Huawei secretly plans chip startup to pass US Sanctions: Report

Huawei is planning a secret chip startup that can unleash it from the US Sanctions to some extent. The company has started hammering the Shenzhen ground to build a new semiconductor manufacturing plant to get a ‘relief breathe’ from prohibition.

Huawei and U.S officials are walking parallel to each other. But, just as the parallel lines can never meet, Huawei and U.S. conflicts will also not get a complete full stop. Hence, to avoid this battle to a degree, the Chinese tech maker took a new decision.

And in this decision, a former executive of Huawei is helping the company greatly. As per the latest reports, the PXW (Pengxinwei IC Manufacturing) firm, run by an ex-Huawei executive is supporting the chip startup to limit the US Sanctions.

Consequently, PXW will help in delivering most of the output materials to Huawei by the first half of 2023. If this round-up succeeds, then the startup could help Huawei in bypassing the US regulations that have choked the flow of chips for the Chinese firm.

Since the US government cut off the Chinese company from buying any American tech material, there aren’t new routes to connect with foreign suppliers. However, the tech maker managed to make out a way that can help in rebuilding its chip emperor.

PXW firm – a new semiconductor supplier?

Unlike Taiwan Semiconductor Manufacturing cooperation (TSMC), PXW is not so strong and capable. Yet, it might support Huawei in retaining a good position in several tough areas where the company cannot enter at this moment.

PXW also informs its objective for working on 28-nanometer technology. Currently, the firm will target 14 and 7-nanometer chip making. This manufacturing is a little less advanced but will help Huawei once again in creating its fame.

Apart from the PXW, Huawei will also associate with a few domestic chip manufacturers to get a better hold on this matter. In this manner, the Chinese manufacturer would be able to get chipset access without getting stuck in US regulations.

So far, the US government restrictions made Huawei rely upon the 4G processors. But, the new initiations can also open doors for the 5G smartphone series. Let’s see what we will gain in the first half of the 2023 year.

Read More: Huawei is making ‘U.S. free’ chipsets? Take a look at this new report

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