Hopefully, Huawei will eventually produce its own chips starting in 2022

After being hit by US sanctions, Huawei is no longer able to cooperate with US technology companies, as well as semiconductor manufacturers using US technology. As a result, Huawei is not allowed to use Google’s software and services, more seriously, cannot hire TSMC to produce Kirin chips for its smartphones.

Like Apple, Huawei designs its own smartphone processors, but cannot manufacture it itself. Huawei has to hire other semiconductor manufacturers, like TSMC, with the 5nm process to produce the latest high-end chips. However, the ban from the US blocked this agreement, causing the chip supply to Huawei to be cut off.

The serious consequences made Huawei unable to produce new smartphones, severely reduced market share and kicked out of the top 5 smartphone manufacturers in the world. One of the measures that Huawei offers, is to start from zero and will manufacture its own chips instead of hiring other semiconductor manufacturers.

As reported by Digitimes, Huawei is preparing to put its own wafer factory in Wuhan city into operation. Production will create wafers for the 5nm Kirin 9000 chip, which will be phased and will begin in 2022.

If successful, Huawei will be able to both design its own chips and manufacture its own chips, just like Samsung is doing. Along with the self-developed software of the HarmonyOS platform, this may be Huawei’s last hope to be able to continue to exist in the smartphone market, despite sanctions from the US side.

Reference: phonearena