Huawei announced an investment of 560 billion yuan in 157 billion chips, and foreign media broke the

Mondo Technology Updated on 2024-01-30

Huawei announced an investment of 560 billion yuan in 157 billion chips, and foreign media broke the news that TSMC lost the "bet".

The United States was a world leader in semiconductors after attracting a large number of foreign scientists after World War II and more than 1,200 German scientists returning to China after World War II to pursue scientific research. However, with the recovery of other countries' economies and the development of technology, the dominance of the United States in the global integrated circuit industry chain has been questioned. The emergence of Huawei's Kirin core and 5G technology has further affected the hegemony of the United States in the field of integrated circuits.

Huawei's success is due to years of technology accumulation and R&D investment, as well as the huge support of the Chinese market and the cooperation of domestic enterprises. However, in order to protect its own interests and the fundamental interests of local enterprises, the United States has imposed all-round sanctions on Huawei. These include amending the tablet** rule, prohibiting U.S. companies from supplying Huawei** tablets and other related equipment and technology, as well as aggressively playing up the Entity List and the Tablet Act to intimidate TSMC into stopping supplies to Huawei.

These measures have put Huawei in an embarrassing situation where it has no chips to use, and the consumer business has been severely hit. In this process, TSMC, as one of the world's largest chip manufacturers, has played a key role. On the one hand, it does not provide foundry chips to mainland enterprises, and on the other hand, it invests tens of billions of dollars in the United States to build factories"Wallgrass"The behavior is undoubtedly to curry favor with the United States in order to obtain more benefits.

However, TSMC's efforts don't seem to have paid off enough. Not only did it not receive chip subsidies from the United States, but it was also threatened with handing over basic data and customer information. In fact, the United States has always used TSMC and has never considered it"own people"。

The chip war between China and the United States has brought great difficulties to Huawei, but it has also accelerated the rise of Chinese chips. Since 2022, China has reduced its imported chips by 97 billion, and in July this year, it reduced by another 60 billion, with a cumulative reduction of about 157 billion imported chips, almost all of which were replaced by domestic chips. This situation means that Qualcomm and other American companies have seen their revenues and net profits plummet, and they can only rely on the scale of layoffs and the reduction of chip production capacity to protect themselves.

In this case, Huawei launched the Mate60 series equipped with Kirin core, which sold out in seconds as soon as it hit the shelves. The success of this product proves that as long as Chinese scientists want to do it, there is nothing they can't do. Huawei President Ren Zhengfei and Meng Wanzhou have said that Huawei will continue to increase investment in scientific and technological research and development in the future to achieve true self-sufficiency and the return of kings.

Huawei's comeback with Kirin Core is the result of Huawei's unremitting investment and hard research and development over the years, and the encouragement and support of the state and domestic enterprises on the other hand. As Huawei and domestic manufacturers establish non-US technology chip production lines, more and more chips will be produced in the mainland, while TSMC will completely lose many orders and customers.

You must know that since TSMC followed Huawei to the United States to make chips, many domestic companies have been interested in TSMC"Wallgrass"Now, as Huawei has built a semiconductor chip production line with companies that have no American technology at all, more chips will inevitably be produced in China in the future. TSMC will also lose more orders, it is reported that since the launch of the Huawei Mate60 series, TSMC's market value has been **77 billion US dollars, about 560 billion yuan!

Overall, a series of sanctions issued by the United States have not slowed down the development of Chinese chips. On the contrary, these measures have accelerated the development of Chinese chips and the rise of the Chinese market. In this process, TSMC, as an important participant in the U.S. plan to suppress China's semiconductor chips, has also affected its own interests.

In the future, with the continuous development and rise of Chinese chips, we can expect to see more Chinese companies succeed in this field and bring more innovation and value to the global semiconductor market.

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