Huawei doesn’t want to create its own chip factory

Huawei rotating chairman Ken Hu at the 19th annual Global Analyst Summit today in Shenzhen made remarks regarding Huawei’s upcoming growth and current challenges. At the event, the Huawei chief also made an interesting statement regarding the new sand rumors of chip manufacturing factory.

Ken said that the company is facing supply chain issues but the Huawei is not looking to build its own chip factory. Therefore, Huawei still requires the support of corresponding industry partners and workers.

Wang Tao, Executive director and director of Huawei ICT business said the chip Manufacturing Business Management Committee, has explained the chip industry supply chain is very big. These include different parts of development in design, manufacturing, packaging, and more.

There are also many parts to the manufacturing and for any company including Huawei, it’s not possible to resolve these by itself. Hence, it requires the joint efforts of the entire industry supply chain and downstream.

Tao revealed that the benefit of decoupling the supply chain in the U.S. is that China and many overseas markets and regions have increased investment in the semiconductor manufacturing chain.

It’s believed that the shortage of chip supply may be resolved in the next few years. In this way, Huawei’s chip problem would also be solved.

Reports:

There are various reports that suggest that the Chinese tech maker is working on new technologies to resolve its current chipset issues. Therefore, it could establish a new chipset or boundary business to enter the field and develop new chipset for its products to complete the current yield. However, Huawei has not confirmed any steps in this direction.

U.S. Sanctions:

Huawei is serving U.S. sanctions, which prohibits the company from purchasing required chipset or printing new ones from the manufacturers. This affects the company’s capability of manufacturing new products including smartphones and network gear.

(source – ithome)