interestingly, TSMC is keeping their FinFet manufacturing technology, on grounds of better implementation costs and higher power efficiency compared to the more exotic GAA (Gate-All-Around) technology that its rival Samsung, for one, aims to implement in 3 nm.

Taiwan Semiconductor Manufacturing Company (TSMC), one of the largest semiconductor manufacturers in the world, is reportedly ending its volume discounts. The company is the maker of the currently smallest manufacturing nodes, like 7 nm and 5 nm. For its biggest customers, TSMC used to offer a discount - when you purchase 10s or 100s of thousands of 300 mm (12-inch) wafers per month, the company will give you a deal of a 3% price decrease per wafer, meaning that the customer is taking a higher margin off a product it sells. Many of the customers, like Apple, NVIDIA, and AMD, were a part of this deal.

Today, thanks to a report from the Taiwanese Central News Agency, TSMC is terminating this type of discount. Now, every customer will pay full price for the wafer, without any exceptions. For now, it is unclear what drove that decision at TSMC's headquarters, but the only thing that we could think is that the demand is too high to keep up with the discounts and the margins are possibly lower. What this means for consumers is a possible price increase in products that are manufactured at TSMC's facilities. The consumer market is already at a drought of new PC components like CPUs and GPUs due to high demand and scalping. This could contribute a bit to the issue, however, we do not expect it to be of any major significance.

Semiconductor manufacturing is a risky business. Not only is it heavily capital-intensive, which means that even some state-backed would-be players can fail in pooling together the required resources for an industry break-in; but the entire nature of the manufacturing process is a delicate balance of materials, nearly-endless fabrication, cleanup, and QA testing. Wafer manufacturing can take months between the initial fabrication stages through to the final packaging process; and this means that power outages or material contamination can jeopardize an outrageous number of in-fabrication semiconductors.

Recent news as covered by DigiTimes place one of Micron's fabrication plants in Taiwan as being hit with a 1-hour long power outage, which can potentially affect 10% of the entire predictable DRAM supply for the coming months (a power outage affects every step of the manufacturing process). Considering the increased demand for DRAM components due to the COVID-19 pandemic and associated demand for DRAM-inside products such as PCs, DIY DRAM, laptops, and tablets, industry players are now expecting a price hike for DRAM throughout 2021 until this sudden supply constraint is dealt with. As we know, DRAM manufacturers and resellers are a fickle bunch when it comes to increasing prices in even the slightest, dream-like hint of reduced supply. It remains to be seen how much of this 10% DRAM supply is actually salvageable, but projecting from past experience, a price hike seems to be all but guaranteed.

They say that it is hard to keep up with Moore's Law, however, for the folks over at Taiwan Semiconductor Manufacturing Company (TSMC), that doesn't seem to represent any kind of a problem. Today, to confirm that TSMC is one of the last warriors for the life of Moore's Law, we have information that the company has completed building its manufacturing facility for the next-generation 3 nm semiconductor node. Located in Southern Taiwan Science Park near Tainan, TSMC is expecting to start high-volume manufacturing of the 3 nm node in that Fab in the second half of 2022. As always, one of the first customers expected is Apple.

Estimated to cost an amazing 19.5 billion US Dollars, the Fab is expected to have an output of 55,000 300 mm (12-inch) wafers per month. Given that the regular facilities of TSMC exceed the capacity of over 100K wafers per month, this new facility is expected to increase the capacity over time and possibly reach the 100K level. The new 3 nm node is going to use the FinFET technology and will deliver a 15% performance gain over the previous 5 nm node, with 30% decreased power use and up to 70% density increase. Of course, all of those factors will depend on a specific design.

Silicon manufacturing is starting to get harder and harder every day, with new challenges appearing daily. It requires massive investment and massive knowledge to keep a silicon manufacturing company afloat. No company can survive that alone, so some collaborations are emerging. Today, thanks to the sources of Nikkei Asia, we have information that Taiwanese Semiconductor Manufacturing Company (TSMC) is collaborating with Google to push the production of 3D chip manufacturing process, that is said to overcome some of the silicon manufacturing difficulties. The sources also say that AMD is involved in the process as well, making Google and AMD the first customers of the advanced 3D chip design. The two companies are preparing designs for the new way of creating silicon and will help TSMC test and certify the process.

TSMC will deploy the 3D silicon manufacturing technology at its chip packaging plant in Miaoli, which is supposed to do mass production in 2022. With Google and AMD being the first customers of new 3D technology, it is exciting to see what new products will look like and how they will perform. The 3D approach is said to bring huge computing power increase, however, it is a waiting game now to see how it will look like.

The Taiwan Economic Daily claims that TSMC has achieved a major internal breakthrough for the eventual rollout of 2 nm fabrication process technology. According to the publication, this breakthrough has turned TSMC even more optimistic towards a 2023 rollout of 2 nm risk production - which is all the more impressive considering reports that TSMC will be leaving the FinFet realm for a new multi-bridge channel field effect transistor (MBCFET) architecture - itself based on the Gate-All-Around (GAA) technology. This breakthrough comes one year after TSMC put together an internal team whose aim was to pave the way for 2 nm deployment.

MBCFET expands on the GAAFET architecture by taking the Nanowire field-effect transistor and expanding it so that it becomes a Nanosheet. The main idea is to make the field-effect transistor three-dimensional. This new complementary metal oxide semiconductor transistor can improve circuit control and reduce leakage current. This design philosophy is not exclusive to TSMC - Samsung has plans to deploy a variant of this design on their 3 nm process technology. And as has been the norm, further reductions in chip fabrication scale come at hefty costs - while the development cost for 5 nm has already achieved $476M in cost, Samsung reports that their 3 nm GAA technology will cost in excess of $500M - and 2 nm, naturally, will come in even costlier than that.

Apple has recently announced its transition to Apple Silicon, meaning that every processor inside its products will be custom designed by the company. However, that seems to be becoming a bit of a problem. The sole supplier of chips for Apple has been Taiwan Semiconductor Manufacturing Company (TSMC), which Apple collaborated with for the past few years. The sheer capacity of TSMC is enough to satisfy the demand from several companies and thus it allows some of them to book its capacity. With Apple demanding more and more capacity than ever before, it is becoming quite hard to keep up with it. That is why Apple is, according to some analysts for Business Korea, looking for a foundry beyond TSMC's to manufacture its chips.

According to the source, Apple is looking at the direction of Samsung Electronics and its silicon manufacturing facilities. Samsung has recently started the production of its 5 nm silicon manufacturing node. We have reported that the first SoCs are set to arrive soon. However, it may be possible that Apple's M1 lineup of SoCs will be a part of that first wave. Apple is reportedly going to tap both TSMC and Samsung to qualify enough supply for the huge demand of the products based on the latest 5 nm technology.

Semiconductor manufacturing has been the latest victim of the recent trade war between China and the United States. With the US imposing sanctions on Chinese manufacturers, they have not been able to use any US technology without the approval of the US government. That has caused many companies to lose customers and switch their preferred foundry. The US government has also decided to sanction a Chinese company Huawei from accessing any US-technology-based manufacturing facilities, thus has prevented the Chinese company from manufacturing its chips in the facilities of TSMC. Left without almost any way to keep up with the latest semiconductor technology, Huawei is reportedly working on its own manufacturing facilities.

According to the Financial Times, Huawei is about to enter domestic silicon production with its partner company Shanghai IC R&D. And a big note here is that the manufacturing facility will not use any US technology. The production is allegedly going to start as soon as the end of this year, and the first process that will come out the door will be a rather outdated 45 nm node. The company is expecting to move on to a more advanced 28 nm node by the end of next year. While the capacities are unknown, we can assume that it will be enough for the company's purposes. With this move, Huawei will be 100% independent from any US influence and will own the complete vector of software and hardware, that is a custom made design by the company.Huawei R&D Center

SK hynix and Intel today announced that they have signed an agreement on Oct. 20, KST, under which SK hynix would acquire Intel's NAND memory and storage business for US $9 billion. The transaction includes the NAND SSD business, the NAND component and wafer business, and the Dalian NAND memory manufacturing facility in China. Intel will retain its distinct Intel Optane business.

SK hynix and Intel will endeavor to obtain required governmental approvals expected in late 2021. Following receipt of these approvals, SK hynix will acquire from Intel the NAND SSD business (including NAND SSD-associated IP and employees), as well as the Dalian facility, with the first payment of US $7 billion. SK hynix will acquire from Intel the remaining assets, including IP related to the manufacture and design of NAND flash wafers, R&D employees, and the Dalian fab workforce, upon a final closing, expected to occur in March 2025 with the remaining payment of US $2 billion. Per the agreement, Intel will continue to manufacture NAND wafers at the Dalian Memory Manufacturing Facility and retain all IP related to the manufacture and design of NAND flash wafers until the final closing.

The Trump administration has reportedly been considering adding to Chinese chipmaker SMIC (Semiconductor Manufacturing International Corporation) to the trade blacklist of Chinese companies, restricting the company of doing any business with the United States and/or with any of its affiliates. The original report comes from Reuters and it states that the move came from Pentagon after considering whatever SMIC should be placed on a blacklist. It is so far unclear if other US agencies support the decision, however, it should be public in the near future. The company has received the news on Saturday and it was "in complete shock" about the decision. Shortly after the news broke, SMIC stock has fallen as much as 15% amid the possible blacklist. If SMIC would like to continue working with American suppliers, it would need to seek a difficult-to-obtain license from the government.

Update 28th September: The United States government hasofficially imposed sanctions on the Chinese chipmaker SMIC. The company is now under US sanctions and is placed on a trade blacklist.

TSMC, the leading semiconductor foundry in the world, has reportedly begun construction of its 2 nm manufacturing facility. According to a DigiTimes report, translated by @chiakokhua on Twitter, besides the construction of 2 nm R&D center, TSMC has also started the construction of the manufacturing facility for that node, so it will be ready in time. Please do note that the node name doesn't represent the size of the transistor, so it will not actually be 2 nm wide. The new facilities will be located near TSMC's headquarters in Hsinchu Science Park, Taiwan. The report also confirms the first details about the node, specifically that it will use Gate-All-Around (GAA) technology. And there is also another interesting piece of information regarding even smaller node, the planning for 1 nm node has begun according to the source.

Besides advanced nodes, TSMC also laid out clear plans to accelerate the push of advanced packaging technology. That includes SoIC, InFO, CoWoS, and WoW. All of these technologies are classified as "3D Fabric" by the company, even though some are 2.5D. These technologies will be mass-produced at "ZhuNan" and "NanKe" facilities starting in the second half of 2021, and are expected to significantly contribute to the company's profits. It is also reported that the competing foundry, Samsung, has a 3D packaging technology of its own called X-cube, however, it is attracting customers a lot slower than TSMC due to the high costs of the new technology.

A Nikkei investigative report uncovered that two Chinese semiconductor fabrication firms, namely Quanxin Integrated Circuit Manufacturing (QXIC), and Hongxin Semiconductor Manufacturing Co (HSMC), have poached over 100 veteran semiconductor engineers from TSMC since last year. Both firms are recipients of government funding under China's ambitious plan of complete electronics hardware industry independence by 2025. Both firms were floated as recently as 2017, and began hiring specialist engineers and executives with connections across the semiconductor industry, from TSMC. The two began development of a 14 nm-class FinFET node that would support manufacturing of a wide variety of electronics components, including SoCs, ASICs, transceivers, and storage products.

Nikkei estimates that in a span of a year, Taiwan lost more than 3,000 semiconductor engineers to various start-ups in the mainland, including large semiconductor fabs. Sources in TSMC tell the Japanese publication that the company is "very concerned" about the flight of talent toward China, although it didn't believe that there is any immediate danger to the company's output or technological edge. The source advocated a national-level strategy by various Asian governments to retain talent, not through coercion, but by offering better incentives and pay than the Chinese firms flush with public investment.