Huawei plans to build a large chip factory in Shenzhen, China, to make Kirin mobile chips and Ascend AI processors. The company has moved from making phones to competing with NVIDIA in artificial intelligence. The new site will make 7nm chips and is near other Chinese chip makers like Pengxinwei and Shenzhen Pensun, which already work with Huawei. This setup will help Huawei connect closely with its partners and speed up parts supply.
Local government helps pay for the project, but Huawei will not run the plant directly. Companies called SiCarrier and SwaySure will manage operations instead. Huawei will provide money at first and send technical teams to help start everything. This method lets Huawei watch over all parts of production through its partner network, which has helped the company grow fast.
Huawei needs its chip factory because SMIC cannot make enough chips to meet demand. The company receives millions of orders for its Ascend AI chips but cannot fill them all. The new Shenzhen factory might start working next year. This factory represents an important step for Huawei to make advanced chips without outside help.
Local government helps pay for the project, but Huawei will not run the plant directly. Companies called SiCarrier and SwaySure will manage operations instead. Huawei will provide money at first and send technical teams to help start everything. This method lets Huawei watch over all parts of production through its partner network, which has helped the company grow fast.
Huawei needs its chip factory because SMIC cannot make enough chips to meet demand. The company receives millions of orders for its Ascend AI chips but cannot fill them all. The new Shenzhen factory might start working next year. This factory represents an important step for Huawei to make advanced chips without outside help.
