Top chipmakers, TSMC (Taiwan Semiconductor Manufacturing Company) and UMC (United Microelectronics Corporation) making the semiconductor industry continue to rise in Q4, say a report. The wafer duo of TSMC (2330) and UMC increased by 10%, up to 20% respectively.
Moving ahead, the power management and driver ICs are still soaring with a possibility of price increase for some products. However, the power management ICs may be out of stock all the way until the second half of next year.
Ups and Downs in Production Capacity:
According to the report, TSMC and UMC’s production capacity will remain tight for this season as well. Besides, a previous report on this matter reveals that TSMC cloud increase price corresponding to the market and customers.
In this line, the new price list has been activated since August for some customers meanwhile some of them will start from October. This new adjustment results in a 15-20 % increment in the mature process and 10% in the advanced process.
Moving to the UMC, this company also preparing for an increase before the end of the fourth quarter. The new regulation will have an average increase of 10% since November simultaneously increasing some processes by 15%. With the help of price increases in the semiconductor industry, the market analyzers forecast that TSMC and UMC’s revenue, gross profit margin, and net profit after tax will continue to rise.
IC Chips and Design:
The report further reveals that the Taiwanese chip boundaries are rising chip foundries and launching countermeasures. Furthermore, the chip price increase from anonymous IC design firms in the first half has been shown on the packaging and testing of the products.
In addition, July, August, September to November, and December are also expected to keep the same flow. If the customers want express delivery, they have can only adjust prices for the moment. Besides, the makers also are in negotiation with customers.
For instants, TSMC has increased by 20% while the other manufactures are still considering the price increase strategy. The dilemma is to whether to only increase the price for TSMC invested product of all products coming next.
This reports revelers around the power management IC factories in Taiwan alongside Silicon Power, Mota, Zhixin, Analogue, Tongjia, and Hongguan Electronics from China. The foundries are out of print for the power management chips. At the starting of this year, the customers were rushing for almost every item but now they are only demanding some specific parts.
Besides, Novatek and Tianyu are still ruling the driver IC market. And the present conditions aren’t favorable in the TV market so makers are reducing the price. Still, the driver IC inventory occupies small marketing, so that the price increase is acceptable for the customers.
Adding to this, driver chips such as power management ICs are mostly produced by 8-inch factories. However, their production capacity is tight currently. Thus, only some driver IC quotations are likely to be increase prices at present.
Huawei developed low-latency image transmission technology, supporting 8K resolution
Huawei’s chip-making subsidiary, HiSilicon has announced to development of new low-latency image transmission technology to enriches multi-screen devices and enhanced the interactive streams experience.
Although Huawei faces a huge decline of about 88% in 1stQ 2021 but still, it wants to continue the research and development for bringing new technologies in the chip industry.
And now we can see the results of their hard work in the new Huawei HiSilicon image transmission technology to increase the image quality measurements mostly during live broadcasts.
HiSilicon Image Transmission Technology:
This new technology provides a full stack of solutions for high definition, (HD), ultra high definition (UHD), 4K, and 8K devices. You can see the dried description below-
- Lower Latency: HiSilicons’ self-developed HiAir ultra-low latency image transmission technology aims to establish a new standard by the next 3 years. it provides a combined benefit of Huawei Cast Plus, automatic device discovery, minimalist connection, and controlled experience.
- Protocol Deep Optimization: Huawei designed this technology with the Huawei Cast Plus, DLNA, Miracast, and Lelink.
- Low Memory Design: The image transmission technology uses lesser memory during processing with strong scalability.
- High Energy Efficiency Ratio: A User only has to connect the TV USB for electricity supply, during the whole process the temperature won’t go over 40 degrees.
- UHD Image Quality: This new technology will increase the industry’s image quality performance qualification (PQ) standards and provides the most compatible UHD image for media streaming.
In the previous month, HiSilicon opens the recruitments across various locations mainly including Beijing, Shanghai, Shenzhen, etc, for university freshers to provide them an opportunity to jointly develop future technologies. Furthermore, the recruitment categories include Chip, Hardware, Research, Software, Testing, and System.
It’s reported that Huawei wants to keep researching on chipsets and wants to develop its own semiconductor technologies to shrink dependence on other chip manufacturers.
SK Hynix begins 1anm DRAM mass production, aims to complete by the second half of 2021
Furthermore, it’s the first time in the history of SK Hynix to work o the EUV (Extreme Ultraviolet) device in mass production. Before, the company used lithography technology for its 1ynm DRAM production.
To date, SK Hynix has been introduced three kinds of 10nm DRAM-based mobile chip generation. Stating with 1x, 1y, 1z, and now the company is bringing 1anm, which is expected to reach the smartphone manufacturers by the second half of 2021.
The company believes that the advantage of EUV equipment in chip production leads to the increased productivity, and further boosts cost competitiveness. The expected increase is 25% in terms of productivity.
The forthcoming product realizes a 4266Mbp stable transfer rate with 20% of reduced power consumption. Apart from this, the company also plans to implement the 1anm technology to DDR5 device debuted in October 2020 in the coming year.
The Vice-President of the company- Cho Youngmann stated that the 1anm DRAM features the most advanced technology with the reduced investment will serve the company in two aspects. First, it’ll bring high profitability, and secondly, it’ll help the company to position itself as the leading technology.
To be mentioned, LPDDR4 stands for Low Power Double Data Rate, which is the fourth generation of the 10nm process technology. This chip is specially designed for smartphone devices.
About SK Hynix:
The SK Hynix is a well-known South Korean firm that works on the manufacture and sales of semiconductor devices. It’s a worldwide provider of mobile chips, which mainly includes Dynamic Random Access Memory chips (DRAM), flash memory chips (NAND Flash), and CMOS Image Sensors (CIS).
Breaking: Huawei will start manufacturing its own chipset in 2022, HiSilicon Factory is preparing
Digitimes reports that Huawei will build its first wafer fabrication manufacturing company in Wuhan, Hubei Province. According to the information, the company is expected to start production in stages from next year.
From the first perspective, this is a piece of big news and Huawei’s preparation to enter the chip-making industry is a big topic of discussion. On the other hand, HiSilicon, Huawei’s chip designing subsidiary have the capability to design advanced chip designs.
Sources reveal that this factory initially used to produce optical communication chips and modules to gain self-sufficiency and keep a good quantity of required chipsets.
Huawei is best known for its telecom equipment dominance and the company sells different types of services and consumer products both commercial and for the industry partners.
Huawei Hisillicon Factory in Wuhan:
Currently, Huawei’s Wuhan-based Research Institute has nearly 10,0000 research and development personnel that mainly researching and developing optical communication equipment, HiSilicon chips, and automotive laser radars.
Some media have stated that HiSilicon is the only company in China that has the ability to develop a coherent optical DSP chipset.
It’s reported that the establishment of Huawei HiSilicon’s plant in Wuhan already began to take shape in early 2019. During that time, a project named “HiSilicon Factory” became a hot topic of discussion.
The news of the HiSilcon fab factory broke out from the issues that occurred after the issue in Huawei’s bond in China. In 2019, it’s reported that Huawei intended to register a medium-term note scale of 20 billion yuan, and the first phase of the proposed issuance is about 3 billion yuan, with a term of 3 years. The raised funds will be used To supplement the working capital of the company’s headquarters and its subsidiaries.
In the proposed plan, Huawei proposed the Wuhan HiSilicon factory project with a total of 1.8 billion yuan investment. Related to this, the website of Wuhan Municipal Bureau of Natural Resource and planning also published a “Huawei Technology Co., Ltd. Huawei Wuhan R&D and Production Project (Phase II) A Plot Planning and Design Plan Adjustment Pre-approval Announcement”.
At that time, this project was first mentioned as a HiSilicon factory but later the news was disappeared from the discussion.
Beginning and the next challenge:
For now, there’s no official information that has been confirmed on this subject but we’ll have to wait to get more insights on this developing story.
However, we can say that Huawei’s new semiconductor adventure should get boosted, as it requires more research to develop advanced chipsets. Also, we definitely want to see the Chinese tech company to develop its own chipset for smartphones and other IoT devices.
But at the moment, we can anticipate and joy on this piece of news.