I think many of us have our own impressions (and ideas) about the Chinese semiconductor industry...some of them are old-fashioned (based on the old information) and others could be plain false.
When I met with Jian-Yue Pan at Synopsys in Beijing, I myself discovered a lot of things that I didn't know before. Jian-Yue has a knack of telling a story in a very smart, cohesive way. The interview was very informative and educational.
I will finish writing the part two of this story soon.
Great article and perhaps timely in regard to the unsolicited efforts of CY to force a change of control on Ramtron. I know Ramtron does business in China and other Asian locations but do you think any of China's semi companies would look at Ramtron as a possible tarket?
I look forward to your follow-up article.
I dunno, Junko. There's no doubt in my mind that a country with a population of 1.2 billion people can compete in just about anything they please. My only question is, why did it take "Policy 18" from the central government to get anywhere?
I shudder to think that there are people here, in the West, who will take from this that we must also wish for our governments to write our own "Policy 18s" for us.
As of now, the way they are apparently growing is what our labor union leaders here would term "on the backs of the workers." Hence the long work weeks and the dorm lifestyles. There's no such thing as a free lunch.
One thing too. My reaction to news sources that perpetually lack an element of self-criticism is disbelief. This struck me during the Beijing Olympics, actually.
"[Chinese fabless companies] are too big to be small, but too small to be big." In other words, "If they can’t continue to grow, evolving into firms that dramatically change their marketplace or define a new category, they have to either stay small or sell to a larger company. Otherwise, they are going out of business within the next two years."
It sounds like China will recapitulate the US market, for the same reasons.
One thing that occurred to me in watching many US startups was that were I them, my business plan might just be "Establish myself as a competitor with a compelling technology, and position myself to be acquired by a bigger, better heeled outfit that would find it easier to buy me than to develop the capacity in-house to do what I do." Growing big enough, fast enough, by myself to remain independent and compete and compete might just not be possible.
I expect to see such acquisitions taking place in China in the not too distant future.
GigaDevices. I love it when I hear a name for the first time. Piques my curiosity.
I liked Pan's history, too, but I have heard about some bumps along this path post IPOs as well. More stories to tell!
My comment may link to another story you recently did on China.... Just today we had a Chinese customer here to inquire about having us do 2 ASIC chips for them. We were honest and told them they could probably get it done in China for a lot less. When we asked, "why us?", their answer was a straight forward "because you won't steal our idea."
It will be interesting to see how it all pans out (no pun intended).
so the next trend Junko might want to take note is how those chinese semis are picking up moral values these years.
ie. smic is copycating mostly TI's ethics, HW should have some moral as well..
oh no, maybe Junko is not good at writing about ethic/moral topics...
Quick... someone needs to tell them that Libertarian principles dictate that their success is an illusion. South Korea as well. Obviously Samsung is a house of cards about to crumble due to the level of government industrial policy over the years in South Korea.