According to data released by the ChipInsights, 18 semiconductor companies worldwide spent more than $1 billion on R & D in 2018; it is $50.3 billion in total, the value had been up 8 per cent comparing to 2017. Global semiconductor companies are expected to spend more than $60 billion on R & D, between $64 and $65 billion.
The top 10 semiconductor companies spent $39.6 billion on R & D in 2018; it had increased 7.62 per cent since 2017.
Intel's R & D expense far exceeded that of all the other semiconductor companies, reaching $13.5 billion, accounting for 29.72% of the company's revenue. Intel's R & D expenses accounted for 34% of the total expenses among top 10 semiconductor companies.
With the rising cost of research and development on IC, the R & D costs of all semiconductor companies have increased. (Chipinsights).
2. The Top 10 IC Design Enterprise in China
According to the latest "Analysis report of China's Semiconductor Industry" by TrendForce, a global market research firm, the output value of China's IC design industry reached 251.5 billion Yuan in 2018, the annual income has increased nearly 23%. In terms of revenue ranking, the top three IC design companies in China are Hisilicon, UNISOC and Omnivision. Although the demands for IC design turns to domestic market in 2019, the growth rate of IC design industry in China will slow down to 17.9% in 2019, it is because of the declining demands for consumer electronics and the slowdown in global economic growth. The output value is expected to reach 296.5 billion Yuan.
According to TrendForce info, there were three Chinese IC design companies with revenues of more than $1 billion in 2018, and four of the top 10 companies performed outstanding. Their income revenues were grew by more than 20% in 2018, while there was two companies facing more than 2 digits declines.
Following the development of China's IC design industry, Hisilicon takes the lead in mass production of the world's first 7nm SoC, and declare that the layout of 5G fundamental frequency chips in China is leading the way. Besides it, Baidu, Huawei, Cambricon, Horizon and the other enterprises release terminals or cloud AI processor chips, which also shows the steady improvement of the overall technical strength of China's IC design enterprises. However, the self-sufficiency rate of IC chips in China is presently around 15%, and the rate of low-end low-cost products is the highest. Therefore, the R & D innovation must be continuously innovative in the future, with the goal of raising the self-sufficiency rate of medium and high-end chips, and then it is the way to substantially boost the sustained growth of revenue momentum.
Looking forward to 2019, the development trend of science and technology will still revolve around the development of new forms of industry driven by AI, 5G, AIOT, Autonomous, Edge Computing, Biometric and so on. China has mastered the leading advantage in the above important indicators of scientific and technological development, which will promote the sustainable development of China's IC design industry. (Global Semiconductor Watch)
3.The first 301 Major Projects Launched in Wuxi City in 2019
On February 19th, the first batch of 301 key projects in Wuxi City began to start in 2019. The total investment planned for the 301 major projects is 297.7 billion dollar, it mainly focus on the fields of strategic emerging industries, advanced manufacturing and modern service industries. It shows the remarkable characteristics of large scale of investment, excellent industrial structure and strong driving effect.
The main semiconductor-related projects under construction are: Jacal Electronic Image Sensor R & D and production Project, SIASUN Robot Industry Project, Honghu Multi-chip Optocoupler Integrated Circuit closed Test production Base (Phase I) Project, Murata Electronic New Chip Ceramic Capacitor second Factory Project, China Resources Shanghai 8-inch Wafer Project, Osram Optoelectronic Semiconductor Phase II Project, AirLiquide Industry Gas and Electronic Materials expansion Project, Mako Semiconductor equipment cleaning Project. (Wuxi release).
4. 228 major industrial projects launched in Xuzhou
On February 18th, the major industrial projects in Xuzhou City in Jiangsu Province began to start in 2019. There are 228 major industrial projects running in the city, with a total investment of 175.64 billion Yuan, an annual planned investment of 86.86 billion Yuan and an average investment of 770 million Yuan.
These projects mainly locate in Xuzhou economic development zone and the balance projects locate in five counties, among which the semiconductor related projects include the silicon carbide project in Xuzhou economic development zone, the Hans semiconductor module project in Pei County, the manufacture of navigable chips and the infrared detector project, and so on.
The semiconductor projects at the Pizhou branch are more concentrated. For example, the project of micro-photoresist, the integrated circuit sealing test of Jiangsu Shanghe Semiconductor, the expansion of 12-inch magnetic memory etching machine by Jiangsu Leuven, and the intelligent voice chip design by Xuzhou Hicore and so on.
Among them, the Pizhou micro-photoresist project is invested by Kempur with a planned land area of 220 mus, the total investment reaches 1.5 billion Yuan. This area will be built as national photoresist engineering laboratory with 248 nm photoresist production lines and 193 nm R & D industrial base. After the completion of the project, it is expected to produce 600 tons of UV positive photoresist; 350 tons of UV negative photoresist and 10,000 tons of high-grade supporting reagents, the annual output value can reach 2 billion Yuan.
It has been learned that Xuzhou has formed an integrated circuit industry-gathering place represented by Xuzhou Economic Development Zone, High-tech Zone, and Pizhou City. According to the plan, Xuzhou takes the development of integrated circuit and ICT industries as its top priority, focusing on the development of semiconductor-grade polysilicon, photoresist, lithography machines, and other integrated circuit materials and equipment in the early stage, also it will develop packaging, testing, and wafer manufacturing in the medium term. In the later stage, chip design, manufacturing, and high-end equipment manufacturing enterprises were gradually introduced.
At present, Xuzhou has attracted many companies for the project investment such as the project of Semiconductor Materials by Jiangsu Xinhua, Electron Beam Lithography Machine by Bokang Group, New Materials 1000-ton Photoresist by Xuzhou Dajing, Semiconductor Electron Beam Lithography Machine by Jiangsu Tiantuo, Chip package by Pizhou Wensheng, the high-resolution integrated circuit packaging lithography equipment by Pizhou University of Science and Technology, large-size wafer by Xiexin and the other projects. (China Electronic newspaper and Electronic Information Industry Network)
5. 100 projects contracted and launched in Jinjiang
On February 19th, Jinjiang held 100 projects signing and opening ceremony, Ecochip, HeJiaxin, Sanwuwei three major integrated circuit industry chain projects officially signed at the same time.
Ecochip was established in April 2012, and officially landed in the new third board market in November 2015. It is an optical communication enterprise for chip design. It has basically realized the localization of low-end products at present.
The project of Hejiaxin is for sealing materials. There is less public information about Hejiaxin, and online search shows that Fujian Hejiaxin Manufacturing Co., Ltd. was established in July 2018 and is still a "young" enterprise.
The company Sanwuwei comparing with HeJiaxin, it is even younger. According to the online record, Jinjiang Sanwuwei electronics Co., Ltd. was established in September 2018, its business scope includes the research and development of integrated circuits, electronic products and communication equipment production technology, integrated circuit design, information system integration services and so on. It is worth noting that the major shareholder of Sanwuwei is Fujian Anxin Industrial Investment Fund Partnership (limited partnership).
In 2016, Fujian Anxin Industrial Investment Fund (Limited Partnership) was established by ICF, Anxin Capital and Sanan Group. The Anxin Capital aims at 50 billion Yuan and the first phase is 7.51 Yuan, 70% of the fund will be invested in the III-V compound integrated circuit industry cluster and 30% balance will be in the semiconductor field dominated by the other integrated circuit industrial chains. It is ranging from design, manufacturing, sealed testing, materials, equipment and applications. The fund mainly supports to develop integrated circuit industries and high-tech industries such as semiconductors, it will build an integrated circuit industrial park in Fujian Province located in Jinjiang which is going to support Sanan Group and Sanan Optoelectronics or its affiliated enterprises to carry out mergers and acquisitions, new technology research and development, new production line and other business at home and abroad. (Jiwei info).
6. 23 projects involving Guangzhou National Chip launched in Guangzhou
On February 20th, Guangzhou High-tech Zone, Development Zone and Huangpu District held centralized signing ceremony for major projects. There were a total of 23 major projects signed and settled; the total investment was more than 100 billion Yuan. The project is involving in advanced manufacturing, artificial intelligence, a new generation of information technology and other fields, including Guangzhou national chip project.
According to reports, Guangzhou National Chip Project is funded by Suzhou National chip Technology Co., Ltd. The project plans to introduce NXP multi-core CPU technology and IBM's RAID memory control chip technology, on the basis of which plans to develop high-end embedded CPU technology and products, high-performance RAID memory cards, trusted storage servers and systems.
At present, Guangzhou has a number of integrated circuit design enterprises, such as Techtotop, Runxin, Silicon Core, NUFRONT, On-Bright, Anyka and so on, as well as a number of packaging and testing enterprises such as Fastprint, AKM, Fenghua Semiconductor, Nova Microelectronics and so on. It will fill the gap in chip manufacturing in Guang Dong Province. Now with the help of Suzhou national chip, Guangzhou integrated circuit industry will be gradually strengthened, it is initially constructed "chip design-wafer manufacturing-packaging testing-terminal application" as one of the operation mode. (China Electronic newspaper and Electronic Information Industry Network)