Huawei has placed an 800 billion order with 32 Chinese domestic chip manufacturers
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Is this true? In recent days, a piece of news about a massive order from Huawei to Chinese domestic chip manufacturers has caused a sensation in the global tech community. It is reported that Huawei has placed an 800 billion order with 32 Chinese domestic chip manufacturers. This is the largest order in the history of China’s domestic chip industry and represents Huawei’s significant support for Chinese-made chips. This news undoubtedly serves as a strong boost for the Chinese domestic chip industry and a major enhancement of China’s technological strength.
So, what does this order signify? What impact and opportunities will it bring to China’s domestic chip industry? How will it propel the development and innovation of China’s technology industry? This video provides analysis and interpretation for you.
One, Take a look at the current situation and challenges of China’s domestic chip industry
Chips, like the brain of a human body, are the core components of electronic devices. Without the support of chips, electronic devices cannot function properly, let alone achieve intelligence and internet connectivity. It can be said that chips are the cornerstone of modern technological development and an important indicator of a country’s technological strength. However, for a long time, China has faced significant challenges in the chip field. Due to a lack of core technology and innovation capabilities, domestic chip enterprises struggle to compete with foreign chip giants, either engaging in low-end contract manufacturing or relying on foreign chip supplies. This is undoubtedly a significant weakness, and once foreign policies change, China’s electronic devices could face severe restrictions or even a supply crisis.
Especially since the outbreak of the trade war, the United States has imposed a series of sanctions and blockades on China’s chip industry, leading to unprecedented challenges. Taking Huawei as an example, as China’s largest communication equipment and smartphone manufacturer, Huawei has a massive global market share and influence. However, due to the U.S. ban, Huawei cannot purchase chips from U.S. chip companies or use U.S. chip design software, causing a significant blow to Huawei’s production and development.
Facing this situation, Huawei did not yield but chose self-reliance, increasing its investment and support for Chinese domestic chips. Hisilicon Semiconductor, a subsidiary of Huawei, is China’s largest chip design company and the fifth-largest chip design company globally.
Hisilicon Semiconductor possesses leading technology and innovation capabilities in chip design, especially in cutting-edge fields like 5G and artificial intelligence, where its chip products have reached international standards.
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