Galaxy Technology Empire

Boss Ren made eye contact with Yang Zibi and He Lifei.

"By the way, the foundry costs I mentioned include packaging and testing." Huang Haojie added again.

After thinking for a long time, Mr. Ren spoke first:

"Huawei needs a lot of chips every year. It needs at least 3 billion yuan to start. I'm afraid your production line can't meet it. Of course, it's okay to give you some chip orders first."

"Don't worry, Mr. Ren, as long as you are willing to place an order, we can expand the production line at any time." Zhang Rujing's eyes lit up when he heard the order.

Only with orders can chip foundry companies have the motivation to expand. Otherwise, if there is no order, building a woolen production line will not build a production line to collect dust.

"How much production volume can you provide next year?" Mr. Ren is very concerned about this issue.

After all, Taiji Electric's OEM arranges the production sequence according to the size of the order. Under normal circumstances, orders from Qualcomm and Sydney are given priority, and Huawei's orders are ranked behind.

It was a last resort before, but now there are better choices. Of course, Mr. Ren must consider it carefully.

"According to the extreme expansion speed, we can build five production lines every month and expand the annual output to 1.2 billion chips by the end of 2018." Zhang Rujing thought for a while and replied.

In fact, if 60 production lines are really built, the production volume will definitely exceed this number, because the Semiconductor Research Institute is constantly improving the production lines.

For example, the annual output of the first production line was about 23 million pieces at the beginning, and now it has been increased to about 26 million pieces.

As the technology becomes more and more mature, Galaxy Semiconductor's productivity is soaring rapidly. It can be said that it is increasing day by day.

"If Huawei is willing to pay for the patent, I wonder how much Galaxy Semiconductor's foundry costs can be reduced?" CEO Ren asked after thinking for a while.

"180 yuan a piece, no more." Huang Junjie said with some heartache.

"180?" This price is acceptable, but Mr. Ren prefers to purchase the production line directly:

"Brother Huang, honestly speaking, can this production line be sold to Huawei?"

Yang Zibi and He Lifei immediately pricked up their ears.

After thinking for a while, Huang Haojie gave the answer:

"Originally, in order to avoid technology leakage, I did not allow the production line to be sold in principle."

Upon hearing this, the three of them immediately knew that something was going on.

"Brother Huang, if you have any conditions, just tell me."

"yes!"

"Let's talk about it and let's think about it."

"Then I'll tell you directly, first of all, it must be a joint venture with Galaxy Group. You will pay for it, but Galaxy Group must hold 30% of the shares." Huang Haojie finished speaking about the first condition.

The three of them had no objections. Even if they gave Galaxy Technology shares for free, they still wanted to get the chip production line.

"Second, the production line cannot be purchased directly. We adopt a lease method. The rent is 100 million yuan a year. The production line will belong to you after eight years. During the lease period, the production line will be supervised by Galaxy Group. If you use it in violation of regulations, we have the right to directly Take it back.”

"Third, the production line does not include an atomic engraving machine, and the factory must be built in Shanmei."

After hearing Huang Junjie's conditions, the three of them immediately thought about the pros and cons of this matter.

An eight-year lease is equivalent to 800 million yuan for a production line, and there is no atomic engraving machine. This means that Galaxy Group controls the core of chip production.

But this is a production line that can produce 5-nanometer chips, something that even money can't buy.

Take a look at ASML’s top-notch photolithography machine that costs US$150 million. Even domestic companies in Dongtang cannot buy it if they have the money.

Boss Ren thought for a while and gritted his teeth and said: "I agree, Huawei and Galaxy Group are joint ventures, and there is no problem with other conditions."

He Lifei and Yang Zibi also knew that the opportunity was too good to miss and agreed to Huang Junjie's conditions.

After the visit.

Huang Junjie and Wang Bosi had dinner with Mr. Ren at the Miramar Hotel.

The five people then held a closed-door meeting to discuss the details of the joint venture.

Huawei invested 30 billion yuan to establish HiSilicon Chip Company, build a chip manufacturing plant in Haicheng County, Shanmei, and lease 50 production lines from Galaxy Group.

Ziguang invested 30 billion yuan to establish Ziguang Chip Company, established a chip manufacturing plant in Lucheng, Shanmei, and leased 50 production lines from Galaxy Group.

Huada Semiconductor invested 40 billion yuan to establish Huada Chip Company, build a chip manufacturing plant in Lucheng, Shanmei, and lease 70 production lines to Galaxy Group.

Obviously they can't wait. Once the establishment of these factories is completed, it means that Dongtang will suddenly have four of the world's top chip manufacturing companies.

These are just the first phase of their plans, especially Huada Semiconductor, which is a state-owned enterprise and is really wealthy.

If it weren't for the Galaxy Group's slow supply of production lines, they would have wanted to directly lease 200 production lines.

Huang Haojie introduced them mainly to distract attention.

As for the consequences of acquiring these production lines eight years later, Huang Haojie is not worried because the core technology is still in the hands of Galaxy Technology.

Even if they crack the secret of C31, Huang Junjie is sure to complete the innovation, and the secret of C31 cannot be kept secret forever.

However, Huang Haojie's cooperation with them is kept secret. At least they will not announce these cooperation publicly until their factory is completed, the production line is arranged, and production capacity begins to explode.

Of course, Huawei, Ziguang, and Huada Semiconductor still gave some of their chip orders to Galaxy Semiconductor.

In exchange for low-cost foundry, Huaweisan paid part of its chip patents to Galaxy Semiconductor for use.

After receiving the patents from Sanxin, Huawei, Ziguang, and Huada Semiconductor, as well as the patents purchased and developed by Xingtu Company, Xingtu Company's current chip design speed has become faster and faster.

It can be said that Du Wei and others were in pain and happiness, and they were constantly excited. Their first target was the battery electronic control chip.

This electronic control chip is also the most commonly used chip by Galaxy Technology. Whether it is a mobile phone battery, a power battery, or a storage battery, these are all needed.

Mobile phone batteries alone consume hundreds of millions of mobile phone battery electronic control chips a year. This shows that even if Galaxy Technology does not produce mobile phones and computers, it consumes a lot of chips.

In the past, during design, we had to avoid infringing on other people's patents as much as possible, which seemed a bit constrained.

Now that it has obtained some of the patent rights from Sanxin, Huawei, Ziguang, and Huada Semiconductor, Star Map Company can finally let go of its hands and go big.

In addition, Huang Haojie asked Xingtu Company to continue tape-out directly at Galaxy Semiconductor. It can be said that Xingtu Company's design capabilities are increasing day by day and are growing every day.

In fact, the quality of the electronic control chips designed by Star Map is already extraordinary. After all, the chips they designed are at the 5-nanometer level.

If others knew that they were designing electronic control chips at the 5-nanometer level, they would definitely think Galaxy Technology was crazy.

Because generally, electronic control chips are at the 22nm level, or even 32nm. Who would be bothered enough to use a 5nm process to produce electronic control chips? This is really a waste of money.

But Galaxy Technology has really done this, because for Galaxy Technology, producing 5-nanometer chips is the most cost-effective.

The complexity of the circuit transistors required by the electronic control chip is simply too simple compared to the CPU.

This results in Galaxy Semiconductor's production line being able to produce very small electronic control chips. These electronic control chips are divided into three levels, corresponding to mobile phone batteries, power batteries, and storage batteries.

To put it simply, as chips become smaller, a 5-nanometer chip production line can produce electronic control chips that are ten or twenty times larger while keeping the overall cost unchanged.

This is why Huang Junjie feels it is a good deal.