SMIC has been forced to focus only on DUV technolog, and take that as far as it can go. That’s not bad for the short term. DUV is actually just as good if not better than EUV for the nodes they’re working on.
TSMC is putting a lot of their R&D into next generation technologies like EUV, backside power, advanced packaging/chiplet stuff, glass substrates etc
I’m not sure SMIC will be able to keep up when these efforts bear fruit. Eventually they’ll need EUV to unlock further progress.
SMIC has been able to poach talent by throwing mountains of money at them. This might not be possible going forward. Not being able to work on EUV could be career suicide, and I’m not so sure China can be so frivolous with their money anymore. They have to start raising taxes to compensate for the loss of land lease revenue.
TSMC is putting a lot of their R&D into next generation technologies like EUV, backside power, advanced packaging/chiplet stuff, glass substrates etc
I’m not sure SMIC will be able to keep up when these efforts bear fruit. Eventually they’ll need EUV to unlock further progress.
SMIC has been able to poach talent by throwing mountains of money at them. This might not be possible going forward. Not being able to work on EUV could be career suicide, and I’m not so sure China can be so frivolous with their money anymore. They have to start raising taxes to compensate for the loss of land lease revenue.