Rebirth 99 to become a car giant

Everyone is very clear about the importance of the chip industry.

In this industry chain, chip equipment and related raw materials are the core of this industry.

Only on this basis can the chip industry develop and grow.

Of course, even if companies such as TSMC and Samsung do not produce chip equipment and related raw materials, it will not affect their development and growth.

In this regard, Nanshan Semiconductor is definitely not something that can be compared with them.

At present, Nanshan Semiconductor has suffered many losses in equipment and raw materials. Although it was finally resolved successfully, it also sounded the alarm to many companies and related departments.

At this time, Pan Jinxing represented the major equipment manufacturers in the chip industry alliance led by Nanshan Equipment, and with the help of companies such as Warwick, the relevant departments quickly issued a new policy.

"Support Measures to Support the Development and Growth of the Semiconductor Industry" and "Audit Requirements for Imported Chip Production Equipment" were announced on the same day.

The first policy is for chip manufacturing companies to purchase production equipment from related domestic companies. Relevant departments will provide certain financial support, which is equivalent to reimbursing you part of the equipment investment amount.

Although the amount and proportion of subsidies vary depending on the equipment.

However, the subsidy is not small, and local companies are also encouraged to provide relevant tax incentives.

In this case, it is definitely good news for domestic chip equipment manufacturers.

The second policy is even more powerful. It is equivalent to the fact that in the future, domestic chip manufacturers will need to obtain approval to import related equipment from overseas.

Regardless of whether it ultimately affects their equipment imports, at least the efficiency of equipment procurement will be greatly reduced.

Of course, this is also done deliberately by the relevant departments, otherwise everyone will have no enthusiasm for using domestic equipment.

If domestic equipment technology is not good, then this policy will definitely be detrimental to the development of the industry.

But now domestic chip equipment has completely caught up with the international mainstream level. Some companies continue to use foreign exchange to purchase high-priced imported equipment for one reason or another. This matter needs to be discussed carefully.

Especially since some enterprises are state-owned enterprises, this approach should be examined more seriously.

If you apply to purchase an ASML lithography machine, regardless of whether ASML will sell it to you, you still need approval from relevant domestic departments.

When the review time drags on for a few months or even a year and a half, it will definitely devastate you.

It can be said that the policy promoted by Pan Jinxing and others is definitely a huge benefit for the domestic chip equipment industry alliance.

In the future, the domestic semiconductor chip equipment market will basically belong to them.

Unless other overseas equipment giants have their own unique advantages in certain special models, it will be difficult for them to have any advantages in terms of delivery cycle and cost.

"Mr. Cao, taking advantage of this wave of policies, I think the domestic chip equipment industry can officially develop and grow."

"In the past, we relied on Nanshan Semiconductor to drive the development of related equipment manufacturers. In the future, we can completely rely on the power of the market to guide them to develop and grow."

Pan Jinxing is very satisfied with the policies he single-handedly promoted.

If you don’t make good use of the influence of academicians, you won’t be able to feel its power.

Nanshan Equipment has made a lot of contributions in China over the years, and Nanshan Semiconductor is already building the world's most advanced 14-nanometer chip factory.

This makes relevant departments full of confidence in the development of the domestic semiconductor industry.

Otherwise, such a policy would never have been introduced.

After all, in the context of the development of a market economy, this kind of policy is prone to a lot of criticism.

"Whether it is China Micro Semiconductor or Modu Microelectronics, their products are already more advanced than those of Japanese equipment manufacturers."

"Not to mention our own."

"Under such circumstances, many semiconductor companies still choose more expensive imported equipment. This is due to their servility."

"If we don't put some pressure on them, they won't have the awareness to support the development of the domestic chip equipment industry."

"Although the technical level of other domestic semiconductor industries is still far behind Nanshan Semiconductor, the demand for equipment is huge."

"The United States is always taking special measures to deal with us. We can also rely on the power of relevant departments to promote the development of the industry."

"I used to think that such an action was not very good, but now that I think about it, as long as it is good for the development of the industry, it is a good thing."

Pan Jinxing felt that he was too scholarly in the past and should become more of a philistine.

Otherwise, you will suffer a loss when facing shameless international manufacturers.

“It’s true that we can use a lot of help, and we may not need a lot of policy and financial support, but other companies in the industry that are not that big will be under great pressure to grow if they don’t have the support policies they have thought about. .”

"The Chip Equipment Industry Alliance can also take this opportunity to recruit some new members."

"At the same time, we can also provide targeted support for the development and growth of some potential manufacturers."

"Not every company needs to make a complete set of equipment. It can also produce some core components."

Cao Yang feels that it is necessary to support the development and growth of some manufacturers that specialize in producing certain parts. This is actually very important for the entire chip equipment industry.

For example, for manufacturers that produce laser heads, although the parts are small, it is very meaningful when they are done well.

Another example is the manufacturer of certain cutting tools or fixtures. Although they are not conspicuous at all, they can exert a great influence at critical moments.

These are all worthy of attention, but it is usually difficult to attract everyone's attention.

"Indeed, I will go back and communicate with Mr. He from Modu Microelectronics and Mr. Yin from China Microelectronics. Together, we will support several professional parts manufacturers in a targeted manner."

Pan Jinxing was naturally aware of the importance of what Cao Yang mentioned.

A large piece of equipment requires more parts than a car.

In this case, whether it is Nanshan Equipment or Modu Microelectronics, it is impossible for them to produce 100% of the components of the equipment themselves.

Then it becomes very critical from which manufacturer to purchase qualified and advanced components.

Why is Japan so strong in the equipment industry?

One of the important reasons is that there are a large number of small-scale specialized parts companies in their country.

These companies may have less than a hundred employees, their annual turnover is not very large, and their global visibility is not high.

But in specific professional fields, their strength is very powerful.

One or two such companies may not have much influence, but if there are a series of such companies, the impact will be great.

Following the conversation between Cao Yang and Pan Jinxing, Modu Microelectronics and China Microelectronics also had some other ideas.

"Mr. Yin, the relevant departments have now introduced such good policies to support the development of the domestic chip equipment industry. I think the demand for various chip processing equipment should see explosive growth in the future."

"With the current scale of factory production capacity of both of us, there is probably no way to fully meet market demand."

"Nanshan Equipment built a new factory in Chang'an City this year. I think we can follow the model of the chip industry equipment industrial park in Yangcheng and build a similar industrial park in Chang'an City?"

He Guangming made an appointment with Yin Zhiqiang, the general manager of China Microelectronics Semiconductor, to have dinner at the Peace Hotel.

Their two companies can be regarded as second only to Nanshan Equipment in China's chip equipment industry.

In the past two years, it has attracted a lot of attention from all aspects, and the company's development has been very rapid.

Not only has it successfully received various honors and subsidies, but the company's operating conditions have also improved year by year.

"Your idea is very good. We already have successful cooperation experience in Yangcheng. It will not be very difficult to build another one now."

"It just so happens that Nanshan Equipment also hopes that everyone will work together to support the development and growth of a group of powerful second-tier suppliers."

"When the time comes, we can invite these second-tier suppliers to settle in the industrial park together, which will make it easier for us to jointly develop new equipment in the future."

Yin Zhiqiang was naturally able to understand whether He Guangming's proposal was good or bad.

Everyone develops together to form a complete industrial chain, so that we can enjoy the greatest dividends.

Just like when opening a restaurant, it is best to get together and open it.

Otherwise, the lonely family will most likely be left alone.

The reason why many professional markets in later generations can still survive under the impact of e-commerce is because various companies of the same type can attract enough customer traffic when they come together.

this is very important.

"The industrial strength in Chang'an City is still very strong, and many equipment can be matched by local manufacturers."

"In addition, this time we are going to build an industrial park there together, which will definitely drive a group of suppliers to develop together."

"It can even be used to a certain extent to identify which suppliers are willing to grow and develop along with us."

When He Guangming said this, Yin Zhiqiang couldn't help but nodded.

Many secondary suppliers of equipment are not just a single manufacturer, but have several manufacturers of the same type.

The final choice of whom to cooperate with in depth is worth thinking carefully about.

Those companies that are willing to develop at your pace are obviously more worthy of support.

Otherwise, it would be disrespectful to support a white-eyed wolf.

"Then let's go to Yangcheng together, have a good chat with Nanshan Equipment, and then call on other companies in the chip industry alliance to follow suit and develop together?"

Both of them have no objections to this plan, so they must implement it as soon as possible.

Supportive policies have been introduced, and import restrictions will also be implemented.

Under this circumstance, the spring of domestic chip equipment manufacturers is definitely coming soon.

If you don't act as soon as possible, it will definitely be uncomfortable to watch a lot of orders slip away from your eyes.

Neither He Guangming nor Yin Zhiqiang wanted to miss this opportunity.

…

For China's chip equipment manufacturers, the new policy is definitely a great event worth celebrating.

But for international equipment giants, this is a big disadvantage.

"Peter, when will our photolithography machine technology surpass Nanshan's equipment?"

As the president of ASML, Christopher naturally knew the latest policies related to chip production equipment announced by China immediately.

Obviously, the introduction of this policy is very bad news for ASML.

He didn't know how to deal with it.

When there was no Nanshan equipment in the past, Asmai was not afraid of death no matter how hard he tried.

As long as you have money, I won’t sell you the equipment.

But things have changed now.

ASML's lithography machines are no longer just needed for China.

Buying a photolithography machine from Nanshan Equipment is not only cheap, but you can also get subsidies.

Purchasing ASML's photolithography machines is not only expensive, but also inconvenient after-sales service, and requires review by relevant departments.

The key is when the review can be completed. This is a question that no one knows.

And many of China’s semiconductor companies are state-owned enterprises.

For them, strict implementation of the policies of relevant departments is a non-negotiable matter.

At that time, everyone will definitely not take all kinds of risks to continue to purchase imported equipment.

Unless China does not have similar equipment, it must be imported from overseas.

Christopher obviously now wants to make ASML such a company.

"The structure of the photolithography machine is very complex. The further it develops, the higher the technical threshold will be."

"The lithography machine of Nanshan Equipment is already capable of producing 14-nanometer chips. Let's not say surpassing it. Even if we want to reach the same level, there are still some areas that need to be improved."

Peter's answer made Christopher feel cold.

If ASML loses its advantage of technological leadership, life in the future will be really difficult.

The vast market in China, which is full of prospects, has nothing to do with them.

The key is that China is currently expanding the most in the chip industry around the world.

"Are we going to give up on the Chinese market now?"

Christopher's face was filled with anger, and he obviously couldn't accept this result.

When had Asmai been forced to feel so aggrieved?

"In the past, American companies such as Intel and Apple were suppressing Nanshan Semiconductor."

"To completely suppress Nanshan Semiconductor, we must suppress Nanshan Equipment."

"They also recognize this truth."

"During this period, they should have also thought of many other ways to encircle Nanshan Equipment or Nanshan Semiconductor."

"Do I think we can have a good communication with them again?"

Pete feels that this matter still needs to be found with the United States.

Otherwise, Asmai would not be able to handle it by relying on his own strength alone.

However, Christopher is not so optimistic now.

"They have been investigating this matter. Inert gases such as helium are also raw materials that China imports with a relatively high proportion."

"But these gases are not only produced in the United States, polar bears and other countries can also export them in large quantities."

"So they are still wondering whether to deal with Nanshan Semiconductor in this field."

"Other than that, we can only work on some software."

When Christopher said this, Peter immediately added: "I think software is a good entry point."

"Although there is no way to kill Nanshan Semiconductor immediately, it is very possible to prevent them from developing rapidly."

"Especially in the field of chip design, if there is no corresponding software assistance, there is simply no way to complete the relevant design work."

"Although some of the software used by Nanshan Semiconductor may have been developed by them themselves."

"But the main software must be purchased from outside. We can definitely let the United States start from this aspect."

Peter is so actively promoting encirclement and suppression measures in software, obviously because he can no longer find suitable solutions in other fields.

And compared with other solutions, the entry point of starting from software has never been used before.

He felt that Nanshan Semiconductor probably did not make too many preparations.

"Do you think we can achieve good results by starting in this direction?"

Christopher looked at Peter dubiously, always feeling that software would be difficult to restrict Nanshan Semiconductor.

"It must be difficult to completely restrict people."

"But if we hold them back, there should be no problem."

When Peter said this, Christopher was slightly disappointed.

But I finally have a new idea.

He can go to Intel and other companies to communicate and push them to take some new measures.

…

Just when ASML is looking for ways to change the current situation like a headless fly, not every company in China is happy to see the introduction of new policies.

"Mr. Wang, should we continue to purchase equipment for our new factory from overseas like the previous factory, or should we consider using all domestic equipment?"

Yang Bingning found that he now encountered a difficult problem.

Most of the equipment at SMIC is imported from overseas. The photolithography machine is from ASML, the etching machine is from Tokyo Electronics, and some other equipment is basically imported.

If these equipment need to continue to be imported, they will need to be declared in the future.

The key is that he is not confident enough to obtain approval from the relevant departments.

It would be a pity if the plan to build a new factory is affected by approval issues.

"Can the domestic equipment really meet our production needs?"

Even now that Nanshan Semiconductor has used all domestic equipment to build new factories, Wang Anguo still does not believe that domestic equipment manufacturers can meet their needs.

He has always boasted that his company closely follows the production processes of TSMC and Samsung and benchmarks against international advanced levels, and will not easily use domestic equipment.

But now the situation has changed.

"If you want to be satisfied, you can naturally be satisfied."

"After all, Nanshan Semiconductor has been using it on a large scale for several years."

"The newly built 14-nanometer chip industry is said to be all using domestic equipment and not a single imported equipment."

"So at this time, if we use the reason that domestic equipment cannot meet our needs, it will be difficult to get everyone's approval."

Yang Bingning did not dare to lie in this regard, as he would not be able to withstand scrutiny when the time comes.

Some shareholders of SMIC have state-owned assets background.

Now the relevant departments have announced new policies. If SMIC does not implement the policies properly, pressure and doubts from shareholders will make the positions of Yang Bingning and Wang Anguo unstable.

But deep down, neither of them want to use domestic equipment.

In their view, even if domestic equipment can meet the performance requirements, there is still a gap with imported equipment in terms of stability and quality.

For example, imported etching machines may not require maintenance from the time the factory is put into operation until the factory is shut down, and only need to perform routine maintenance and inspections.

However, domestic equipment is likely to have no problems in the first year, and the problems will not be major in the first two years, but then various problems will begin to appear one after another.

Yang Bingning has heard many real cases of this situation in other industries.

In fact, this situation does exist in some equipment industries.

Not only on equipment, but also on some terminal consumer products, there are similar situations.

For example, the cooling effect of Daikin's air conditioners is better than that of some Chinese manufacturers.

If the same cold wind blows on your head, it will not be so easy for others to catch a cold.

This gap cannot be completely denied.

Another example is hair dryers. The wind blown by some big imported brand hair dryers is indeed unique in terms of wind speed and direction.

"Then can we start with the maintenance of equipment? Let's tell shareholders that the new factory should use similar equipment to other factories as much as possible, which will be beneficial to our maintenance."

Wang Anguo was still thinking about making a final struggle.

However, Yang Bingning's words dispelled his illusions.

"Domestic chip equipment manufacturers such as Nanshan Equipment are very good at after-sales service. They can even arrange for engineers to be on-site for long-term services."

“So it’s probably unjustifiable to deal with shareholders with maintenance issues.”

"The most critical thing is that the company has been losing money in the past few years, and high equipment amortization is a very important reason."

"Using domestic equipment can directly reduce equipment investment by more than 30%, and you can also apply for 5% to 10% equipment investment subsidies from relevant departments."

"In this case, most shareholders should support the use of domestically produced equipment."

SMIC is a company after all.

As a business, making money is the main purpose.

There is definitely no way to win the approval of shareholders if you choose a plan to lose money even if you have the opportunity to make money.

So in the end, Wang Anguo had no choice but to ask Yang Bingning to arrange for relevant personnel to formally contact domestic chip equipment manufacturers such as Nanshan Equipment and start detailed communication about purchasing the equipment needed for the new factory.

SMIC, which has been the leader of China Semiconductor for many years, has been surpassed by Nanshan Semiconductor and can only be ranked second.

However, SMIC has begun to fully choose to use domestic chip equipment. This matter still has a very large influence on the entire Chinese semiconductor industry.

After all, no matter how much domestic equipment Nanshan Semiconductor used before, it could be said to support its brother companies.

But SMIC is different.

Whether voluntary or forced, this means that China's semiconductor industry has begun to officially accept Nanshan equipment and domestic equipment manufacturers such as Modu Microelectronics and Zhongwei Semiconductor.

There is policy support, Nanshan Semiconductor’s application performance, and industry leading companies such as SMIC are leading the use.

Other semiconductor companies such as Huahong and Ziguang have also officially begun to fully adopt domestic production equipment.

With the support of policy gift packages, the spring of China's semiconductor equipment industry has officially arrived!