Reborn in 2011, 985 missing from two copies

Chapter 436 Qualcomm is shocked, Nvidia takes action!
Currently, SMIC already has three 12-inch wafer fabs and many 8-inch wafer fabs.

But unfortunately, the technology is backward, most of them are 90 nanometers and 65 nanometers, and the most advanced is only 45 nanometers, and it still uses IBM's technology.

This results in fewer orders and low profits for SMIC.

Even for 12-inch wafer fabs, production capacity is largely idle, and the company is unable to make ends meet, resulting in losses every year.

But what about Xingyi Semiconductor?
We have advanced technology and terrifying production capacity demands, but we lack production lines!
Mr. Zhao's eyes lit up: "This is a good idea. SMIC has many factories, but lacks money and technology. Xingyi Semiconductor has money and technology, but lacks factories!"

"It's a good thing that the two have mutual resources."

"I will take the lead and promote the acquisition of a SMIC wafer fab. We will pay for the hardware facilities. If SMIC is willing to move the equipment, it can move it. If it is not willing to move, Mr. Wang, you can spend some money to buy it."

"No problem, we need a 12-inch wafer factory!" Wang Yi was in a good mood.

He has long been eyeing SMIC's 12-inch wafer factory.

But unfortunately, if Wang Yi proposed it, SMIC would definitely not agree. But if Mr. Zhao proposed it, it would be completely different.

More importantly, SMIC is currently in a quagmire, with poor technology, few orders, and a large number of idle production lines.

If there was no other way, SMIC would not want to borrow money to build factories everywhere.

After all, wafer fabs are very expensive, and most of SMIC's money is borrowed or raised by selling shares.

But sometimes there is no way.

With official support for integrated circuits, all major first-tier cities are rushing to introduce SMIC.

reject?

joke.

Does SMIC no longer want to continue its business?

The simplest thing is that SMIC started in Shanghai, but at that time they were all 8-inch wafer factories.

In July 2004, SMIC's first 7-inch wafer factory went into production in the capital!

When the Magic City saw this, they said, "You ungrateful wolf, I will support you. Why are you building a 12-inch wafer factory in the capital? Is this something a human would do?"

In desperation, in 2005, SMIC built a new 12-inch wafer factory in Shanghai.

Now the Shenzhen Stock Exchange could no longer sit still and brought in SMIC, established a Shenzhen branch, and directly invested in the construction of two wafer fabs.

One is eight inches and the other is 12 inches!

There is a 12-inch wafer factory in Seoul, but they cannot operate it themselves, so they handed it over to SMIC for management.

Three 12-inch wafer fabs were put into production at once, many 8-inch wafer fabs had already been put into production, and several new fabs were under construction... SMIC was overwhelmed.

If SMIC's technology is as advanced as TSMC's, then it would be fine and there would be no shortage of orders.

But unfortunately, SMIC's technology is backward. The 12-inch lines are all 90 nanometers, with 65 nanometer technology and 55 nanometers considered advanced.

As for 45 nanometers, it also uses IBM's technology and is subject to the control of others.

In addition, at present, the domestic smartphone industry is just starting out and there is not much demand for mobile phone chips. Some of the production capacity of SMIC's several major wafer fabs is idle, resulting in losses every year.

As a result, SMIC almost went bankrupt and had to introduce new shareholders.

The result is predictable. With the arrival of the new shareholder, the internal power struggle becomes more fierce, and the bully...

It was not until many years later when Mr. Liang joined that SMIC's technology made great breakthroughs, breaking through 28 nanometers, 20 nanometers, 14 nanometers...

Now, SMIC has received a lot of orders, and now its wafer fabs are not enough, so it has started to invest heavily in building new wafer fabs...

For example, many years later, the monthly production capacity of Tianjin’s 12-inch wafer factory was 10 pieces!

However, at present, SMIC has poor technology and few orders, and simply cannot use so many wafer fabs.

Instead of burning money, it is better to sell one to cash in and use the money for research and development.

As for the target, there are only three, or two.

The B12 1-inch wafer factory in the capital and the 12-inch wafer factory in the magic city.

As for the 12-inch wafer factory in Seoul, it does not belong to SMIC but to Seoul Xinxin. It was invested by Seoul itself and was just managed by SMIC.

In this case, whether it is the 12-inch wafer factory in Shanghai or the capital depends on the mediation of Mr. Zhao and others.

"Okay, I'll arrange a 12-inch wafer factory for you!" Mr. Zhao said with a smile:
"We will prepare for both scenarios. We will push forward the acquisition first. At the same time, the second wafer factory in the capital will continue to be built. The monthly production will still be 10 wafers, but the construction period will be divided into two phases, wafers each, so that one phase can be delivered within a year."

"Okay." Wang Yi replied. This was the best arrangement.

The current Didu wafer factory has a monthly output of 2.5 wafers, which is very small and definitely not enough.

At least another 2.5-inch wafer fab with a monthly output of 12 wafers will be needed to meet chip demand for the next year.

A year later, the first phase of the Imperial Capital Second Factory will be delivered, with 5 wafers directly produced. By then, the production capacity will have doubled. Not only will there be no capacity crisis, but on the contrary, chips can be sold to the outside world!
Wang Yi said with a smile: "Since the capital is so supportive, we are going to invest 300 billion in the second wafer factory in the capital and make it 28 nanometers!"

"What? 28 nanometers?"

Mr. Zhao was full of disbelief: "Director Wang, are you serious?"

Wang Yi nodded: "Of course, to be honest, the 40-nanometer process is already in mass production, and the 28-nanometer process must also be developed. When the first phase of the second wafer plant in the capital is delivered, which is a year later, we can only make 28 nanometers, otherwise we will continue to lag behind TSMC and Samsung by a large margin."

What Wang Yi didn’t say was that the first phase of the second wafer factory in the capital was put into production in 2014, with a capacity of 28 nanometers!

The second phase will be put into production in 2015, directly down to 20 nanometers!

This is Wang Yi’s goal.

Even so, it is still one year behind TSMC.

After all, TSMC will start mass production of 2014-nanometer chips in 20.

As for the current Imperial Capital 40 plant and the new wafer factory to be acquired, they will continue to be used to produce chips using -nanometer process.

After all, 40nm chips will still have the largest market share for many years to come.

Just like ten years later, even if high-end chips reach 3 nanometers, the largest shipment volume will still be 28 nanometers.

"Okay, don't worry, the Imperial Capital Fab 12 will work overtime to get it done. I will also do my best to mediate with SMIC and give you a -inch wafer fab."

"Thank you, Mr. Zhao."

Afterwards, Mr. Zhao and Director Qin chatted with Wang Yi for a while before leaving.

On the way, Director Qin couldn't help but say:
"Leader, among SMIC's three major 12-inch wafer fabs, which one are you going to give to Xingyi Technology?"

"Xiao Qin, what do you think about this?"

Director Qin frowned and said, "They are all difficult. SMIC's Imperial Capital Factory is 12 inches and mainly produces 90-65 nanometer memory chips."

"The Seoul Xinxin wafer factory that we manage on behalf of others also mainly produces 90-65 nanometer memory chips."

"Neither of these two factories is suitable. What Xingyi Semiconductor needs is logic chips."

Director Qin sees it clearly.

Digital integrated circuits are divided into several major categories, with memory, logic chips, and microprocessors being the main categories.

Logic chips mainly include CPU, GPU, ASIC (special chips for smart security, Internet of Things, etc.), and FPGA (field programmable gate array) and other categories.

In the past, memory chips dominated the market, but with the development of smart phones and smart tablets, logic ICs have come from behind and become the highest-end and most promising field.

For example, the current SMIC's main business is memory chips.

The Xingyi wafer factory started out with logic chips!

Its starting point is much higher than that of SMIC, so it is much more valued by the authorities.

Director Qin continued, "The 12-inch wafer fab in Shanghai was put into production the latest, but its technology is the most advanced. It has reached 55 nanometers, or even 45 nanometers, and it mainly produces logic chips."

"Logically speaking, the Magic City wafer factory is the most suitable."

"But I guess SMIC treasures its Shanghai wafer factory and is reluctant to sell it!"

"Besides, that was introduced by the Demonic City, so the Imperial City has no say in it."

Elder Zhao smiled and nodded: "Xiao Qin, you are right. But some things cannot be confined to one city. If the Imperial Capital is difficult to solve, then let the Magic City take action."

Director Qin was stunned: "Let the Demon City take action? Will they be willing to do so?"

Mr. Zhao laughed and said, "Xiao Qin, what do you think the Magic City would do if they knew that Xingyi Semiconductor wanted to acquire a 12-inch wafer fab and crushed SMIC by independently developing a 40-nanometer process and producing its own logic chips?"

"Hiss!" Director Qin took a breath of cold air: "The Magic City will treat Xingyi Semiconductor as a treasure, and may even take the initiative to force SMIC to sell the factory!"

"That's right. Moreover, the capital doesn't have to pay for the infrastructure. In order to introduce Xingyi Semiconductor, the Magic City is probably rushing to pay for it."

Director Qin suddenly realized, and then became a little worried: "In this way, wouldn't it be pushing Xingyi Semiconductor to the Magic City? This won't work!"

Mr. Zhao waved his hand and said, "Don't forget, the monthly production capacity of Magic City is only 3 pieces, which is about the same as the first plant in the Imperial Capital. However, the second wafer plant that our Imperial Capital gave to Xingyi Technology can produce 10 pieces! It is larger than all three wafer plants in Magic City!"

"Yes, I forgot about this." Director Qin said with a smile, "Seeing that Xingyi Semiconductor has surpassed SMIC, Shanghai will definitely be restless. This matter is settled, hahahaha."

Elder Zhao nodded: "But this matter must be kept secret. Since Director Wang wants to keep it secret, let's also make a secret strategy."

"Don't worry, leader. All the expert teams have been given instructions. No one will say anything wrong." Mr. Zhao assured.

Unexpectedly, just as he finished speaking, Qualcomm received the news:
【星逸科技自研的四十纳米手机芯片鲲鹏700、鲲鹏702，3G基带芯片翼龙3000，今日全部成功流片。其中鲲鹏702性能或将赶上英伟达tegra 3。】

Jacob looked at the news and his expression darkened:
"Xingyi Semiconductor has developed a 40-nanometer chip? And its performance is comparable to NVIDIA's tegra 3? Are you sure this is not fake information?"

The vice president waved his hand and said, "It should be OK. With our support, the old guy became a professor at a prestigious university and even sent his son to get a full scholarship to MIT. His son is under our control, so he wouldn't dare spread false information."

Jacob nodded: "True, but Xingyi Semiconductor was quick enough to develop a 40-nanometer chip!" The vice president was not surprised: "It's normal. After all, they poached many core talents from Texas Instruments, even Williams. Kunpeng 700 and Kunpeng 702 were made by Williams' team."

"I see. With R&D managers and core talents from TI leading the team, it's normal to be able to handle 40-nanometer chips. 32% of them are TI's technology. But the subsequent 28-nanometer and -nanometer ones will be difficult."

Jacob smiled coldly: "After all, even TI may not be able to produce 32-nanometer or 28-nanometer mobile phone chips."

"Then should we still take action against Xingyi Technology? Do we need to stifle their development?"

Jacob thought for a moment and waved his hand: "Don't worry about it. It's not Qualcomm that should have a headache."

"What do you mean?" The vice president looked confused.

Jacob smiled and said, "Think about it, they are both 40 nanometers. Since the performance of Kunpeng 702 can catch up with NVIDIA's Integra 3, what will Xingyi Technology do?"

The vice president's eyes lit up: "They will replace the NVIDIA Integration 1 in the Xphone 1 Pro, Xingyi Tablet X40 Pro, and Xingyi TV X50 and X3 with Kunpeng 702! In this way, NVIDIA will directly lose Xingyi Technology, a super big customer, which is equivalent to cutting off its own arms. Then NVIDIA's mobile chips will be completely finished, and they will no longer be able to compete with us Qualcomm!"

"That's right!" Jacob was in a good mood. "And our Qualcomm APQ 8064 28 nanometers has very powerful performance. Kunpeng 702 is similar to Tegra 3, but it can't replace 8064 at all. Xingyi Technology can stop using Tegra 3, but Xphone 2 will continue to purchase our Qualcomm APQ 8064!"

"When that happens, it will be Nvidia that dies."

"We certainly cannot suppress Xingyi Technology. We must also let Xingyi Semiconductor develop its own chips to replace Nvidia's Integra 3 as soon as possible. By then, it will be the end of Nvidia's mobile chips."

"The chairman is brilliant!" The vice president was full of admiration: "Xingyi Semiconductor is just starting out and has not yet become a force to be reckoned with. Nvidia is our biggest rival. In this way, if we use Xingyi Semiconductor to kill Nvidia's mobile chip business, Qualcomm will have a bright future."

"Yes, that's right. Haha, Mr. Wang, Mr. Wang, you really gave me a surprise." Jacob said with a smile.

The vice president frowned slightly and said, "Is it possible that Kunpeng 702 is so powerful that it can replace our APQ 8064?"

Jacob didn't care: "Impossible. Kunpeng 702 is only 40 nanometers, and it is Xingyi Technology's first chip. How can it catch up with our Qualcomm's 28 nanometer APQ 8064? Besides, our more powerful Snapdragon 800 will be released next year."

"Yes, I was overthinking it."

Jacob changed the subject: "Tell the old guy that he did a great job this time. Tell him to keep an eye on Xingyi Semiconductor. If there is any new information, contact us immediately. As a reward, buy him a house in New York, hehe."

"Okay, Chairman."

Jacob sat in the boss chair, lit a cigar, and started puffing. "Old Huang, without the huge order from Xingyi Technology, who can you sell your NVIDIA Integration 3 to? How long can your NVIDIA mobile chip survive? Hahaha!"

Nvidia headquarters.

Huang also received the news: "What? Xingyi Semiconductor has developed a 40-nanometer chip Kunpeng 702? The performance is not inferior to our NVIDIA's Tegra 3? And there is also a baseband chip?"

"What the hell! Is this all true?"

"It's true. This is the news from Qualcomm."

"Fuck! What should I do?" Old Huang's face changed drastically:

"Once Kunpeng 702 goes into mass production, Xingyi Technology will definitely abandon NVIDIA's Tegra 3 and replace it with Kunpeng 702."

"Once we lose the huge order from Xingyi Technology, our NVIDIA Integration 3 sales will be reduced by half!"

"It's over, it's over!"

"We're in big trouble."

Old Huang was panicked, completely panicked, and felt terrible.

"Chairman, what should we do? Find a way to stop Xingyi Technology's Kunpeng 702 from mass production?"

"No, Xingyi Technology is our major customer. If we block it, even if Kunpeng 702 cannot be mass-produced, they will still bear a grudge and completely abandon NVIDIA's Tegra 3 and turn to Qualcomm's APQ 8064. By then, we will be the ones who are doomed, and Qualcomm will be the one who benefits!"

"Yes, this is indeed not possible. What should we do? We cannot lose Xingyi Technology, this super big customer!"

Old Huang thought for a moment and said, "You just said that they have successfully developed the 3G baseband?"

"Yes, the 3G baseband has also been successfully developed."

Huang fell into deep thought: "Our NVIDIA Tegra 3 lacks a baseband, and Xingyi Technology has developed a 3G baseband. What do you think, can we cooperate? Can we work together to fight Qualcomm?"

"How do you say that?"

Huang smiled and said, "Once Kunpeng 702 goes into mass production, the sales of our NVIDIA Integration 3 will definitely decline. The solution is to develop new customers."

"Our disadvantage against Qualcomm is that we don't have a matching baseband, and Intel's baseband is rubbish."

"If we cooperate with Xingyi Technology, we can develop new customers together. We sell the Tegra 3 chip and Xingyi Technology sells the Yilong 3000 baseband. We can make money together and grab Qualcomm's market share together."

The subordinate's eyes lit up: "If that's the case, then Qualcomm is the one that's in trouble!"

Old Huang nodded: "More importantly, Xiaguo Mobile 3G is Xiaguo's own standard TD-SCDMA. Qualcomm's 3G baseband does not support TD-SCDMA, so it cannot be used for Mobile 3G. We have to buy Xiaguo's own baseband. I seriously doubt that Xingyi Technology's Yilong 3000 baseband supports Xiaguo's Mobile 3G!"

The subordinate suddenly realized: "That makes sense. As a domestic baseband of Xia Country, it must support Xia Country's mobile 3G."

"If so, our Tegra 3 chip + Xingyi Technology's Pterosaur 3000 baseband will be truly full network compatible. Even Qualcomm cannot achieve full network compatible, and it will definitely be a best-seller in Xia Country."

Old Huang nodded: "More importantly, with this cooperative relationship, Xingyi Technology can't give up all NVIDIA Tegra 3. At least it will continue to purchase some."

"In addition, Xingyi Technology's Kunpeng 702 is only 40 nanometers, while next year's flagship phones will all be 28 nanometers. Xingyi Technology cannot produce 28 nanometer chips, so by then, the next generation of Xingyi phones will have to purchase 28 nanometer chips from outside. Our Nvidia Tegra 4 can also grab a wave. Especially with the current cooperation, working together with Qualcomm, Xingyi Technology will probably be willing to choose Tegra 4 and give up the next generation Qualcomm flagship Snapdragon 800."

"The chairman is very wise. I never thought that someone could come up with a winning strategy in such a desperate situation."

Old Huang laughed and said, "Compared to Qualcomm, Xingyi Semiconductor is nothing. Qualcomm is our biggest enemy. Cooperating with Xingyi Semiconductor and fighting Qualcomm together is in the interests of NVIDIA and Xingyi Technology."

"After all, Qualcomm is too powerful. Only by joining forces to curb the development of Qualcomm, Nvidia's mobile chips and Xingyi Semiconductor will have a future."

"Director Wang is a smart man, he will understand what I mean."

"I see." The subordinate immediately understood the situation.

Old Huang thought about it and called Wang Yi directly: "Mr. Wang, congratulations, congratulations."

Wang Yi's heart skipped a beat, and he said calmly, "Boss Huang, where does your happiness come from?"

Old Huang laughed and said, "Mr. Wang, don't be so modest. Xingyi Semiconductor was founded only one year ago and has launched Kunpeng 702, Kunpeng 700, and 3G baseband Yilong 3000! The performance of Kunpeng 702 is no less than that of our NVIDIA Integra 3. Of course, this is cause for celebration."

Wang Yi's mouth twitched: "..."

We just agreed to keep it confidential and wait until it happens.

As a result, in less than half a day, even Old Huang, who was far away in the United States, knew about it.

The confidentiality of this work is really funny.

"Mr. Huang, where did you get this information?" Wang Yi said coldly, there must be a spy.

He should not be an insider of Xingyi Semiconductor, otherwise the news would have been leaked long ago without waiting until today.

Director Qin and Mr. Zhao are not possible either, so it has to be a team of experts!
Old Huang quickly explained: "To be honest, it was a friend of Qualcomm who happened to hear Jacob and the vice president talking about this. As for how Qualcomm knew about it, I don't know. It was said that it was a professor..."

Wang Yi's mouth twitched: "..."

I can only say that he knows how to play, really knows how to play.

Qualcomm hired a spy, a professor, to steal information from Xingyi Semiconductor.

Nvidia bribed spies from Qualcomm to steal Qualcomm intelligence.

I can only say it's amazing.

Even Wang Yi suspected that Qualcomm had also placed people in Nvidia.

The business wars among big companies are so simple and plain.

"A professor. OK, I understand. Thank you, Mr. Huang." Wang Yi said.

If it weren't for Old Huang, he would still be kept in the dark.

Old Huang laughed and said, "Mr. Wang, I have a question for you as well. Does your Yilong 3000 baseband also support Xiaguo's mobile 3G?"

"That's right. As a domestic baseband, it must support mobile 3G." Wang Yi said.

Although mobile 3G does not work well, it has the largest number of users.

That’s right, the number of China Unicom 3G and China Telecom 3G users combined is not as many as China Mobile 3G users.

Therefore, the Wing Loong 3000 baseband not only supports the 2G/3G of China Unicom and China Telecom, but also supports the 2G and 3G of China Mobile.

Full blood and full network access!
“What about overseas frequency bands?”

“They all support it.”

"Awesome, really awesome!" Old Huang was in a good mood: "Mr. Wang, your 3G baseband is more powerful than Qualcomm's 3G baseband."

Qualcomm's current 3G baseband does not support mobile 3G.

Therefore, xphone 1, xphone 1pro, and xphone 2 only support 2G of China Unicom, China Mobile, and China Telecom, as well as 3G of China Unicom and China Telecom.

After all, China Mobile's 3G and TD-SCDMA were developed by Xia Guo, and Qualcomm didn't have time to integrate them.

Until the next generation Snapdragon 800, with an integrated 4G baseband and compatible with mobile 3G TD-SCDMA, many devices were also blocked.

For example, the China Unicom version of Xiaomi 3 uses Snapdragon 800, so it should be able to support 4G full network.

In fact, not only does it not support mobile 3G, it also does not support telecom 3G, and 4G is also blocked.

But Wing Loong 3000 is different, it supports all 2G and 3G of China Mobile, China Unicom and China Telecom.

As for 4G, there is no 4G in China at all, so it doesn’t matter.

"As expected." Old Huang was in a good mood. "Mr. Wang, I have an idea. We should sell NVIDIA's Integra 3 and Xingyi Technology's Pterosaur 3000 baseband together and provide joint technical support to fight against Qualcomm's APQ 8064!"

(End of this chapter)