。Recently, SMIC announced its financial report for the third quarter, with revenue of 11.7 billion and a net profit of only 67.8 billion. Compared to the same period last year, operating income decreased by 106%, net profit fell by 78%. These data are worrying and have dealt a heavy blow to the heart of China Chip. The release of the financial report data has worried many people, and there is still a lot of uncertainty about whether China's chips can continue to beat. In addition, some people gloat that Huawei's Kirin Core was just a fluke.
In response to this financial report data, relevant experts put forward two views. The first view is that the downturn in the global consumer electronics industry has led to poor chip sales, and last year's performance data has increased, so this year's performance will inevitably decline. Another point of view is that SMIC undertakes the core mission of China's chip manufacturing, and faces huge challenges and pressures, which makes the financial report data not ideal.
SMIC's investment is huge, and it is facing tremendous challenges and pressures. With only 170 billion funds, the task of expanding the 28nm wafer fab was completed, and the research and development of mature manufacturing processes for 14nm and 12nm was completed. When the global chip industry is chasing 3nm or even 2nm process technology, SMIC has chosen to stand on the commanding heights of the mature 28nm process. It's a risky and uncertain decision, but it's also a big gamble.
Despite the decline in revenue in the third quarter, SMIC's wafer foundries in Beijing, Shanghai and other places have been completed one after another, with a total monthly production capacity of 1700 million. This means that SMIC has begun to provide stable and reliable chips for the domestic market at a critical moment, and the future prospects should not be underestimated. If SMIC can seize this opportunity, the road ahead may be brighter.
However, the continued blockade of the chip sector by the United States has left SMIC with few options. SMIC can only take the lead in internal circulation and truly achieve localization. This will require huge funds and endless energy to build a complete industrial chain and establish a management mechanism that can resist the sanctions imposed by US chips.
The development of China's chips is not all smooth sailing, and the difficulties and challenges it faces cannot be underestimated. However, for the future of China's chips, we must face all these challenges and move forward. We look forward to a stronger Chinese chip after the storm!
As the core representative of China's manufacturing, the development prospect of China Chip is not only related to the core competitiveness of the country, but also affects the ecological pattern of the global technology industry. In the face of the decline in SMIC's financial report data, China SMIC is still facing huge challenges in the competition in the global chip market. However, I firmly believe that the future of China Chip is promising.
First of all, China, as the world's second largest economy, has a huge market demand and strength. China has also realized the importance of the chip industry and promoted the formulation and implementation of relevant policies. Driven by the domestic market demand, China Chip is expected to gain more opportunities and development space.
Second, China has a huge number of scientific research talents and technological strength. The accumulation of talents and technology has provided solid support for China Chip. At the same time, China is also increasing investment in scientific research and innovation, encouraging the combination of production, education and research, and promoting scientific and technological innovation and industrial upgrading.
Finally, the development of China's chips also requires international cooperation and joint efforts between enterprises. In the context of globalization, only by cooperating and exchanging with the world's scientific and technological powers can we catch up faster. Through international cooperation, technology introduction and improvement of innovation capabilities, China Chip is expected to find more development opportunities in the global chip market.
To sum up, the challenges and pressures faced by China Chip are huge, but I firmly believe that the future of China Chip is bright. As long as we maintain confidence, insist on innovation, and increase investment and support, China Xinding can achieve real localization and occupy a more important position in the global science and technology arena. Let's look forward to China Chip taking greater steps on the road in the future!