SMIC expected to produce 30% Huawei Ascend 910B AI chips by end of 2025

SMIC is seeing a tough time due to US sanctions and this situation may also impact the production of Huawei Ascend 910B AI chips, with a 30% yield by the end of 2025. A new report has shed light on what’s going on in the SMIC premises.

Morgan Stanley, an American investment bank, has shared an analysis that says – SMIC can produce 30% of Huawei Ascend 910B AI chips by the end of 2025.

Even though SMIC is one of the best chipset foundries in China, it is lagging in the high-end processor technology due to US restrictions. The firm can’t access cutting-edge EUV machines, which is now ultimately affecting its chipset production.

The investment bank’s analysis highlights that SMIC will be able to produce only 18000 AI chip wafers per month by 2027. Meanwhile, its current target includes only 30% yields of the Ascend 910B AI processors by the end of this year.

Yields are the number of usable chips in a single wafer. The quantity of yields decides the revenue growth of a company, based on lower costs and higher chipmaking.

Further, the report adds that SMIC could make 7000 wafers per month in 2025. These wafers will mainly focus on the Ascend 910B chipsets this year and switch to 910C in 2026. A 12-inch wafer can either make 78 910B dies or 39 910C dies.

The good news is that SMIC could improve the yield rate by 2027, reaching 70% Ascend 910 chips production. But its current target can lower its revenue growth by 50% this year. Morgan Stanley’s report states the following revenue collection:

• 2025: 58.5 million yuan
• 2026: 94 million yuan
• 2027: 136 million yuan

It would be worth seeing how these estimations will affect Huawei’s growth in the Chinese AI chipset industry.

(Image Credits: X)

(via)