Chapter 1053: It's so cold in comparison

On August 26, Liu Zhicheng signed a wafer process technology transfer agreement on behalf of Zhongjing Microchip and Deyi. Although the entire transaction only took the first step, the industry was in an uproar.

Since European and American manufacturers mainly focus on high-end chip production at the technical level, their reactions are relatively calm, and the reactions in the Asian wafer manufacturing industry are much stronger.

The mainstream process technology of Asian wafer foundry companies is 0.18 microns, and the entire wafer foundry industry has not yet fully emerged from the shadow of the financial crisis. Most Asian wafer manufacturers suffered losses to varying degrees in the whole year of 1998 and 1999. A strong competitor has risen in mainland China where production costs are lower, which is definitely not what they are happy to see.

In mid-July, TSMC announced the postponement of the construction period of the 12-inch new factory due to the recovery of the Asian economic situation worse than expected, and the wafer foundry business suffered a slight loss in the first half of the year. The new factory is completed and the latest 0.13 micron process technology is used. That is to say, once the technology transfer transaction between Zhongjing Microchip and Deyi is finally completed and one or two large wafer factories are jointly built in the mainland, even if the current economic situation is still very unfavorable, TSMC will quickly promote the construction of the new factory in order to maintain its dominant position in Asia.

Taiwan UMC is also negotiating the introduction of a 0.13 micron wafer process with Deyi. Seeing Zhongjing Microchip chasing from behind, it is inevitable that it will feel a sense of crisis for the dog to chase and bite the butt.

Several HG's fabs have a more serious sense of crisis. Only three of these fabs use 0.18 micron technology, not to mention the plans to introduce or develop more advanced 0.13 micron technology.

Asia even exclaimed that China's electronics industry was about to catch up with HG overnight.

In a villa area called Xicuiyuan in the northwest suburb of Beijing, there is a luxury villa near the artificial lake in the villa area. Although the owner has the names of others written by Lin Xue, whenever she returns to Beijing, Ge Jiande keeps her here.

"Kumho is really glorious. He has been in the United States for half a year in the lawsuit with the American Recording Industry Association. The American Recording Industry Association, which is forced to have a round waist and wide waist, bowed his head. A few days later, he negotiated with Deyi to cause a wafer process technology of 0.25 and 0.18 microns," Lin Xue sat on Ge Jiande's thigh in his nightgown. His snow-white thighs were raised from his nightgown. While talking to Ge Jiande, he applied nail polish. "Even an outsider, I know that Jinhu is going to help the domestic electronics basic industry upgrade two levels this time. Aren't you claiming to be the head of China's electronics industry? What do you think?"

"How can there be such a simple thing?" Ge Jiande said gloomyly, but his fingers were stroking Lin Xue's legs. He liked to make the tender meat here, saying, "Will it work? It's not the final decision for both Jinhu and Deyi companies?"

"I've asked someone about it. The 0.18 micron wafer process technology is still rubbing against the edge of the US technology export control of China. Deyi can do it. What should you do?" Lin Xue pushed the dead wood-like hand on her thigh away, scratching the itchy and uncomfortable in her heart, and said with a smile, "When the time comes, China NEC may become a laughing stock..."

A trace of gloom flashed across Ge Jiande's face. Huaxia NEC, a wafer factory jointly established with RBNEC Electronics, started construction in Jianye in mid-last year, and it has been a year since then. Thanks to the active cooperation of Japan, the construction of Huaxia NEC factory has been introduced very quickly, and trial production will be planned after the autumn. Although the construction speed cannot be compared with Zhongjing Microchip, the construction level is also in the middle and upper reaches of the industry - this alone is enough to make Ge Jiande's face shine.

Then behind the applause, there was a huge worry.

The domestic fable semiconductor industry, that is, the semiconductor chip design industry, is extremely underdeveloped. Huaxia Electronics has many electronic companies, but none of them have the ability to design chips. After Huaxia NEC is built, it can only strive for chip production orders from overseas chip design companies to do foundry business.

According to the original joint venture agreement, the Japanese side was responsible for the business of Huaxia NEC, but the chip foundry market is now bleak, and even the operating rate of NEC Electronics in RB wafer factories is insufficient. How could Japan have redundant business to Huaxia NEC?

Even though the Asian chip foundry market is in bleak, Zhongjing Microchip, which has been completed and put into production, can receive large orders for chip foundry business from Kumho and successfully achieve profitability.

Kumho's growth in chip design capabilities is like a dazzling rainbow after the rain. Its chip design capabilities in the fields of power control, microcontroller system control, audio and video decoding, memory components, microprocessors, microcontrollers and other fields are no less than mainstream overseas electronic companies.

Ge Jiande remembered what Yi Yunfei said to Jinhu at an internal meeting of the Ministry of Information Industry: "If the domestic semiconductor chip design industry wants to develop, it still has to wait for the Oak Park to transport talents..."

Such words sounded like itchy, but it made people unable to refute it.

"What are you stunned?" Lin Xue plucked Ge Jiande's chin and asked him to look at his eyes. Even though he was a little disgusted with him, he was distracted in front of his beauty and temptation, which made her feel unhappy. "I often hear others say in Jianye that Zhongjing Microchip and Huaxia NEC are only one year away from the construction period. The process technology used is similar, the investment scale and the construction scale are similar, and they are all built in Jianye High-tech Zone. The gates of the two factories are only two kilometers apart. In the future, Zhongjing Microchip and Huaxia NEC will not be compared with each other. However, I think that Huaxia NEC may not be as good as others when it is hard. What do you think about the people in the Ministry of Industry and Industry thinking, and what will Geng Chongyang think?" She really minded at all about poking Ge Jiande's sore spot, and her fingers were pressing against his cheeks and twisting.

"What will Minister Geng think? How do I know?" Ge Jiande was a little annoyed and grabbed Lin Xue's buttocks and pinched them fiercely.

"Before I came to Beijing, I had a conversation with Yan Wenjie. We couldn't figure out how much money Jinhu could have in China - from a professional perspective, how much does it cost to invest from the entire Oak Garden plan from the start of the early 1997 to this year?"

"Have you ever had sex with Yan Wenjie?" Ge Jiande asked.

"Tell you serious things," Lin Xue pushed Ge Jiande away with his hand holding his butt, "Besides, I will follow whoever I like, do you care? Unless you divorce your yellow-faced woman and marry me, I will let you care about me."

"I don't believe you won't steal fish." Ge Jiande said with a wicked smile.

"..." Lin Xue didn't bother him about this topic, saying, "Some media estimated that Kumho has invested more than 2 billion in the Oak Garden program in the past two years."

"Two billion is not enough!" Ge Jiande said, and he still has general judgment ability for professional affairs. Since Kumho launched the Oak Park 100 People Plan, he has introduced more than 400 middle and senior researchers and engineers from overseas in microelectronics and related fields, and has directly recruited more than 3,000 researchers from China to supplement the Oak Park with engineers. "The Oak Park Venture Capital Fund, Kumho has successively taken out 500 million real money. Do you think 1.5 billion can build a research center with a scale of nearly 4,000 researchers? What do you care about this? The Yan family has connections in this regard. They can't find out the details of Kumho. How can I know?"

"The Yan family can't find out," said Lin Xue. "We just feel a little confused. We estimate that Kumho plans to invest more than 4 billion in Oak Garden. What do you think?"

"Kumho pays the Oak Garden plan through many companies registered at home and abroad. If you invest in real investment, no one will think of it. We can check the financial information of domestic and foreign parts, especially those tax avoidance areas, even the central government cannot get it—" said Ge Jiande.

"That's why you, an expert, need to evaluate it." Lin Xue said coquettishly.

"The domestic part of the Kumho Oak Park plan should be about the same investment in the past two years," said Ge Jiande, touching his chin, "but Kumho also set up an ESS experimental base in California, USA. It is said that there are more than 400 scientific researchers in the ESS experimental base. In Silicon Valley, where technology companies are numerous, the scale of such scientific research is quite considerable. The salary of these 400 researchers is only more than 40 million US dollars per year. How much money did Kumho invest in the ESS experimental base in the past three years? In addition to ESS, Kumho also set up an experimental base in RB Tsukuba City; in addition, Kumho also has fourteen product design and development centers in the main market of consumer electronic products in the world - how much has these invested?"

"These are the places we doubt. We predict that the total amount of funds invested by Kumho into the entire Oak Park plan will not be less than 6 billion - and the 4 billion yuan that Kumho came from the Hong Kong United Securities Trading Market in 1997. In 1997, the net profits obtained in 1998 were about 4 billion yuan, with a total of about 8 billion yuan. However, in addition to the Oak Park plan, Kumho invested no less than 5 billion yuan in Zhongjing Microchip, Xinguang Paper, Xinguang Forestry, Xiangxuehai, Shengqi Telecom and Aida Group's own production capacity expansion, which is at least 3 billion yuan."

Lin Xue said that her eyes were shiny, and the light in her eyes was fierce and vicious. "Because most of the funds of Kumho Commercial come from creditors, the use of Kumho Commercial's funds is to be made public to these creditors to a certain extent. Kumho Commercial cannot provide a large amount of funds for the Oak Garden plan. Besides, Kumho Commercial's large-scale financing only started after June last year, and it is impossible to provide funds for the Oak Garden plan before June last year and other domestic industries development - there may be a big problem in the difference of 3 billion!"
Chapter completed!