Reborn in 2011, 985 missing from two copies

Morris Chang said with a smile: "Mr. Wang, I hope that Xingyi Technology's mobile phone chips can be successfully developed as soon as possible. By then, TSMC will be responsible for the tape-out and mass production, and we will give you the best discount!"

Wang Yi smiled slightly: "The research and development of mobile phone chips is not that simple. The industry generally believes that it will take at least two or three years for our mobile phone chips to succeed."

Morris Chang, however, did not believe it at all: "Mr. Wang, you are too modest. In my opinion, if everything goes well, your 28-nanometer mobile phone chip can be taped out by the end of this year or early next year!"

Wang Yi burst out laughing and could only say that a veteran is a veteran.

Really good at judging people!

“If that’s the case, then I’d like to thank you for your good wishes. But if everything really goes well, I’ll have to trouble Director Zhang to provide the 28-nanometer production capacity…” Wang Yi said meaningfully.

Frankly speaking, he didn't want to cooperate with TSMC, but he had no choice.

The 28-nanometer mobile phone chip is one of the most advanced process technologies currently available, and only TSMC, Samsung, and Intel can do it.

Intel mainly produces PC chips and does less mobile chips. It is also an imperial enterprise and cannot be trusted.

Samsung Semiconductor is even more unreliable. Whenever the sales of Xingyi mobile phones are high, it will be strangled.

Samsung can block HTC's screen supply, and it can also directly block Xingyi Technology's chip supply.

Wang Yi would never cooperate with such unethical companies.

As for SMIC, it is only currently mass-producing the 55nm process and cannot even produce the 40nm smart home chip H1.

Originally, Wang Yi wanted to invest in SMIC, but at the current SMIC, as Mr. Zhang was forced to leave by TSMC, the remaining senior executives only know how to fight for power and profit and do not do their job.

So much so that while Intel has already entered mass production of 22nm, SMIC is still stuck at the level of 2009 - 55nm.

As for 40 nanometers, trial production will start in the second half of this year at the earliest, and large-scale mass production will not start until 2013.

Wang Yi's 40-nanometer chip must be mass-produced now; it is impossible to wait until next year for SMIC to produce it.

Wang Yicai is too lazy to invest in such an unreliable company, and he doesn't even plan to cooperate with SMIC next year.

There is no other reason. Instead of waiting for SMIC's 40nm mass production next year, it is better to force Mr. Hu to develop Xingyi Semiconductor's own 40nm process next year!

By then, we will be able to independently develop, produce and sell 40-nanometer chips, as well as independently develop 28-nanometer chips.

Intel, Samsung, and SMIC are all unreliable, and the only remaining option is TSMC.

It will take several more years for Xingyi Semiconductor to mass produce 28nm chips. Before that, high-end chips can only rely on TSMC.

There is no other way.

Morris Chang smiled cheerfully: "Don't worry, Mr. Wang, just focus on research and development. I will arrange as much 28-nanometer production capacity as you need!"

"Then thank you, Mr. Zhang."

"Haha, it's all as it should be."

After ending the call, Morris Chang was in a good mood.

The vice president was a little puzzled: "Chairman, Xingyi Technology has just started to develop chips. Do we need to be so nice to them? They even promised to give us as much 28-nanometer production capacity as we want? After all, they don't even have a 28-nanometer chip!"

Morris Chang looked displeased: "What do you know?"

Businessmen all have keen insights.

Originally, Morris Chang did not take Xingyi Technology seriously.

But with the rapid rise of Xingyi mobile phones, Lao Zhang began to pay close attention to all developments of Xingyi Technology.

Now Xingyi Technology has started to develop its own chips. Although they are only low-end chips, Lao Zhang still sees the terrifying potential!

Naturally, you have to pay attention to it in advance.

Lao Zhang said meaningfully: "Although Xingyi Semiconductor is just starting out now, its future prospects are limitless. Maybe it will be the next super customer comparable to Apple!"

"What? A super-large customer comparable to Apple?" The vice president's mouth twitched, and he wanted to say in his heart: "Chairman, are you stupid? How can Xingyi Technology compare with Apple?"

Morris Chang saw through his subordinates' thoughts, but he was not angry: "It is better to help when it is needed than to add icing on the cake. When Xingyi Semiconductor becomes big, it will be too late for TSMC to pay attention to it."

"This..." The subordinate was silent.

Morris Chang continued, "The foundry order for Apple's A5 chip was snatched away by Samsung Semiconductor. We, TSMC, have won the foundry order for Qualcomm's 8064. But we are still not as good as Apple. If we want to overthrow Samsung, the chip order from Xingyi Technology may be an opportunity."

“I see.” The subordinate was skeptical, thinking that the chairman was just making extra preparations.

Whether there are dates or not, just give it a try.

Morris Chang smiled slightly, "Wang Yi is a man who loves to create miracles. He has done things that even giants cannot do. I think Xingyi Semiconductor can do it too. Give the order to treat Xingyi Technology as an S-class major customer in the future. Whether it is tape-out or additional orders, all will be given priority. All treatment will be given the highest."

"Yes!"

Morris Chang looked out the window and said quietly, "Mr. Wang, please don't let me down. Whether we can defeat Samsung Semiconductor depends on your big orders!"

On the other side, Wang Yi also fell into deep thought, thinking about the next development strategy of Xingyi Semiconductor.

Chip research and development is a big money-burner.

The research and development of low-end chips does not cost much. Even if five or six models are developed at the same time, it only costs a few hundred million.

However, the research and development of high-end chips costs a lot of money, and when you add in expenses such as wafer production, it would be difficult to make a chip without tens of billions.

It can be said that throughout 2012, the investment in chip research and development alone amounted to tens of billions.

Years later, the currency has depreciated, salaries have skyrocketed, and chip research and development costs tens of billions a year.

The investment and construction of wafer fabs and the introduction of equipment are also big money burners.

At present, a 12-inch wafer factory costs at least 200 billion!

Is this over?

No, just the beginning.

With a wafer fab, one still has to invest money in the research and development of chip production processes, which costs tens of billions a year.

It can be said that in the future, chip research and development and wafer factory process research and development will be fixed at 200 billion RMB per year!

Plus the 200 billion invested in wafer factory construction and equipment introduction.

Throughout 2012, Wang Yide invested 350-400 billion!

The subsequent R&D costs will start at 200 billion every year!

What a waste of money.

If the income continues to exceed the expenditure and the money is spent like crazy, even Wang Yi will feel under great pressure.

To this end, Wang Yi developed a sustainable development path of "investing while producing, burning money while making money".

Use the production and sales of 40-nanometer low-end chips to support Xingyi Semiconductor and Xingyi Wafer Factory.

Use the profits earned from the sale of smart home chip H1, fast charging chip C1, and power management chip P1 to carry out wafer factory process research and development and subsequent chip research and development!

To achieve this effect, the sales volume of several chips must reach an extremely terrifying scale.

To this end, Wang Yi decided to bundle and sell the fast charging chip C1 and the power management chip P1 to friendly companies.

A single fast charging chip C1 costs 60 yuan per piece in small quantity and 40 yuan per piece in large quantity.

But it is sold in a bundle with two P1 chips, a small quantity of three chips costs 90 yuan per set, and a large quantity costs only 60 yuan per set!