Samsung is experiencing an increase in chip orders to 14nm chips from Chinese companies.
Industry sources have revealed to Taiwanese website Digitimes that Samsung Electronics has experienced high demand for 14nm chips and even larger manufacturing processes. The orders are coming from numerous China-based companies that only have the ability to design the integrated circuits but do not have a factory to materialize them into a silicon.
After US sanctions, China orders 14nm chips from Samsung
Following the US administration’s ban on supplying silicon to Chinese companies, it now appears that the Chinese are turning to Samsung to circumvent this ban and continue to manufacture silicon. This is also because some of these Chinese factories themselves have been banned from using any equipment created in the US or having at least one component manufactured in the US.
- Samsung earnings rise due to Huawei and US problems
- US vetoes SMIC, China’s largest semiconductor manufacturer
- Analysis: Samsung to shut down production in China
Unfortunately, the Korean company has not taken a position on this issue. Although it is as simple as waiting for it to reveal the current quarter’s earnings at the beginning of next year to find out the contribution of Chinese customers to revenue levels during the fourth quarter of this year.