I Am the President of the University

Chapter 153 The Crisis of Huaxing

Latest website: "Huaxing mobile phone supply will be cut off? Where should Huaxing go?" - Yiwang News.

"Cut off confession?" Chen Hao looked at this word with an ominous premonition.

I clicked on the news and saw that the beautiful country had taken action against Huaxing.

Companies such as Qualcomm and TSMC are prohibited from providing chip products to Huaxing, and the remarks all point to Guanghua Semiconductor not selling products to American companies.

"What is happening in Beautiful Country! Now the conflict has escalated." Chen Hao was a little worried.

I feel like I've caused trouble.

Because it did not sell photonic screens to Apple, the other party directly sanctioned Huaxing.

It’s also quite doggy!

A bunch of comments below are all about slandering the beautiful country, and incidentally they are also slandering Apple. After all, Apple is also one of the culprits this time.

"This old man is going to hate me to death." Chen Hao thought and couldn't help but reveal a wry smile.

Huaxing's mate45 series has just been launched, and the supply of chips has been cut off. This attack is really too big.

Pengcheng.

When Ren Zonghua heard the news, as a representative of the older generation of entrepreneurs, his face was calm.

Wei Han, on the other hand, started to panic.

Ren Zonghua turned to look at Wei Han, who had a little worry on his face, smiled slightly, and said angrily: "Wei Han, you are nervous."

Of course Wei Han was nervous!

When he learned the news, he panicked on the spot!

What is the concept of a chip for a mobile phone?

It is equivalent to the heart in the human body.

My heart is gone, do you think it's important?

Wei Han looked at Ren Zonghua, who had a calm face, and felt admiration in his heart. He was indeed Mr. Ren.

"I... am a little nervous. I have already contacted Qualcomm and TSMC. Although they also want to continue supplying to us, the beautiful country's decision leaves them no room for resolution."

"Mr. Ren, what do you think we should do?" Wei Han felt desperate. He thought about it but couldn't find a solution.

Ren Zonghua hesitated for a moment and said calmly: "Have you contacted SMIC?"

"SMIC?" Wei Han was stunned for a moment. After thinking for a moment, he frowned and replied: "SMIC can only produce 14nm chips now. This level of chips can only be used in mid-to-low-end mobile phones. Our mate series It is definitely not possible to install it on flagship phones of the P series.”

"With Liang Yiqing at SMIC, it is only a matter of time before it catches up with TSMC. It's a pity that the beautiful country's sanctions came too early." Ren Zonghua sighed, feeling quite regretful.

"No matter how powerful Liang Yiqing is, he is not a god, right? It will take a year at the fastest from 14nm to 10nm. After 10nm, there will be 7nm and 5nm... We at Huaxing can't wait that long." Wei Han said, with a hint of irritation on his face.

nm is the unit nanometer of the unit chip. Professional users call it the gate length. The gate length is the width of the gate of the complementary oxide metal semiconductor field effect transistor formed on the CPU.

In layman's terms, the gate length can be understood as the distance between transistors or the integration level of the chip. The smaller the gate length, the more closely the transistors are arranged, the smaller the volume they occupy, and the more advanced it is relatively speaking.

"If we cut off the supply to our Huaxing, it will also cause harm to TSMC and Qualcomm. Opening up will happen sooner or later. Let's see if we can sustain it." Ren Zonghua's thinking is very clear. He knows that this supply cutoff cannot last forever.

Huaxing's mobile phone chips are divided into self-designed Kirin chips manufactured by TSMC and purchased Qualcomm chips.

With Huaxing's current size, it accounts for a lot of 20% of TSMC's orders.

If a company loses 20% of its orders, does that mean its profits are reduced by 20%? No, because of the large fixed capital expenditure, this company is likely to enter a loss-making state.

In other words, after TSMC lost Huaxing's order, its own losses were also very large!

This is completely harmful and unhelpful!

Wei Han thought with a glimmer of hope, "How about we contact Chen Hao from Guanghua. The cause of the matter is that Guanghua banned the sale of photonic screens to Apple. If they provide them, maybe this suspension of supply can be cancelled."

Hearing Wei Han's words, Ren Zonghua suddenly laughed out loud, shook his head and said: "Wei Han, you are so naive! Do you really think that the chip supply is cut off because of Guanghua?!"

"It's ridiculous! This is just a trigger. The competition between Huaxing Mobile Phone and Apple Mobile Phone for hegemony in major markets around the world is already a threat. Sooner or later, the other party will make such a decision. It is nothing more than an advance."

"Then... what should we do?" Wei Han's hands and feet were cold. No matter how his smart brain worked, this was a dead end on the chessboard!

It can't be solved at all!

Ren Zonghua thought for a while and asked: "How long can the existing chips last?"

Wei Han replied without hesitation: "I asked today. The existing chips can only guarantee the supply of our flagship model for three months."

"3 months..." Ren Zonghua waved his hand and let Wei Han go down first.

Sitting in the office, he thought of someone.

Liang Yiqing.

Liang Mengsong is a legend that everyone knows in the semiconductor industry. From 1992 to 2017, he continuously led TSMC and Samsung to overtake Intel in their processes and become the two largest wafer foundries in the world.

In terms of chip technology, Intel was originally the leader. In 2011, the chip manufacturing process reached 22nm.

At this time, TSMC is only at 28nm, Samsung has not yet reached 28nm, and SMIC has just broken through 55nm...

By this year, Intel's chips are 7nm, Samsung and TSMC are all cutting-edge 5nm, and SMIC has just begun to produce 14nm chips.

How big is the difference?

The current level of SMIC, China's top chip company, is equivalent to Intel in 2014, Samsung in 2015, and TSMC in 2016.

There is a gap of more than 4 years!

Let Huaxing wait for 4 years?

In one year, there will be no 5nm chip supply. With SMIC’s 14nm chips alone, Huaxing’s share in the high-end mobile phone field in major markets around the world will be divided between Samsung mobile phones and Apple mobile phones!

Fortunately, Liang Yiqing, a semiconductor guru, has come to SMIC, and Ren Zonghua believes it.

As long as Liang Yiqing and Huaxia Semiconductor are given two years, they will definitely be able to develop 5nm-level chips.

But...can Huaxing really survive until that day?

As soon as Wei Han left, Ren Zonghua no longer tried to hide it, but a feeling of exhaustion came over him.

"What can we do?" Ren Zonghua turned his head and looked out the window, the sun was still shining brightly.

"Yes! Since they can develop photonic screens, can they also develop optical chips?!"

Thinking of this, Ren Zonghua perked up and called Chen Hao.

At this moment, Chen Hao, who was still eating in the faculty canteen, suddenly received a call from Ren Zonghua.

"Could it be that you're here to ask questions?"

This sentence came to Chen Hao's mind.

He couldn't help but make his tone of voice become cautious.

"Hey, Mr. Ren, what's the matter?"

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