China's top chipmaker will 'struggle' to make cutting-edge chips competitively
Publishing timestamp: 2023-04-27 21:32:24
Summary
China's largest chipmaker, SMIC, is struggling to produce cutting-edge chips competitively due to US sanctions and restrictions on accessing advanced equipment, particularly extreme ultraviolet lithography machines made only by Dutch firm ASML. Without these machines, SMIC cannot produce high-tech semiconductors on a large scale at lower costs. Analysts expect the Chinese government to step up support for SMIC, which is key to China's chip ambitions, but it may take years for SMIC to close the gap with competitors like TSMC and Samsung. Domestic tech giants like Alibaba and Baidu are designing their own chips to boost China's domestic capabilities in chip tech.
Sentiment: NEGATIVE
Tickers: TSM, ASML, SSNLF, 981-HK, ASML-NL, 2330-TW, SSU-FF, SSNHZ,
Keywords: japan, samsung electronics co ltd, china, united states, taiwan semiconductor manufacturing co ltd, semiconductor manufacturing international corp, asml holding nv, technology, asia economy, business news,