Semiconductor Association promotes "China Core"

A word used by the local semiconductor industry has been abused, that is, "China Core." It is often heard that semiconductor companies say they have made "China Core." However, as of now, nearly 100% of local PC processors and more than 80% of mobile phone processors still rely heavily on overseas.

"We did make progress, but we haven't solved the problem of missing cores. I also mentioned in the recent Pujiang forum that China's electronic information industry is not only 'core-less', but also 'no face' (panels still rely on imports). "Jiang Shangzhou, chairman of the China Semiconductor Industry Association and chairman of SMIC, told the "First Financial Daily".

However, for more than a year, Jiang Shangzhou has been advocating the promotion of a project called “China Core”, which is based on the manufacturing industry, uniting the local equipment industry, design, packaging and testing to create a cooperative industry. chain. The China Semiconductor Industry Association has also submitted relevant feasibility reports to the National Development and Reform Commission twice. Does he also want to let this word flood again?

"China Core" project is brewing "a big difference." Jiang Shangzhou said that the association's leading "China Core" is not a product concept, but a major project that involves the entire industrial chain, and it is basically a solution to the Chinese lack. Core problem.

Xu Jinshou, executive vice chairman of the association, wrote the feasibility report for the project. He disclosed to this newspaper that in the past few years, the concept of “China Core” has been proposed mainly by local chip design companies. The Chinese core project planned by industry associations focuses on the synergy and integration of the entire industry chain, and the goal is based on the chip manufacturing industry. , to enhance the competitiveness of the entire industry chain.

Xu Jinshou said that the project has a more complex industrial development background, that is, the synergy demand for the entire industry chain is more urgent than in the past years.

"When the level of technology is low, this demand is not so urgent." He said, but has now transitioned to 65 nm, 45 nm, 32 nm, if the upstream and downstream are not closely coordinated, prone to such problems: the design of enterprises The R&D product is not "manufacturable" and the packaging process has similar difficulties.

Xu Jinshou said that many products are now mainly used in consumer electronics. Such products have more stringent requirements in terms of time-to-market, product life cycle, and price. If they cannot integrate the entire industry chain, they will face even greater difficulties.

Taiwan Semiconductor Manufacturing Co., Ltd., an overseas competitor and a leading global OEM company, has adopted this model. The year before last, it launched the "Open Innovation Platform", which brought together the design enterprise IP to a platform that quickly integrated internal and external resources to form a solution. This is called Semiconductor Generation Industry 2.0. Xu Jinshou stated that under this platform, companies can have contact with manufacturing companies at the beginning of design. Since the manufacturing company owns part of the technology patents and successfully validated products, it can also improve trust.

Mainland China OEMs such as SMIC, Hua Hong NEC, and Grace are less able to do this because their industry influence is less than their counterparts. Jiang Shangzhou and Xu Jinshou emphasized that despite this, the foundation of China's core engineering is still manufacturing, because it is the basis for the development of the entire industry chain and is considered an "aircraft carrier."

This project was first brewed in late October last year. At that time, Jiang Shangzhou was selected as the chairman of the China Semiconductor Industry Association. Just after the meeting was held, he mentioned that he wanted to carry out the "12th Five-Year Plan" of the IC industry.

"Initially, it wasn't called 'project' called 'plan' and it had once been called 'Kunlun Plan'." Jiang Shangzhou said that the goal is to solve China's "core deficiencies."

However, due to tight deadlines, this plan, which was initiated simultaneously with the “Twelfth Five-Year Plan” of the semiconductor industry, was initially “virtual”. Until the State Council Circular No. 32 on accelerating and cultivating strategic emerging industries planning, Jiang Shangzhou immediately organized the association's strength to revisit and do "real". He hopes to enter major project content and hopes to be one of the major projects that the country will solve first.

As of now, the association has submitted the “China Core” project content to the National Development and Reform Commission twice and is waiting for approval. The reporter was informed that if this project is approved, it will be accompanied by high financial support. The initial application report submitted by the association hopes to receive several billion yuan in financial support each year. However, the current quota is about several billion yuan each year.

“In the first half of the year, SMIC rejected many orders and the production capacity was not enough. The entire industry is in the era of 'capacity is king' and hopes that 'China Core' engineering can rely on manufacturing to expand the industrial chain.” Gu Wenjun, senior analyst at isuppli China, said in 2010, TSMC With more than 5 billion U.S. dollars invested, Samsung has invested more than 9 billion U.S. dollars, all of which are expanding at a high speed. If mainland enterprises are thrown too far, they may miss the next boom.

What are the contents of the "China Core" project to be overturned in 5 years and what are the specific goals?

Jiang Shangzhou stated that it is mainly to integrate key companies such as design, manufacturing, packaging and testing on the domestic industrial chain, and to cooperate with each other, and it is advisable for the industry to participate. He said that he had previously convened meetings with many of the above-mentioned bosses, and all of them agreed with the project. Of course, many details were added.

“When you contact Chen Datong, Li Liyou of Spreadtrum, Yin Zhijun of Zhongwei, Liu Qiang of Jun Zheng, and the bosses of a large number of companies such as the New Coast Line, you will feel the enthusiasm of their participation.” He said that these are People who have fought in front of them have been waiting for a long time. They all have the momentum and goals to enter the top three in the world within five years.

"Spread News will win a big victory on TD-LTE, and the new shoreline is expected to beat the rivals in tablet processing." He said that the current market share of local companies is very small, and some areas are even zero. In the future, as long as they can Growing to 10% to 30% is a great success.

As chairman of SMIC, he naturally did not forget SMIC. In the next five years, SMIC will become the second largest semiconductor foundry company in the world.

"Maybe we can beat UMC. But don't you think it's difficult to beat GlobalFoundry who controls the Middle East?" the reporter asked him.

Jiang Shangzhou believes that the integration of GlobalFundry's culture, the perception of the industry may be that it can not really achieve beyond the resistance.

Xu Jinshou revealed that China's core project also includes process and capacity indicators. It will strive to transition to 32 nanometers, and it is hoped that 28 nanometers can be trial-produced. In terms of specific capacity, at least 240,000 (12-inch) quantities are required, which means that at least 10 billion US dollars or more is required.

"Five years later, I hope this industry can reach a sales volume of RMB 330 billion, accounting for 14.7% of the world." Xu Jinshou said that despite this, it is only slightly higher than Intel's one company's revenue this year. At the same time, he disclosed that the U.S. surplus is China’s largest export product, which is semiconductor. The U.S. Semiconductor Industry Association has been lobbying the House of Representatives and continuing to maintain this status.

However, industry insiders told reporters that not all companies are so enthusiastic about the "China Core Project." The Ministry of Industry and Information Technology told the Semiconductor Industry Association that if Hua Hong NEC and Grace do not participate, this project is still more difficult. Over the years, Hua Hong NEC has been relying on the development of the 909 project. At present, it is building a 12-inch project of pure state-owned assets Huali Microelectronics with Grace.

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