China's 7nm Chip Accomplishment

Bold Innovation & Leadership Statement

China's semiconductor industry has made significant strides in recent years, particularly with the development of the 7nm chip. Here's a small writeup on China's accomplishment in this domain:

China's 7nm Chip Accomplishment

SMIC's Breakthrough: Semiconductor Manufacturing International Corporation (SMIC), China's top chipmaker, has achieved a significant breakthrough in the 7nm chip technology. Despite facing challenges such as being added to the U.S. Commerce Department’s Entity List in December 2020, which restricted its access to U.S.-origin technologies, SMIC managed to develop this advanced technology. The sanctions posed challenges for SMIC in developing technology below 10-nm, which is used to make advanced processors for smartphones and computers. However, SMIC's achievement in the 7nm domain indicates its resilience and innovation in the face of challenges.

Rapid Development: SMIC's journey to achieving the 7nm capability is noteworthy. The company reached this technological milestone in just two years, even without access to the most advanced Western equipment and technologies. For comparison, industry giants like TSMC and Samsung took three and five years, respectively, to achieve the same capability.

Reduced Dependence on Western Technology: The development of the 7nm chip by SMIC could potentially reduce China's dependence on Western technology. SMIC's 7nm technology has many similarities in process technologies, designs, and innovations with TSMC’s 7nm, suggesting that China is catching up with global leaders in semiconductor technology.

Huawei Mate 60 Pro and the 7nm Chip

Huawei Technologies, in collaboration with SMIC, has incorporated the advanced 7nm processor to power its latest smartphone, the Mate 60 Pro. This development suggests that China is making progress in its attempts to build a domestic chip ecosystem. The Mate 60 Pro's launch has garnered significant attention, with its chipset's capabilities being a focal point of discussion.

China's Position in the International Market

China's semiconductor industry is strategically important for the country. The development of the 7nm chip is a testament to China's commitment to achieving self-sufficiency in semiconductor technology. In 2021, the size of China's semiconductor market was approximately $186.5 billion. However, only $31.2 billion worth of chips were manufactured in China. The country's chip self-sufficiency rate stands at 16.7%. To achieve the goals outlined by the "Made in China 2025" initiative, China aims for a self-sufficiency rate of 75% by 2030.

In conclusion, China's accomplishment in the 7nm chip technology, combined with the launch of Huawei's Mate 60 Pro, signifies the country's rapid advancement in the semiconductor industry. While challenges remain, China's progress indicates its growing prominence in the global semiconductor market.

China's rapid accomplishment in the development of the 7nm chip technology, despite facing significant challenges, can be attributed to a combination of management, technological, scientific, and governmental factors:

1. Management and Leadership:

Veteran Leadership: SMIC's achievement can be attributed to the leadership of co-CEO Liang Mong Song, a semiconductor industry veteran who was previously an executive at TSMC. His experience and expertise played a pivotal role in guiding the company through the technological challenges.

2. Technological and Scientific Innovations:

Reverse Engineering: TechInsights reverse-engineered a MinerVA bitcoin mining processor made by SMIC and highlighted the Chinese chipmaker's technological breakthrough despite having no access to the industry’s most advanced extreme ultraviolet lithography systems from ASML.

Adoption of Existing Technologies: Despite being heavily sanctioned by the US government, which restricted its access to advanced EUV chipmaking tools, SMIC managed to produce 7nm chips using its existing tools.

Innovation in Process Integration: SMIC is believed to have implemented process integration choices similar to those deployed by TSMC, indicating many similarities in process technologies, designs, and innovations between SMIC’s 7nm and TSMC’s 7nm.

3. Governmental Support:

Strategic Importance: The Chinese government recognizes the strategic importance of the semiconductor industry. As a result, there has been significant governmental support and investment in advancing the country's chip-making capabilities.

Sanctions and Restrictions: Despite being added to the U.S. Commerce Department’s Entity List in December 2020, which restricted its access to U.S.-origin technologies, SMIC's determination and governmental backing allowed it to continue its R&D efforts.

National Goals: The "Made in China 2025" initiative outlines China's ambition to achieve a chip self-sufficiency rate of 75% by 2030, providing a clear direction and impetus for companies like SMIC.

4. Collaboration and Partnership:

Collaboration with Huawei: After Huawei lost access to American technologies in 2020, it is believed that the parent company helped SMIC advance its fabrication processes, leading to the development of advanced chips like the Kirin 9000S.

In conclusion, China's rapid achievement in the 7nm chip technology is a result of a synergistic combination of strong leadership, technological innovation, governmental support, and strategic collaborations. The country's commitment to achieving self-sufficiency in semiconductor technology, combined with the resilience and innovation of companies like SMIC, has positioned China as a rising power in the global semiconductor market.

Reference:

https://interestingengineering.com/innovation/chinas-top-chipmaker-smic-7-nm-breakthrough

https://thediplomat.com/2022/08/chinas-semiconductor-breakthrough/

https://www.reuters.com/technology/teardown-huaweis-new-phone-shows-chinas-chip-breakthrough-2023-09-04/

https://www.tomshardware.com/news/china-chipmaker-smics-7nm-process-is-reportedly-copied-from-tsmc-tech

October 2023