To prop up domestic semiconductor industry, offering out of the "big fund" strategy in China, but that is like power ball Powerball lottery, despite the huge funds to attract semiconductor industry, but don't know how to win.

China wafer generation detect semiconductor manufacturing international (SMIC) provide their own case: the company has obtained 65 nanometers and 45 metric cheng technology licensing in an attempt to market, without power of the remanufacture technology, cannot create value added service; So and IBM in the core and common development of 28 nai metric process technology, although has the elasticity, but the long products listed on schedule.

Big client Qualcomm, Qualcomm last year began to adopt its 28 nanoscale polycrystalline silicon process, but will have to wait until the end of this year in the core will begin to mass production higher value of High - K metal gate 2 version of the process. In core and in June last year announced an ambitious plan, will and IMEC, Huawei (Huawei) and qualcomm to jointly develop nanoscale FinFET technology; But expectations have until 2019 to the technology preparation clue, I'm afraid behind rivals TSMC (TSMC) more than three years.

Smic's vice President of marketing Sunny Hui in the recently held in the United States a Industry Strategy summit hosted by SEMI (Industry Strategy Symposium, ISS) on an interview with EE Times American editor, said: "we also know that many backward market leading competitor, but this is a phase we must experience ─ ─ is part of the campaign must chase Moore's Law (Moore 's Law)."

Taiwan semiconductor manufacturing co (TSMC) announced in December last year, will set up a wholly-owned subsidiary in China 16 nanoscale FinFET wafer fabs production; This undermines the smic in China local service growing without fabs foundries advantages of IC design industry community. Core dilemma seems to be revealed in China should put all your eggs in one basket, to provide advanced technology within the time limit in the more competitive, but Hui says this is the wrong lessons, his suggestion is to adopt more sensitive to the market dynamic solution.

"We welcome more companies to establish industry ecosystem, because we care about is that whether is built up according to the demand of supply chain;" Hui said: "if in no way to achieve fast enough, there is no reason for the emergence of the other players are not happy... they will force us to accelerate technology development harder."

Indeed, China's attempt to a large number of low-priced products leading solar photovoltaic panels and LED the market, but also stifle the profits; The government planners should not hope to repeat it in the field of semiconductor.

Smic made about $400 million last year big fund subsidies, can let the company started building is located in Beijing's third fabs B3. The seat FinFET fabs plan production process. While the B2 fabs will start mass production this year 28 nanometers and 40 metric.

In order to cultivate local semiconductor industry, it remains to be seen whether China will invest much money in total; Analysts Handel Jones estimates that at least $30 billion, other analysts say from the Chinese government and private funding, total will be $100 billion.

China's huge demand for memory

Gartner and other analysts expect that China will be in three major fabs, established in 2020, production of NAND, respectively DRAM and logic chips; While China is indeed huge demand for memory chips.

Remember have body giant meguiar's (Micron) enterprise development vice President Michael Sadler said in the ISS, China now has four memory fabs, of which three large-scale factory belong to sea lux (SK Hynix), Intel (Intel) and Samsung (Samsung), a relatively small residual is belonging to the domestic industry in China.

Sadler planners think China will invest more memory fabs, and micron for relevant business opportunities very interested: "meguiar's doing business in China more than other countries, business scale growth is very big, China is clearly want to dominate the technology development and how to local deployment technology in China."

China factory is only a memory (XMC) by local industry in wuhan new core business

For China, it's almost reach national security level, and if we can work with more need of memory chips, also is the protection of the economy; In July last year that China intends to pay $23 billion acquisition of micron but market observers pointed out that the deal should be unable to obtain approval from the competent authorities of the U.S. government.

Pen privately asked Sadler, meguiar's demands in negotiations with China have? He said the company needs is the rights of the capital, to enter the market, and sustainable business model in China, and don't want to authorize technology so as not to develop a competitor. Meguiar's has in this regard through a joint venture of China and the science and technology in Taiwan (Iotera) obtained some experience; China subfamily originally meguiar's joint venture together with the Formosa, and the light to other shareholders to buy back shares recently, in order to obtain greater operating flexibility.

Sadler's view echoed the author previously asked wafer Fab 8 generation industry Globalfoundries group fabs pet manager Tom Caulfield perceptions of China, he said: "is willing to, money was not enough to enter the industry, what they need is to find a cooperation mode."

In the core of the Hui said, wanted to win the market is not necessarily to have the most cutting-edge technology; In the core, for example, the company has about 60 species of different processing techniques, including a very suitable for the Internet of things (IoT) of the application of low leakage 55 nanotechnology, only recently with the visible optical communication technology innovation industry develop core Semiconductor (Brite Semiconductor) cooperation.

New Chinese chip winning pattern of the investment plan has yet to be clarified, but there is no doubt that for many of the semiconductor industry is flexing its muscles, preparing proposals, hoping to after hard negotiation, can win the game. China's "big fund"