TrendForce, a renowned market intelligence firm, has recently shed light on Huawei’s strides in semiconductor technology, particularly in AI processors. Huawei, leveraging its HiSilicon division, is reportedly developing a new AI processor using SMIC’s N+2 fabrication technology. This technology is speculated to be equivalent to a 5nm process node, a significant leap given the current U.S. sanctions.
Huawei has already demonstrated its capability to innovate in the face of restrictions, having successfully mass-produced the HiSilicon Kirin 9000S processor with its 7nm process. The move towards a 5nm node with the new AI chip marks another significant milestone. Despite challenges, Huawei is determined to maintain its competitive edge in the semiconductor industry.
Huawei’s expansion into smartphones has directed a significant portion of SMIC’s manufacturing capacity towards consumer markets. This focus may limit the availability of resources for AI chip production. Additionally, U.S. blacklisting of SMIC poses challenges in obtaining advanced chipmaking tools and spare parts, potentially impacting production volumes.
Huawei’s Ascend 910B chip, designed for AI workload acceleration, has shown performance on par with Nvidia’s A800/A100 processors. Although it differs in software compatibility from Nvidia’s CUDA, making adoption slower, the Ascend 910B remains a competitive offering in AI processing.
Huawei’s Ascend 910B is not only a cornerstone of its cloud services but also a key component for other major Chinese companies. Baidu and iFlytek are among the notable enterprises leveraging this technology for their AI servers and large language model projects, respectively.
The tightening of U.S. sanctions has spurred Chinese cloud service providers like Baidu and Alibaba to intensify efforts in developing their own AI chips. Baidu’s Kunlunxin and Alibaba’s Hanguang 800 are examples of this growing trend, highlighting the shift towards self-reliance in semiconductor technology.
Despite impressive progress, Chinese chip designers face substantial hurdles due to sanctions limiting access to advanced electronic design automation (EDA) tools necessary for leading-edge nodes. This situation poses significant long-term challenges for China’s semiconductor ambitions. Nonetheless, the country remains steadfast in its pursuit of technological advancement in the global tech race.
