Global semiconductor foundry industry tends to dual development
The global semiconductor industry to pick up, on behalf of the industry also ushered in a new round of development. It is noteworthy that the industry in the process of recovery throughout the industry pattern may be some changes. We see in the advanced process of competition will become increasingly fierce, although TSMC is still in the market share is still a huge advantage, but in the future he will face GlobalFoundries and Samsung's strong challenge. On the other hand, in the sub-advanced process, some manufacturers need to rethink their own market positioning.
GlobalFoundries struck
In the past year or so, from Abu Dhabi's "oil dollars" into the semiconductor industry. One of Abu Dhabi's sovereign investment funds, ATIC, acquired AMD's manufacturing business and set up GlobalFoundries with a strong oil flavor. Even more surprising is that ATIC and lightning speed will be the third largest manufacturer of licensed semiconductor into the arm, with the GlobalFoundries merger. After the reorganization of the new company, the annual sales volume reached 2.5 billion US dollars, with two 300mm advanced factories and five 200mm factory, the other in New York, the United States is still building a new 300mm factory. ATIC CEO threatened that within three years GlobalFoundries will win 30% of the foundry market share.
The acquisition of the concession for the benefits of GlobalFoundries is very obvious, the foundry upstart has money from the Middle East and from AMD's technology, the only lack of customer resources. The acquisition of more than 100 customers, located in Singapore, mainland China, China Taiwan, Japan, the United States, Germany and the United Kingdom, so that GlobalFoundries transformed into his name as a global foundry.
Another advantage of GlobalFoundries is related to his origin. Advanced process OEMs require closer collaboration between foundries and design firms, and GlobalFoundries from AMD may know how to communicate effectively with design firms. As Dan Huutcheson, chief executive of VLSI Research, points out, the overall model of the foundry business is changing. Foundry customers recognize the need for deep collaboration with foundries, rather than contract manufacturing services, GlobalFoundries was a part of the top IDM, so there is a strong effort to promote the fundamental change in the foundry business model.
The prospect of GlobalFoundries seems to be bright, but the company's equity background can not help adding some uncertainty to the company's future. The Middle East consortium's investment in many industries around the world, which is the Middle East countries to manage oil dollars strategy. The reason why the Middle East consortium chose to invest in the semiconductor industry at this time was not yet known, but it was certain that the semiconductor industry was only part of its portfolio and that its underlying purpose was not to make a contribution in an industry, The combined benefits are maximized. Such investors are relatively weak for the industry, if the future investment environment and the market situation has changed, they are likely to choose to fade out, the company's equity will be a big change for the company's development variables.
Samsung sudden emergence
In the semiconductor industry, the three most influential manufacturers undoubtedly Intel, Samsung, TSMC, they were in the processor, memory and foundry market sit tight in the leading position. However, Samsung does not seem satisfied with the status quo, the recent high-profile announcement will increase the investment in advanced process foundry business. Samsung's long-term goal is the size of OEM business and TSMC as large, the specific measures are doubling the annual production capacity until the TSMC to compete with.
Continued miniaturization of the size of the chip features a great challenge for research and development, in the advanced process can continue to be active manufacturers will be less and less. OEM industry is also the case, high-end process suppliers more and more concentrated, TSMC in the high-end market share is also growing, Samsung Plus code is undoubtedly and TSMC to share the future of the market. Samsung OEM is the biggest advantage of technology. The size of the memory node in the chip miniature race has been in a leading position, Samsung can be advanced process to the foundry business process. Technology transfer is smooth, TSMC may also catch up, as Samsung foundry business executives said: "We put into production 45nm process, TSMC is still a headache for it."
TSMC alert UMC awkward
It is clear TSMC has been aware of the threat from GlobalFoundries and Samsung, there are two big moves can be seen TSMC is actively responding. First of all, last year's case with SMIC, TSMC and SMIC's lawsuit can be traced back many years ago, last year, TSMC suddenly put suit on the table, after fierce legal war, TSMC win, get compensation, More important is to obtain a 10% stake in SMIC. At this point, TSMC's intention began to surfaced. Combined with the current situation and the current situation, it is likely that TSMC is the share of the share. TSMC value is SMIC backed by a huge mainland market, but also by the government support, and SMIC's international strategy, for the future Taiwan authorities to liberalize the mainland market after the release of the foundation. In short, with the SMIC alliance outweigh the disadvantages, GlobalFoundries prompted TSMC to plan all this. Followed by the end of January this year, TSMC announced the 2010 capital expenditure plan, up to 4.8 billion US dollars, a record high. 2010 market recovery has become the industry consensus, manufacturers to increase investment is normal, but this size is much higher than expected, the market shocked. About 94% of the expenditure will be put into advanced process, is clearly in response to strong enemies and gearing up. At a recent technical seminar, TSMC announced that it would skip the 22nm process directly into the 20nm process and advance to the 14nm process, also expressed the determination in the advanced process market.
Look at UMC, the foundry second seems to be in this new process war was marginalized. Xilinx has announced in the 28nm process will choose TSMC and Samsung as a foundry partner, and UMC is sadly out. UMC's current situation is indeed some embarrassment, the market share of the second, the technology is also good, but more and more difficult to participate in the high-end market competition, but unfortunately only lament new people too fierce. How to take the future, UMC need to consider. If we play to imagine, UMC will not be won by GlobalFoundries, or together with TSMC to defend Taiwan's foundry leadership?
SMIC "Hundred Days" brewing "reform" Grace deep plowing market
Wang Ningguo took over after SMIC has said that will use a hundred days to sort out the company's profile. After the thought period, Wang Ningguo's thinking is gradually improved. First of all, the management has been adjusted, the former vice president of senior management of the Central quarter of non-reunification, the original licensed semiconductor Yang Shining also joined the management as COO. And then start the "institutional streamlined movement", Yang Shining said in an e-mail, the company needs "elite", grassroots personnel to "fine", the management to "Jane", and stressed that personnel adjustment process will not consider the geographical differences and skin color Differences, and "the maximum extent to exclude nepotism and human influence". These statements seem to imply the current SMIC internal management of the biggest problems, which will inevitably become the first management of the new management of the object. Recently, SMIC may give up the Chengdu 8-inch factory, SMIC and Chengdu are on the matter to negotiate. Which side of the plan is still not known, if SMIC initiative to give up, it shows that management has considered the contraction of the front, change the existing "diamond-shaped layout", this contraction can be interpreted as the extreme desire for profit.
Continental China's other foundry Grace Semiconductor announced in March, the company since September last year has been profitable. This should be said that the whole of China's semiconductor industry, the good news, joy we can see what strategy to make Grace turnaround. From the grand force CEOUlrichSchumacher an interview can be seen, Grace's current strategic elements are mainly two points, pay attention to profit, pay attention to deep plowing market. He believes that the degree of differentiation of the foundry market than the processor market even more serious, many small foundry manufacturers will not survive, the company must do anything to be profitable, otherwise it is difficult to sustainable development. In addition, he also introduced Grace in the embedded flash memory, silicon germanium technology, power devices, SOI and RFCMOS process on the efforts made. He believes that these market segments are too small for leading foundries, and they will not pay special attention, and for Grace these areas are market opportunities.
Dual development
In the process of semiconductor manufacturing technology and Moore's Law, the industry suddenly found that the way to improve production efficiency is not only "MoreMoore" one, through horizontal integration and improvement, can also produce some benefits, the so-called "MorethanMoore". This was originally unable to bear the huge R & D costs of the company's thinking, but the achievements of a new development model.
Now the industry has also shown a similar dual development trend, part of the manufacturers in the advanced process of fierce competition, the other part of the area in the power to find opportunities. As the size of the process continues to shrink, this trend will become increasingly apparent, with only one or two of the first group to occupy the advanced technology market, and the remaining competitors either merged or retreated to the second group. The second group of players according to their own advantages after the market will also face the group within the competition and integration. Interestingly, the two groups do not interfere with each other at the same time the development of the first group no time to take into account the market segment, the second group is unable to participate in cutting-edge market. The significance of this dual development is that for the advanced technology manufacturers to provide a market space, technically advanced is no longer a helpless, but actively adjust the strategic opportunities. In addition to ensuring the diversification of the market development, so that OEM customers can get their own products for the most cost-effective technology, the formation of a healthy industrial ecology. In this dual form of development, OEM manufacturers must always clear their own position, there are two questions to ask ourselves: Which group do I belong to? What should I do?
