Huawei began to break the convention of not investing in suppliers
In order to accelerate the realization of domestic substitution of semiconductors, Huawei officially entered the EDA field.
Recently, Tianyan Check showed that Hubei Jiutongfang Microelectronics Co., Ltd. has undergone industrial and commercial changes, and shareholders have added Huawei’s Hubble Technology Investment. The company’s registered capital has increased from about 6.93 million yuan to about 8.67 million yuan.
Jiutongfang Microelectronics was established in 2011 and is a provider of integrated circuit design tools. The company has EDA (Electronics Design Automation) core technology with independent intellectual property rights, and its products include eWave, ePCD, eSpice, eSim, etc.
EDA tool is an important auxiliary software for chip design, which can realize functions of circuit design, wiring, layout verification, parameter extraction, etc. It is the prerequisite for VLSI design.
Huawei’s HiSilicon Kirin chip wants to achieve “spare tire conversion”, EDA tools are indispensable.
However, the global EDA market is basically monopolized by Cadence, Mentor, and Synopsys, and the three companies together account for more than 95% of the global market. After the ban, the three EDA companies have cut off the supply of Huawei.
At present, the development of my country’s EDA market is still relatively weak. According to the data in 2019, the global EDA market is about 10.25 billion U.S. dollars, and the Chinese market is about 580 million U.S. dollars.
But domestic EDA revenue is less than 420 million yuan, accounting for only 0.6% of the global scale. In the domestic market, domestic EDA only accounts for less than 10%.
Affected by the global trade environment, Huawei began to break the practice of not investing in suppliers and opened the way to support the domestic chip industry chain.
In April 2019, Huawei registered and established Hubble Investment and began to make large-scale investments in the semiconductor field. Hubble Investment has begun to deploy in all links of the industrial chain such as wafers, chip design, and semiconductor equipment. Jiutongfang Microelectronics is the 23rd company invested by Hubble.