Daily Management Review

FT: Huawei to start producing its own microchips


Huawei wants to start producing its own microchips so that it is no longer dependent on American technology, reports The Financial Times this with reference to its own sources.

Sebastien Corberon
Sebastien Corberon
The Chinese manufacturer under US sanctions wants to start producing microchips in Shanghai. The plant is expected to be run by Huawei's partner, the Shanghai IC R&D Center, which is supported by the municipal government of Shanghai.

According to experts interviewed by the newspaper, the introduction of own microchips will actually solve the problem of Huawei's survival. So far, the company has had no experience in this area, and all of the microchips were imported from abroad. 

These were American chips which the company can no longer obtain. Meanwhile, the stocks made before the restrictions imposed by the American authorities came into effect in May have almost been exhausted, experts say.

It is planned that the company will initially produce microchips using a 45 nm process, which is a level of semiconductor manufacturing technology some 15 years ago. By the end of next year, Huawei wants to move to the 28 nm process (which was relevant for 2011-2012). 

The company intends to produce microchips for devices with 5G support in the 20 nm process, which should happen by the end of 2022. For comparison, Samsung, which is one of the world's leaders in the production of microchips, intends to switch to a technological process with a resolution of 3 nm by the next year.

source: ft.com