SMIC may mass produce 40nm chips for Huawei, making new breakthroughs in independent chip production

Nowadays, a lots media reports that SMIC may implement a 40nm chip manufacturing process to produce OLED screen driver chips for Huawei. Taking into account the well-known reasons before, this may mean that SMIC’s 40nm process has achieved complete independence. Due to the relevant pressure imposed by foreign countries on Huawei, SMIC produces chips for Huawei’s foundry, which is also a sign of China. The core 40nm chip manufacturing process has achieved independence and does not need to rely on the technical assistance of other countries to complete it. This is also a new breakthrough in the field of independent manufacturing and production of chips in China.

As early as 2019, due to well-known reasons, TSMC, in the face of huge pressure, emphasized that its 7nm and more advanced 5nm processes used American technology in the proportion of less than 10%, so it can continue to produce for Huawei. Chips, SMIC uses the 14nm process to produce chips for Huawei.

During 2019, SMIC and TSMC were under tremendous pressure to produce chips for Huawei’s foundry. However, in 2020, chip manufacturers using US technology cannot provide Huawei with chip foundry production services in accordance with regulations. TSMC and SMIC is also under pressure to no longer produce chips for Huawei, and communications equipment such as Huawei mobile phones can only be forced to rely on the only inventory to maintain related operations. The development of chips is very important for high-tech companies. Independent development of chips can also promote the progress of science and technology in a country and the improvement of the right to speak in international trade.

However, after September 15, 2020, due to US reasons, all chip manufacturers using American technology cannot produce chips for Huawei. As a result, TSMC and SMIC have stated that they can no longer produce chips for Huawei. Huawei is forced to rely on its chip inventory to maintain operations such as communications equipment and mobile phones.


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