SMIC

Report claims SMIC has finally developed its 5nm node without EUV

May 15, 2024

SMIC (Semiconductor Manufacturing International Corporation) has made significant achievement in the semiconductor industry by developing a 5nm node using Deep ultraviolet (DUV) technology. This achievement comes despite US sanctions preventing access to the more advanced Extreme Ultra Violet (EUV) technology. In this article, we will discuss further more about the SMIC’s latest 5nm Node in more detail.

SMIC 5nm Node Overview

Overcoming Challenges

SMIC’s 5nm development follows its success with the 7nm node, which produced Huawei’s Kirin 9000s and Kirin 9010 chips. The 5nm process is impressive given the restrictions on acquiring the latest equipment. However, initial yields are expected to be lower because DUV technology requires multiple passes of the laser, increasing the chances of manufacturing defects.

Huawei’s Role and Future Plans

Huawei plans to use SMIC’s new 5nm node in its upcoming products, including a new Kirin SoC for the Mate 70 series and a laptop chip expected to compete with Apple’s M2. Both products are set to launch later this year.

In the first quarter of this year, SMIC became the third-largest foundry globally, following TSMC and Samsung Electronics. This milestone marks the first time a Chinese foundry has reached the top three. SMIC’s first-quarter sales were $1.75 billion, surpassing Taiwan’s UMC.

Success Midst of Sanctions

The company’s progress is driven by demand from Chinese electronics firms like Huawei. US sanctions aimed at curbing China’s semiconductor capabilities have inadvertently pushed SMIC to innovate and achieve technological independence. The Chinese government has also provided significant support to SMIC’s efforts.

Shhh… It’s a ‘secret’

Despite these achievements, SMIC is cautious about publicizing its progress. Announcing new technological milestones could attract more attention and lead to further sanctions. By keeping a low profile, SMIC aims to continue developing its technology without additional external pressures.

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SMIC 5nm Node: Implications for Global Competitors?

SMIC’s advancements pose a challenge to other semiconductor companies. Korean firms like Samsung Electronics, DB HiTek, and SK Hynix System IC may face increased pressure to lower prices as SMIC’s competitive capabilities grow. The trend of patriotic consumption in China could also shift a significant number of Chinese customers towards SMIC-produced chips.