China is dependent on the US for semiconductor development. As a reaction to the embargo, the ailing manufacturer Huawei now wants to concentrate more on its own country and develop its own semiconductor.
In response to the US embargo on chip exports, China is pushing ahead with domestic semiconductor development. The technology group Huawei has developed so-called EDA software to design semiconductors in 14-nanometer technology, the Chinese financial magazine “Caijing” quoted on Friday from a speech by a high-ranking manager. Extensive testing would begin later this year.
In computer chips, the size of the transistors is measured in nanometers. The smaller this value, the more powerful a processor is, because more transistors fit in the same area. 14-nanometer semiconductors first appeared in smartphones in the mid-2010s and are two to three generations behind current cutting-edge technology. The world‘s largest contract manufacturer TSMC produces in the single-digit nanometer range.
China lags behind
The market for EDA software is currently dominated by three US companies – the Siemens subsidiary Mentor Graphics, Cadence Design and Synopsys. Because of the US embargo, they are no longer allowed to deliver their products to the People’s Republic. There are also some providers in China, but experts consider them to be uncompetitive in an international comparison.
Huawei is particularly hard hit by the US sanctions. Sales of the group’s smartphones collapsed after the US ban was announced. The company is therefore investing billions to make itself less dependent on foreign imports. According to their own statements, thousands of supplier parts have been replaced by Chinese products in recent years.
(Reuters)