This batch of orders with ASML can also help SMIC expand its production capacity and harvest more orders in the case of a global shortage of cores.
It was learned that on March 3, SMIC announced on the Hong Kong Stock Exchange that the company signed a purchase order with the Asim Group for the purchase of Asim products used in the production of wafers, with a total purchase price of US$1.2 billion.
Some sources have told that these orders are not for EUV lithography machines that can be used to produce advanced processes, but the purchased equipment “can be used to produce 14nm process chips.” Since the products and machine models included in this batch of orders have not yet been announced by the company, the person said that it is temporarily unable to determine whether there is a premium for this batch of orders.
This purchase also confirms the previous news-some media reports said that the US equipment supplier has recently been approved to restore the supply permit for SMIC to supply 14nm and above equipment. SMIC’s previous application but The failed key equipment for 14nm wafer epitaxial growth has also been approved, but the related products of the 10nm and below process have not yet been licensed.
For SMIC, this news, although not satisfactory, can be considered positive. Today, SMIC opened against the market and rose by 4.67%, and then its stock price fell back. As of press time, SMIC’s A-share price was 59.76 yuan, an increase of 1.86%.
Since the second half of last year, the new crown epidemic has affected the semiconductor global supply chain cooperation, and superimposed the dual factors of the intelligent transformation of automobile and mobile phone manufacturers. The global chip supply and demand are imbalanced, and automobiles and consumer electronics have been rushing to stock up. Affected by this, there have been many news of chip foundry price increases in the supply chain.
The mature technology that SMIC has mass-produced is not yet suitable for mobile phones and other devices, but it happens to meet the needs of some automotive chips.
This batch of orders with ASML can also help SMIC expand its production capacity and harvest more orders when there is a global shortage of cores.
Currently, SMIC is building the SMIC Capital Project invested by Beijing Yizhuang. In terms of data, Zhao Haijun said earlier that SMIC plans to expand the mature 12-inch production line by 10,000 pieces in 2021, and the mature 8-inch production line will expand by no less than 45,000 pieces.
Previously, in order to adapt to the changes, SMIC has also taken many self-help measures and adjusted the company’s development focus.
SMIC CEO Zhao Haijun made clear the company’s goals not long ago, saying that in 2021, he will cautiously expand the production of advanced process technologies and will consider strengthening the components developed on the first and second generation FinFET multi-platforms to expand the platform’s capabilities. Reliability and competitiveness.
This decision also refers to the current business status of SMIC. According to its financial report for the four seasons of 2020, the 40/45nm and 55/65nm processes account for close to 50%, and the 14/28nm process accounts for only 5%.