Research institutions: domestic 28nm chip in two years will achieve self-serpication

The U.S. ban has to some extent stimulated the domestic chip industry, which is also inevitable. The establishment of China’s “National Integrated Circuit Industry Investment Fund PHASE II” could push China to become almost self-sufficient in the production of critical 28nm feature-size integrated circuits within two years, according to a study published by Market Research and Consulting group Strategy Analytics, “China’s Self-seocissance on Important 28nm CMOS Nodes: A Successful Plan”.

Research institutions: domestic 28nm chip in two years will achieve self-serpication

The U.S. ban will boost China’s efforts to develop its own products, the report said. With China facing increasingly stringent restrictions on imports of chips, semiconductor manufacturing equipment and electronic design software from the United States and its allies, the shift to self-seism should help reassure customers of Huawei, Heath, SMIC and many other Chinese consumer electronics companies.

However, the consequences could include lower market share and higher production costs for the U.S. semiconductor industry and U.S. allies.

Stephen Entwistle, vice president of Strategy Analytics, said: “China is expected to be the largest buyer of semiconductor production equipment by 2020, until U.S. restrictions on semiconductor equipment come into effect. Part of the phase II investment is to develop its own photorescing, etching, film deposition and wafer cleaning equipment.