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Multiple Companies Hands Shape China’s Chip Dream


Multiple Companies Hands Shape China’s Chip Dream

2,810 companies, including big names, driving rapid growth in the semiconductor industry. Chinese automakers, cloud computing companies and smartphone suppliers are expanding into chip design as internally developed processors become the key to differentiating their products and services from rivals.

The trend comes after a prolonged crunch in global chip supply, underscoring the importance of chips to an economy recovering from sporadic COVID-19 outbreaks and future growth.

Chinese companies are taking advantage of the strategic opportunities presented by artificial intelligence, the Internet of Things and autonomous vehicles to grow in semiconductors.

For example, Gan Jiayue, chief executive of Chinese auto company Geely Holding Group, said in February that the company plans to produce the country's first 7-nanometer chip for cars in the third quarter of this year.

The chip, called SE1000, was designed by Siengine, a chip joint venture between chip company Arm and Geely Holding Group's EcarX.

Gan said the chip is designed to support smart in-vehicle functions and will be installed first in one of Geely's most popular models, and the company also plans to produce chips for autonomous driving and in-vehicle central processing units in the future.

This comes after another Chinese automaker, Great Wall Motors, said in December that it had led a funding round in Chinese chip company Synlight Crystal.

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