My Age of Investment

After completing a huge financing of US$15 billion as quickly as possible, Xinxin Group quickly demonstrated to the industry and media the domineering and ambition of the new generation of storage giants.

The first is to announce the expansion of production capacity, enter the Chinese market, and establish the first Chinese wafer fab in Shanghai. It is also the 17th wafer fab under the New Core Group - Fab17.

This is a jaw-dropping number. Many people don’t even understand how Xinxin Group suddenly has such a huge number of fabs and chip production capacity.

When people briefly review the development history of Xinxin Group, they immediately understand all this.

Unknowingly, the patchwork New Chip Group has developed into a force that no one can underestimate in the chip industry.

Through the acquisition of GlobalFoundries, the part of the wafer manufacturing business that was divested from AMD acquired four wafer fabs in the United States and Germany, plus Chartered Semiconductor's six wafer fabs in Singapore, making this new company In an instant, it has 10 wafer fabs, 5 of which are 300mm wafer fabs.

When all 10 wafer fabs are at full production, Xinxin Group's monthly wafer production capacity can reach 360,000 wafers, which is slightly lower than Huaxin International, which already has 11 wafer fabs. The latter's monthly production capacity is 400,000 wafers. piece.

However, even if the annual wafer production capacity of the two companies is added together, it is only more than 9 million wafers, which is still not comparable to Gulf Power, which just announced the construction of 15 factories last year. When converted into 200 mm (8-inch) wafers, Gulf Power The company's production capacity exceeded 11 million units last year, ranking first in the world.

Since Gulf Power has mastered the most advanced manufacturing technology, the gap between revenue and net profit is even wider than the gap in production capacity between them.

On the difficult road of chasing Bay Electric, even if Xia Jingxing exhausted all his efforts, the gap was still huge. It would be difficult to surpass them in the short term. Being able to shorten the gap was already a kind of progress.

However, excluding Gulf Power, the foundry overlord, Huaxin International's vigorous pursuit and the emergence of New Core Group still make it difficult for a group of peers to sleep and eat.

For example, UMC in Yizhou Island, the second largest company in the wafer foundry field, is already in jeopardy. Huaxin International and Xinxin Group have a very small production capacity gap with it, and they can easily surpass it with a little more effort. .

As for small manufacturers such as Power Semiconductor and World Advanced Technology that have been left far behind by Huaxin and Xinxin, they feel a biting chill.

They don't care so much about market rankings, but they do care about whether a price war will break out among fabs.

The past year was the best year for the foundry industry since 2000, with output value increasing by 37.8% year-on-year.

The nearly 40% increase in output value has made almost everyone in the industry make money, including Huaxin International, which made a slight profit last year, ending five consecutive years of losses.

Even when the situation is promising, Huaxin International and Xinxin Group are still busy building new factories and expanding wafer production capacity, casting a shadow over the future of the entire wafer foundry industry. ???

If there is overcapacity in the wafer foundry industry and a price war breaks out, Yizhou Island, as the world's major wafer manufacturing base, will undoubtedly suffer the most.

Some islanders who can't hold themselves back have begun to secretly engage in series connections, hoping that Gulf Power, the leader, will take the lead to express its stance and make a voice.

However, Zhang Zhongmou was very calm this time, turning a deaf ear to the capital increase and production expansion of Huaxin International and Xinxin Group, as if he didn't care at all about the provocative actions of the two children.

When Gulf Power did not jump out to express its opinions, small companies such as Power Semiconductor and Advanced Micro Devices could only send one or two executives to make a few remarks in industry forums and online media, saying that "just throwing money will last a lifetime." They can’t even make semiconductors well”…

The appeal of Power Semiconductor and the world's leading company was echoed by another group of people on the island.

If the Yizhou wafer foundry industry is still beeping a few words because it feels the tense atmosphere created by Huaxin International and Xinxin Group, then the six companies including Nanya, Promos, Powerchip, Winbond, Huaya and Ruijing The only remaining DRAM manufacturer in Yizhou was completely impatient and stopped playing.

The reason why their mentality was broken was not entirely due to Xia Jingxing. The reason why Xinxin Group participated in the price war started by Samsung was largely forced.

But this just gave the Yizhou storage chip manufacturer the final blow, which was already half-lived.

When Samsung announced a 10% price cut for its own products in a high-profile manner, Xinxin Group showed no sign of weakness and announced another 10% price cut on this basis.

The two giants directly drove the price of storage chips, which rebounded slightly last year, back to two years ago.

In addition, since he owns 10 wafer foundries, plus 6 foundries owned by Galbida and Qimonda, Xia Jingxing instructed Fu Jixun to terminate the cooperation with Yizhou foundries such as Powerchip and Ruichip. Cooperation has digested all memory chip orders internally, which makes the Yizhou wafer foundry, which is not economically prosperous, even worse.

It stands to reason that companies such as Powerchip and Ruijing should hate Samsung, which was the first to wield the price-killing knife, but they chose not to and put most of the debt on Xia Jingxing. Who allowed Xia Jingxing to be born on the other side?

In addition, islanders are actually used to the "bloodbath" of the memory chip market by Korean manufacturers led by Samsung, because the entire industry undergoes a cyclical reshuffle every few years.

Yizhou's storage chip industry started in the 1980s and 1990s. Well-known local companies such as Formosa Plastics and Acer have tried to develop upstream of the industry, investing more than 1.6 trillion HKD, but in the end they failed. Heavily in debt, there is nothing but chicken feathers on the ground.

In fact, several Yizhou memory chip manufacturers have long been impatient. The war between Samsung and Xinxin Group only affected the bottom line and put the final nail in the broken coffin.

A few days after the outbreak of the war, Nanya Technology and Winbond announced their transition to the production of niche DRAM, that is, they only produce memory for LCD TVs, digital set-top boxes, and players, and they will not touch the memory for PCs and mobile phones at all. , gave in.

Within two days, Maode Technology announced that it would withdraw from the industry and switch to IC design.

The remaining three Yizhou storage chip manufacturers are still struggling to support themselves, but the situation is not good either. What awaits them is either acquisition or complete transformation.

While Yizhou storage chip manufacturers were taken away in a wave, South Korean storage chip manufacturer Hynix also reported not good news.

…………

On the plane back from Singapore, Xia Jingxing was lying on the sofa with his legs crossed and a comfortable look on his face. Suddenly he tilted his head and glanced at his bangs, and asked, "Do you think it's possible for us to acquire Hynix?"

After hearing this, Liu Hai looked at Xia Jingxing as if he were looking at a fool and didn't reply for a long time.

"I know it's not realistic. Alas, I just think about it in my heart."

As he spoke, Xia Jingxing laughed to himself. He knew it was impossible, but he couldn't help but have such a sweet dream. The big fat piece of Hynix was really too appetizing.

If New Core Group successfully acquired Hynix, it would be easy to capture half of the global memory chip market share, and it would truly become the Gulf Power Company in the memory chip industry.

Liu Hai sighed and said: "The Koreans caught up with a good opportunity and seized the golden development years when Japanese chips were suppressed by the United States.

Look at Yizhou. They were greedy for the storage market and invested so much talent and money. However, under the crazy suppression of Korean manufacturers, all the investments were wasted.

The Korean government attaches great importance to the chip industry. Micron wanted to acquire Hynix ten years ago, but the final conditions could not be negotiated. The Korean government took over the mess of Hynix, writing off more than 8 billion US dollars of debt, and borrowing Billions of dollars were given to Hynix, whose asset-liability ratio reached over 200%.

American companies can worry about this big piece of fat, but we can't because we don't have the dog leash. "

Xia Jingxing was amused by Liu Hai's vivid metaphor and said: "In the storage chip industry, the competition is who is richer and who dares to burn money more.

The situation Hynix faces now is much better than that of Elpida and Qimonda. As long as a large amount of capital is injected, it can stand up immediately.

Alas, it can only be said to be a pity! "

Liu Hai can understand the deep helplessness and regret in the boss's heart, but the reality is that there are not many shortcuts and he can only choose to be self-reliant.

In order to comfort Xia Jingxing, Liu Hai quickly changed the subject and said, "Yizhou is finished this time. From the panel to the storage chip industry, we are almost uprooting it."

When he mentioned this, Xia Jingxing's face immediately regained its vitality, and he said with a smile: "To say it was uprooted is an exaggeration. I didn't intentionally target them, I just accidentally hurt the flowers and plants."

"You have to be careful, be careful where you are listed as the least welcome person."

Xia Jingxing's lips revealed a hint of sarcasm, "They don't dare to cause trouble with Samsung, and they don't dare to criticize Singapore by name. I'm the only one who's easy to pick on, right?"

Liu Hai laughed loudly and said: "The people over there are always like this, bullying the weak and afraid of the strong. If you give them a little concession, they will think you are weak and can be bullied.

What I'm really worried about is Gulf Power!

Now we are attacking on multiple fronts, and the capital chain is very tight. If Gulf Electric gets involved again, it will be great fun. "

Xia Jingxing pursed his lips and said nothing. The reminder from his bangs instantly made him think of many things. Recently, he only spent money, but he didn't make much profit. The small treasury of Daxia Capital was almost emptied by him.

"How much money do we have available now?"

Chapter content in the web version is slow, please download the Haoyue Novel app to read the latest content

Please exit the transcoding page and download the Haoyue Novel app to read the latest chapters.

To provide you with the fastest update on my investment era, 1571, Uproot and read for free.