According to the export rules being revised in the US, as long as foreign companies use us chip manufacturing technology or equipment, they must obtain the permission of the US government to provide chips to Huawei and its subsidiaries. In this regard, Samsung Electronics and SK Hynix, which supply DRAM and NAND flash memory to China, will be affected.
However, South Korean media pointed out that tit for tat in the United States is unlikely to threaten the business between South Korean semiconductor companies and Huawei, because Samsung and SK Hynix can continue to supply chips to China by obtaining the license from the U.S. government.
Some industry experts say the pressure on the entire storage semiconductor industry will be limited. In contrast, TSMC and Chinas fabless foundry and OEM enterprises are expected to be hit.
According to the report, the US move is expected to make it difficult for Huawei to mass produce high-end Kirin processors through TSMC. Even if Huawei turns to SMIC, SMICs most advanced technology is only a 14nm process, which cannot meet Huaweis demand. Samsung, which also has five nanometers of technology, is stuck in US regulations and cannot make chips for Huawei.
In addition, some analysts said that Hisilicon is looking for a way to help itself, including the transfer of chip design technology. However, whoever takes over may become the next target of the US, which also means that the US encirclement and suppression plan does not seem to be over.