Rebirth 99 to become a car giant.

Chapter 747: China’s number one, Nanshan Semiconductor’s rocket-like development speed
The commissioning ceremony of Nanshan Semiconductor's new Yangcheng factory was quite grand.

Cao Yang also considered that Liu Tianwu would leave Yangcheng next month and Gao Sheng would go to Chang'an Province to serve as the acting leader.

The various enterprises of Nanshan Group can be regarded as Liu Tianwu's most outstanding achievements in so many years in Yangcheng.

Yangcheng's promotion from the third position in the country to the first in the country's GDP is also the contribution of Nanshan Group.

This time, Nanshan Semiconductor’s new factory will allow Yangcheng to further catch up with God and Shanghai in the semiconductor industry and become the third largest semiconductor city in the country.

"Editor Wu, the Nanshan Group's influence is growing."

"So many leaders came to the commissioning ceremony of a semiconductor factory."

Xie Min listened to the host on the stage introducing the main leaders attending the event one by one, and couldn't help but communicate in a low voice with Wu Xuebin next to him.

This is not the first time she has participated in a similar event.

However, specifications similar to those of Nanshan Semiconductor this time are still relatively rare.

While Xie Min and Wu Xuebin were whispering, the host invited Cao Yang to come on stage.

Their company and Nanshan Semiconductor are grasshoppers on the same rope.

"But now crude oil has replaced chips as the largest imported commodity."

Of course there are some people who work seriously, but there are more people who cheat and play tricks.

"Relying on Nanshan Semiconductor's continuous construction of new factories, various equipment companies in our chip industry alliance are now alive."

"On the one hand, various domestic semiconductor manufacturers are boldly expanding production capacity. On the other hand, some foreign semiconductor manufacturers have also begun to contact us and consider purchasing chip production equipment from China."

He is very clear about the ethics of many domestic companies.

Wu Xuebin sees the problem very thoroughly.

He Guangming is in a very good mood now.

Therefore, even if the price is advantageous, many companies are unwilling to use it.

The better Nanshan Semiconductor develops, the more dividends they will receive.

With Nanshan Semiconductor's 28-nanometer chip production performance backing equipment manufacturers like them, He Guangming found that the company's business expansion became much smoother.

After all, equipment is a prerequisite for processing various parts and materials.

"It's not like some companies, under the banner of high-tech enterprises, cheating on subsidies every day."

This is especially true in the so-called high-tech field.

The speech of the richest man in the world with numerous titles was surprisingly short.

From the initial various machine tools to the current chip processing equipment, he has personally experienced the development of Nanshan equipment.

Modu Microelectronics’ lithography machine for packaging and testing has now been fully developed.

For a country's industry to be strong, the related equipment industry must be strong.

Otherwise, it would be impossible to truly develop strong industrial strength.

"That's true. Even globally, Nanshan Semiconductor is competitive and a first-tier company."

And there is a high probability that this second child will become the second child in a thousand years.

"Under such circumstances, it makes sense for various departments to support Nanshan Semiconductor."

"Nanshan Semiconductor is doing its best!"

“Such a situation was unthinkable before.”

He Guangming from Modu Microelectronics is sitting next to Pan Jinxing from Nanshan Equipment.

But the situation is different now. Whether it is SMIC, Huahong, or other semiconductor companies, they have begun to use domestic chip equipment.

Thanks + review + outlook, the classic three-axe.

Done in five minutes!
However, Cao Yang officially announced one thing in his speech, that is, Nanshan Semiconductor's current chip production capacity is already the first in China.

SMIC, once the boss, can now only be the second child.

"If you look at domestic chips, 99% of them used to be imported, which consumes a lot of foreign exchange every year."

Moreover, the groundbreaking ceremony is usually a bit bigger, and the commissioning ceremony is often not attended by so many leaders.

The two of them are considered the most influential people in the field of chip equipment.

Pan Jinxing can also be regarded as an old man of Nanshan Group.

"Mr. He, we were able to survive before. We have to find ways to live a more nourishing life in the future."

"Indeed, some customers have contacted us now. It is estimated that our Modu Microelectronics equipment will be exported overseas next year."

This is a very huge improvement.

"The most admirable thing is that Nanshan Semiconductor rarely applies for other subsidies except enjoying some tax benefits."

"The one who has made the greatest contribution here is Nanshan Semiconductor."

Naturally, Xie Min would not argue with Wu Xuebin on this topic.

In the past, when many people saw domestic equipment manufacturers, they felt that the equipment they produced must be unreliable.

Nowadays, Nanshan Semiconductor is the largest semiconductor company in China, and its chip technology has caught up with the international advanced level.

Almost all of these advanced chips are produced with domestic equipment. The advertising effect is many times better than if manufacturers like Modu Microelectronics promote it themselves.

After all, even if you say it a hundred or a thousand times, it won't be convincing if the production line actually produces a batch of chips.

"Those overseas chip giants are not necessarily so united."

"Before, we didn't have many choices, so we had to passively accept various unreasonable demands from equipment manufacturers such as ASML."

"Slowly, after they get used to it, they may not want to replace the equipment."

"But things are different now and they have more options."

“Good performance, good service, and the price is advantageous.”

"Under such circumstances, it would be unreasonable for our Chinese chip production equipment to still be unable to go abroad."

Pan Jinxing said confidently.

As the largest equipment manufacturer in China, photolithography machines are considered the most well-known equipment in Nanshan Semiconductor.

For example, most people don't know what equipment is needed to produce general auto parts.

However, due to various publicity, it has become common knowledge among netizens that photolithography machines are required to produce chips.

The potential advertising effect this common sense brings to everyone is also very good.

Just like when people buy band-aids, they often think of Bondi. In many places, band-aids are even called Bondi directly.

This will cause other band-aid brands to spend ten times more advertising than Bondi, but they will not achieve the same publicity effect.

……

Nanshan Semiconductor has become China’s number one semiconductor company.

After Cao Yang officially announced this news, it was quickly posted on the Internet by various media.

SMIC, which has always been paying attention to Nanshan Semiconductor, naturally noticed the news immediately.

"Lao Yang, do you think we need to be as aggressive as Nanshan Semiconductor in adding new semiconductor factories?"

As the CEO of SMIC, Wang Anguo's mood at this time is very complicated.

SMIC has been ranked number one in China for many years, but now it has been thrown away by itself.

The key is that after losing it, he didn't have much confidence to get it back.

"Mr. Wang, I think everyone's situation is actually different."

As the COO of SMIC, Yang Bingning naturally has to fully consider the overall operating situation.

Every new chip factory is built with money.

As chip technology improves, the construction costs of chip factories are also constantly increasing.

Under such circumstances, if you try to expand production capacity at all costs, you will easily fail.

Yang Bingning saw many similar cases when he was studying for an MBA.

"Nanshan Semiconductor's chip business includes foundry business for Huawei HiSilicon and other companies, as well as its own business of design, production and sales."

"Even for their chips, only a part is sold externally, and most of them are consumed among the various affiliated companies of Nanshan Group."

"Nanshan Automobile Group, Honor Technology Group, these companies have huge demand for chips."

"Their own brother companies alone can give Nanshan Semiconductor a free hand to expand production capacity."

"Coupled with the fact that they are also constantly competing for orders from other chip companies, the demand for production capacity will naturally become stronger."

When Yang Bingning said this, Wang Anguo did not refute.

He even picked up his latest HONOR4, looked at the HONOR WATCH in his hand, and then looked at the HONOR PAD on the desktop, and he could feel how many chips Honor Technology had consumed in the past two years.

Smartphones have become the largest consumer of chips in the world, and are ahead of the computer and automotive industries.

This situation has only appeared in the past two years.

"The companies of Nanshan Group are indeed very powerful. One Honor mobile phone can sell 10 million units every month."

"Coupled with other products such as PAD, it strongly supports Nanshan Semiconductor's expansion."

Wang Anguo sighed and had to admit that everyone's situation was indeed different.

Whether SMIC should expand production mainly depends on the OEM business needs of customers.

In fact, my own initiative is not particularly great.

But things are different at Nanshan Semiconductor, where they have many more choices.

"I heard that their people are already in contact with relevant people in the Imperial Capital and are preparing to build a large semiconductor factory in the Imperial Capital."

"By then they will have bases in the Imperial Capital, Magic Capital and Yangcheng, and their influence will be even greater."

When Yang Bingning said this, Wang Anguo's mood became even worse.

SMIC also has production plants in several places in China, but its local influence is not very great.

Many locals don't know that SMIC actually has a factory there.

But Nanshan Semiconductor is different.

Thanks to the increased influence of the entire Nanshan Group, Nanshan Semiconductor's reputation is already higher than that of SMIC.

..."Mr. Cao, BYD is also planning to invest in a semiconductor factory specializing in the production of IGBTs. In the future, it will complement Nanshan Semiconductor's products and enable the localization of semiconductor components in automobiles."

Wang Fu was also invited to participate in the event today.

After all, Nanshan Semiconductor and BYD Semiconductor have always cooperated.

Now the two parties even have a joint venture wafer factory.

His position today is directly behind Cao Yang.

So when Cao Yang finished speaking and other leaders spoke, Wang Fu quietly communicated with Cao Yang.

There are so many semiconductor components in cars that no one company can produce them all.

There is no need to produce like this.

There are specializations in the technical industry, and each company specializes in several directions, which is obviously a more suitable solution.

Cao Yang naturally agreed with this.

"What a great idea. IGBT will be used more and more in electric and hybrid vehicles in the future."

"With the rapid development of domestic new energy vehicles, the demand for IGBT and other components is definitely rising rapidly."

Cao Yang knew that BYD had never given up on its semiconductor business.

However, BYD Semiconductor's positioning is different from Nanshan Semiconductor.

They mainly produce related semiconductor components based on the needs of BYD Group.

The same is naturally true for IGBT.

After all, Wang Fu has always hoped to make BYD a car company specializing in the production of new energy vehicles.

As long as it is a new energy vehicle, it is impossible to do without the IGBT component.

Therefore, investing in a factory dedicated to producing this type of parts is something worth looking forward to.

"Yes, IGBTs are used in many fields such as automobiles and high-speed rail. Currently, most domestic IGBTs need to be imported from manufacturers such as Infineon. Not only are they expensive, but the supply is not very stable."

Wang Fu has obviously suffered some losses in the years he has been engaged in batteries and automobiles.

When some things require the cooperation of foreign manufacturers, the efficiency is really hard to describe.

Even every time I send a group email to foreign customers, I can receive one or two automatic replies with the subject "I am on vacation."

This kind of automatic reply email in China often says that if there is an emergency, please call directly.

But many foreigners do not have this habit.

I'm just telling you that I'm on vacation and it's not convenient to reply to emails during my vacation.

As for making phone calls?
Although people won't directly tell me not to call me when I'm on vacation, they think this is a basic workplace practice.

At least that's how it is in many countries.

Unlike here in China, many companies' vacations are almost the same as working from home.

I'll send you a few emails or phone calls every now and then, making you tire of it.

I have to say that for this kind of thing, you really should consider learning from other people’s practices.

"If there is no problem with the performance of the IGBTs produced by BYD Semiconductor, Nanshan Automobile Group will all use BYD Semiconductor products in the future."

Cao Yang was naturally able to roughly guess the purpose of Wang Fu's conversation with him.

In my impression, BYD's later generations of IGBTs are doing pretty well.

Cao Yang doesn't mind cooperating in this field for a while.

After all, it is indeed impossible for Nanshan Semiconductor to produce every type of semiconductor components by itself.

That's not the most economical approach.

Unless there is no domestic manufacturer that can produce this component, at that time, in order to solve the problem of stuck neck, Nanshan Semiconductor will start to consider its own production.

Otherwise, there are obviously some good manufacturers in China, so why bother to just roll over and kill people.

"Thank you, Mr. Cao, for your support. Most of the equipment in our IGBT factory is produced by Nanshan Equipment, and the other half is developed by ourselves."

"It can be said that although the equipment is all domestically produced, the performance is no worse than that of companies such as Infineon."

"The most important thing is the automotive-grade IGBT, and we in China have the richest application experience."

"So even Infineon's technology is about to be surpassed by us in IGBT."

"It's just that many companies are accustomed to continuing to use Infineon's IGBTs."

Wang Fu is obviously very confident in the IGBT developed by his own technical staff.

This semiconductor component is not simple at all.

Power semiconductor is a subdivision of the semiconductor industry. Although it is not as well-known as integrated circuits, its importance cannot be ignored. IGBT is a type of power semiconductor. As the "CPU" in electronic power devices and systems, it is the main force for high efficiency, energy saving and emission reduction.

IGBT is very suitable for use in converter systems with DC voltages of 600V and above, such as AC motors, frequency converters, switching power supplies, lighting circuits, traction drives and other fields.

In the cost structure of new energy vehicles, the largest cost component is of course the power battery, and the second highest cost component is the IGBT.

IGBT has a high threshold and has long been monopolized by Infineon and Fuji Electric. In terms of market competition, Infineon occupies an absolute leading position, with a market share of 35.6% for its module products and 32.5% for its discrete device products. .

Domestic IGBT companies are currently mainly BYD Semiconductor and CRRC, which are doing relatively well.

Wang Fu now obviously wants to further develop and expand the IGBT industry.

"It's true. To have a good product, customers need to be willing to use it."

"Nanshan Automobile Group and BYD can cooperate well in this area."

Cao Yang followed Wang Fu's tone and also brought some business to his group.

In the future, BYD Semiconductor will give priority to purchasing chips and other parts that cannot be made by itself from Nanshan Semiconductor.

"No problem, we can even sign a strategic cooperation agreement by then to jointly promote the business development of semiconductor components."

……

While Cao Yang and Wang Fu were chatting about IGBTs, Xu Jun, who was sitting in Warwick not far away, was also communicating with Zhang Jing about the semiconductor business.

"Academician Zhang, I think 28-nanometer chip technology can already meet the needs of more than 80% of products."

"At present, it is completely possible to build several more factories of this level on a large scale."

"In this way, all mobile phone chips, computer chips and other chips used in consumer electronics and automobiles can be localized."

"Nanshan Semiconductor can also become a presence comparable to chip giants such as Intel and Infineon."

Although Nanshan Semiconductor is now China's largest semiconductor company, due to the rapid development of Honor Technology Group and Nanshan Automobile Group, most of Nanshan Semiconductor's production capacity is actually absorbed within the group.

As the sales of Honor Technology's various products continue to increase, Xu Jun is a little worried that the production capacity provided to Huawei will not be enough by then.

After all, Warwick has been developing very fast in recent years.

The demand for chips is naturally growing explosively.

It would be embarrassing if chips could not be supplied in time due to insufficient production capacity.

"We are already taking action, and the new factory in Tiandu will be officially finalized."

"The Imperial Factory will be the largest among our factories by then."

"At the same time, the Magic City is also taking the initiative to acquire land to prepare for our new generation of semiconductor factories in the future."

"They are even ready to do the work of three connections and one leveling directly."

There is nothing special about this information that needs to be kept secret, at least there is no need to keep it secret from Xu Jun.

So Zhang Jing told him some arrangements of Nanshan Semiconductor without much hesitation.

China's demand for chips is very large, and Nanshan Semiconductor is only meeting part of the market demand.

Of course, some manufacturers are not that enthusiastic about purchasing chips from Nanshan Semiconductor.

This requires a process to let everyone know how good Nanshan Semiconductor is.

"The semiconductor industry is a high-tech industry that greatly promotes the development of local economy and attracts a large number of high-end talents."

"Whether it is the Imperial Capital, the Magic Capital, or the Yangcheng side, they definitely want to introduce more semiconductor factories."

"But even if Nanshan Semiconductor builds a new factory in the Imperial Capital and Magic City, it may not be able to fully meet the market demand, right?"

Xu Jun felt that Zhang Jing's plan was still too conservative.

Take a look at the world's leading chip giants. Which one doesn't have more than a dozen factories?
Some even have dozens of factories.

With the current size of Nanshan Semiconductor, there is no need to worry about overcapacity.

"This is indeed a possibility, and we are also making some mid- and long-term plans internally based on market demand."

"However, all our equipment is purchased domestically, and the construction period of the new factory can be compressed to one year."

"This is something other chip giants cannot do."

"So we can build new factories according to changes in market demand, so as not to have production capacity idle there after planning in advance."

Zhang Jing is not such a radical person.

In his opinion, the development speed of Nanshan Semiconductor is already very fast.

There is actually no harm in being properly steady.

Otherwise, if the foundation is unstable, there may be some trouble.

"That's true. Factories with brand-new technology may still have a relatively long ramp-up stage in terms of production capacity."

“But for factories with mature processes, this process can be greatly reduced.”

"In the future, after the chips designed by Huawei HiSilicon meet the needs of the joint venture factory, all of them will be handed over to Nanshan Semiconductor for production."

"At that time, please give priority to Academician Zhang to ensure our supply."

What Zhang Jing said was not unreasonable, so Xu Jun didn't insist on anything.

Of course, it is naturally necessary to take this opportunity to ask Zhang Jing for priority in guaranteeing supply.

Otherwise, as more and more customers turn to Nanshan Semiconductor for OEM services, and their own needs are getting bigger and bigger, and their production capacity cannot keep up, it will be embarrassing.

Amid the discussion between the two of them, the commissioning ceremony of Nanshan Semiconductor's new Yangcheng factory ended successfully.

However, the impact of this incident has only just begun.

(End of this chapter)