Galactic Tech Empire

Chapter 108 Choice
Boss Ren made eye contact with Yang Zibi and He Lifei.

"By the way, the foundry fee I mentioned includes packaging and testing." Huang Haojie added again.

After thinking for a long time, Boss Ren spoke first:

"Huawei needs a lot of chips every year. It needs at least 30 billion pieces to start. I'm afraid your production line can't meet it. Of course, it's okay to give you a part of the chip order first."

"Don't worry, Mr. Ren, as long as you are willing to place an order, we can expand the production line at any time." Zhang Rujing's eyes lit up when he heard the order.

Only when there are orders, chip foundry companies have the motivation to expand. Otherwise, if there is no order, build a woolen production line, and build a production line to collect dust.

"How much production can you provide next year?" Boss Ren is very concerned about this issue.

After all, Taijidian's OEMs arrange the production order according to the size of the order. Under normal circumstances, the orders for Qualcomm and Sydney are given priority, and the orders for Huawei are ranked behind.

In the past, it was a last resort, but now there are better options, so of course Boss Ren must think carefully.

"According to the limit expansion speed, we can build five production lines every month, and by the end of 2018, we can expand the annual output to 12 billion chips." Zhang Rujing thought for a while and replied.

In fact, if [-] production lines are really built, the production volume will definitely exceed this figure, because the Semiconductor Research Institute is constantly improving the production line.

For example, the first production line now has an annual output of about 2300 million yuan at the beginning, and now it has increased to about 2600 million yuan.

As the technology becomes more and more mature, the productivity of Xinghe Semiconductor is soaring rapidly, it can be said that it is increasing day by day.

"If Huawei is willing to pay for patents, how much can Galaxy Semiconductor's foundry costs be reduced?" Boss Ren asked after thinking for a while.

"One hundred and eighty Chinese yuan, no less." Huang Haojie said with some heartache.

"180?" is acceptable for this price, but Mr. Ren is more inclined to buy the production line directly:

"Brother Huang, to be honest, can this production line be sold to Huawei?"

Yang Zibi and He Lifei also immediately pricked up their ears.

After pondering for a while, Huang Haojie gave the answer:
"In order to avoid technology leakage, I did not allow the production line to be sold in principle."

Hearing this, the three of them immediately knew there was something going on.

"Brother Huang, if you have any conditions, just say so."

"Yes!"

"Let's hear it, let's think about it."

"Then I'll just say it directly. First, you must form a joint venture with Galaxy Group. You pay the money, but Galaxy Group must hold 30% of the shares." Huang Haojie finished the first condition.

The three of them didn't have any opinions. Even if they gave away shares to Galaxy Technology for free, they still wanted to get a chip production line.

"Second, the production line cannot be purchased directly. We lease it. The rent is [-] million Chinese yuan a year. After eight years, the production line will belong to you. During the lease period, the production line will be supervised by Galaxy Group. If you use it in violation of regulations, we have the right to directly Take it back."

"Third, the production line does not include atomic imprinting machines, and the factory must be built in Shanmei."

After hearing Huang Junjie's conditions, the three of them immediately thought about the pros and cons of this matter.

An eight-year lease is equivalent to 8 million Chinese yuan for a production line, and there is no atomic imprinter, which means that Galaxy Group controls the core of chip production.

But this is a production line that can produce 5nm chips, something that money can't buy.

Take a look at ASML's top-level lithography machine for US$1.5 million, which Dongtang domestic companies can't buy even if they have money.

Boss Ren gritted his teeth after thinking for a while and said, "I agree, Huawei is a joint venture with Xinghe Group, and other conditions are fine."

He Lifei and Yang Zibi also knew that the opportunity must not be missed, and agreed to Huang Junjie's conditions.

After the visit.

Huang Haojie and Wang Bosi had dinner with Boss Ren at the Miramar Hotel.

Afterwards, the five people had a closed-door meeting to discuss the details of the joint venture.

Huawei invested 300 billion Chinese yuan to establish HiSilicon chip company, set up a chip manufacturing plant in Haicheng County, Shanmei, and leased 50 production lines from Xinghe Group.

Ziguang invested 300 billion Chinese yuan to establish Ziguang Chip Company, set up a chip manufacturing plant in Shanmei Lucheng, and leased 50 production lines from Xinghe Group.

Huada Semiconductor invested 400 billion Chinese yuan to establish Huada Chip Company, and established a chip manufacturing plant in Shanmei Lucheng, which leased 70 production lines like Galaxy Group.

Obviously, they can't wait to get up. Once the establishment of these factories is completed, it means that Dongtang will have four of the world's top chip manufacturers in one fell swoop.

These are just their first plans, especially Huada Semiconductor, which is a state-owned enterprise, is really rich and powerful.

If it weren't for the slow supply of Galaxy Group's production lines, they would all want to lease 200 production lines directly.

The reason why Huang Haojie introduced them was mainly to distract attention.

As for the consequences of their acquisition of these production lines eight years later, Huang Haojie is not worried, because the core technology is still in the hands of Yinhe Technology.

Even if they crack the secret of C31, Huang Haojie is sure to complete the innovation, and the secret of C31 cannot be kept secret forever.

However, the cooperation between Huang Haojie and them is kept secret. At least until their factory is completed, the production line is arranged, and the production capacity begins to explode, before they publicly announce these cooperations.

Of course, Huawei, Tsinghua Unigroup, and Huada Semiconductor still placed part of their chip orders to Xinghe Semiconductor.

In exchange for low-cost foundry, Hua paid part of the chip patents for the three companies to use by Xinghe Semiconductor.

After receiving Sanxin, Huawei, Ziguang, and Huada Semiconductor, plus the patents purchased and developed by Xingtu, Xingtu's chip design speed is getting faster and faster.

Du Wei and the others can be said to be in pain and happiness, and they are constantly bursting with anger. Their first goal is the battery electronic control chip.

This electronic control chip is currently the most used chip of Galaxy Technology, whether it is a mobile phone battery, a power battery, or a storage battery, all of which need to be used.

Mobile phone batteries alone need to consume hundreds of millions of electronic control chips for mobile phone batteries a year. This shows that even if Galaxy Technology does not produce mobile phones and computers, the number of chips consumed is not a small number.

In the previous design, it was necessary to avoid infringing other people's patents as much as possible, which seemed a bit restrained.

Now that it has acquired part of the patent rights of Sanxin, Huawei, Ziguang, and Huada Semiconductor, Xingtu can finally let go of its hands and feet to do a big job.

In addition, Huang Haojie let Xingtu Company to continuously stream the films directly at Xinghe Semiconductor, Xingtu Company's design capabilities can be said to be increasing day by day, and it is constantly growing every day.

In fact, the quality of the electronic control chips designed by Xingtu is already extraordinary. After all, the chips they designed are at the 5nm level.

If others know that they are designing electronic control chips at the 5nm level, they will definitely think Yinhe Technology is crazy.

Because under normal circumstances, electronic control chips are all 22 nanometers, and even 32 nanometers. Who would be so pained to use 5 nanometers to produce electronic control chips? This is really too much money to burn.

But Galaxy Technology has really done this, because for Galaxy Technology, the production of 5nm chips is the most cost-effective.

Compared with the complexity of the circuit transistors required by the electronic control chip, it is simply too simple.

This has led to the production line of Xinghe Semiconductor, which can produce very small electronic control chips. These electronic control chips are divided into three levels, corresponding to mobile phone batteries, power batteries, and storage batteries.

To put it simply, when chips become smaller, a 5nm chip production line can produce electronically controlled chips that are ten or twenty times the size without changing the overall cost.

This is why Huang Haojie feels it is very cost-effective.

(End of this chapter)