I can become stronger by paying salaries. I have one billion employees!

Chapter 499: 140 billion in the first phase, 200 million exclusive funds received! So I've become a horse bone?

Room 305A, Yanjing Conference Center.

Bottled water and neatly folded conference manuals were laid out on the long table, and the participating guests gathered in twos and threes to chat.

On the large LED screen directly in front, a line of text with blue background and white text is displayed: The First Integrated Circuit Industry Exchange and Promotion Conference.

Judging from the number of empty seats, half of the people have not yet arrived.

"Mr. Liu, in just five days, the global shipments of the Yaocheng X2 have exceeded 200 million units. If Huaxin International can secure the foundry order for the Tiangong A100 chip, it will surely be able to gain a foothold in the 28-nanometer process technology field."

He Boting of HiSilicon spoke to Liu Xunfeng of Huaxin International.

Have we gained a foothold?

What station should we use?

Liu Xunfeng awkwardly touched his cuff. If the other party hadn't been the president of Huawei HiSilicon, he would have already lost his temper.

Despite Huaxin International's claims that it has mastered the 28-nanometer manufacturing process, its yield rate is less than 30%, making commercial mass production impossible.

At least 80% is required to be considered acceptable, while TSMC's yield rate is 95%.

This demonstrates the gap between Huaxin International and the industry's top level in terms of process experience.

One is that it works, and the other is that it's easy to use.

Given Huaxin International's current capabilities, let alone securing the foundry business for the Tiangong A100 chip, it would struggle even to produce the Tiangong T100.

For example, the HiSilicon K3V2 and the upcoming Kirin 910 didn't even get a share of the profits from Huaxin International.

"Once Mr. He is willing to entrust the Kirin series chips to Huaxin International for manufacturing, I reckon that it won't be long before we get the manufacturing order for the Tiangong A100 chip."

After a moment's thought, Liu Xunfeng said meaningfully.

"Cooperation is easy to discuss. Once Mr. Liu improves the yield rate, HiSilicon will definitely be the first to support Huaxin International."

He Boting replied with a smile.

The conversation between the two reflects the relationship between domestic chip design and manufacturing, where neither side has any respect for the other.

He Boting believes that Huaxin International lacks experience in material selection and equipment parameter calibration, and its process level is relatively backward.

The same HiSilicon K3V2 chip can run stably when manufactured by TSMC in Taiwan, but it has serious overheating problems when it is manufactured by Huaxin International.

Huawei doesn't not want to support Huaxin International; it's just that Huaxin International is incapable of providing support.

Liu Xunfeng believes that the performance of HiSilicon chips is just so-so: the architecture uses ARM technology, the baseband still needs to be externally attached, and they would rather give orders to TSMC in Taiwan than share them with Huaxin International.

This situation of each department acting independently is precisely why the higher-ups immediately launched this exchange meeting after completing the preparations for the first phase of the National Integrated Circuit Industry Investment Fund.

Inside the conference hall, conversations rose and fell.

In the chip manufacturing field, in addition to Huaxin International, leading companies such as Huahong Grace Semiconductor, CR Microelectronics, Jiangcheng Xinxin Semiconductor, and Silan Microelectronics were also present.

In terms of chip design, companies such as Spreadtrum, Allwinner, and Rockchip were also among those invited.

In the semiconductor equipment and materials sector, companies such as Naura Technology Group, Shanghai Cheng Microelectronics, Jiangfeng Electronics, and Shanghai Silicon Industry are involved.

Representatives from JCET Group, Tongfu Microelectronics, Huatian Technology, and ChipMOS Technologies were present during the packaging and testing phase.

Overall, China's semiconductor industry in 2013 was still in the catch-up stage.

Manufacturing relies on SMIC and Huahong, with processes lagging behind by two to three generations; design is represented by HiSilicon and Spreadtrum, but high-end chips still need to be imported; the equipment and materials market is monopolized by European, American, Japanese and Korean companies, while local companies such as Naura Technology and AMEC are just starting out.

Only in the field of packaging and testing is the technology relatively mature, and companies such as JCET and Tongfu Microelectronics have already achieved considerable competitiveness.

Of course, now another company, Tiangong Technology, has emerged!

First, they launched the Orange Z1 instruction set, followed by the Tiangong T100 and Tiangong A100 chips. These three products have all received good market feedback in their respective fields.

Even Amazon, the North American e-commerce giant, chose to equip its Echo smart speaker with the Tiangong T100 AI dedicated chip after comparing various options.

Many people are well aware that it was the emergence of Tiangong Technology that accelerated the introduction of relevant policies for the National Integrated Circuit Industry Investment Fund (Big Fund), and everyone present benefited from it.

“Thump, thump, thump—!”

At that moment, clear footsteps could be heard from the entrance.

Wang Chaoxin, chairman of JCET Group, who was sitting next to the door, subconsciously looked up.

A tall, well-built young man, dressed in a black suit, strode in.

He was accompanied by a person on each side. The person on the left was a foreigner in his forties, and the person on the right was a Chinese man in his thirties. They both had a strong scholarly air about them and were clearly R&D personnel rather than managers.

Chen Yansen!
Founder of Tiangong Technology!
In an instant, the conversation in the conference hall came to an abrupt halt.

All eyes turned to Chen Yansen.

"Mr. Chen!"

He Boting was the first to react, and quickly stood up, greeting him with a beaming smile.

Liu Xunfeng of Huaxin International thought for a moment and then quickly followed.

"Mr. Chen, it's a pleasure to meet you!" Liu Xunfeng greeted him first, and when he saw Chen Yansen extend his right hand, he took the initiative to shake it.

"Mr. He, Mr. Liu!"

Chen Yansen smiled slightly and briefly introduced the identities of Michael Keller and Wu Shengyu.

Liu Xunfeng and He Boting each brought a top-notch electronics engineer or chip R&D engineer with them.

Chen Yansen's eyes lit up, and he immediately had the idea of ​​poaching someone from the company.

Today, Michael Keller is in charge of R&D for the high-end market of the Tiangong A series, while Wu Shengyu is in charge of the mid-to-low-end market. However, their business scope is still focused on the consumer electronics chip field, mainly used in mobile phones, computers and other devices.

However, in the fields of home appliances, game consoles, and automobiles, there is currently no such market.

"Mr. Chen, let me introduce you to some new friends. These are all pillars of our industry."

He Boting was extremely enthusiastic, and after speaking, he led Chen Yansen inside.

Seeing this, the group of people didn't dare to sit in their seats with their usual composure.

After all, Chen Yansen had just topped the Forbes Global Rich List and possessed cutting-edge technologies such as the Orange Z1 instruction set, Tianhe architecture, Xuanshu architecture, and Hongyan baseband, which made them dare not underestimate him.

One by one, they quickly stood up, smiles on their faces.

"This is Mr. Zhang from Huahong Grace Semiconductor. They have been deeply involved in the chip manufacturing field for many years, focusing on 8-inch wafer foundry and specializing in embedded storage and power devices."

The man next to me is Mr. Li, General Manager of Naura Technology Group. As a core supplier of semiconductor equipment in China, their business mainly focuses on etching and thin-film deposition equipment.

He Boting spoke as he walked.

"Mr. Chen, I've heard so much about you!"

"Mr. Zhang, Mr. Li, it's a pleasure to meet you! I hope we can have more opportunities to cooperate in the future."

Chen Yansen responded to each question. He Boting was very considerate during the introduction, focusing on the other party's strengths.

Although she has a technical background, she has worked in management positions at Huawei and HiSilicon for more than a decade. Even her sharp edges have long been smoothed out and made more considerate.

Liu Xunfeng, standing to the side, added at the opportune moment: "Wang Chaoxin, the general manager of JCET Group, is truly capable of winning tough battles in the packaging and testing field. Last year, he secured a large order from Qualcomm, and his market share ranks sixth globally."

As they were speaking, Wang Chaoxin took the lead in extending his hand and said, "President Chen has made Tiangong Technology a great success at such a young age, especially with the Tiangong A100 chip, which has greatly enhanced the reputation of China's semiconductor industry."

"You flatter me, Mr. Wang," Chen Yansen said politely, shaking his hand.

JCET's packaging technology is indeed among the best in China, and establishing good relations in advance will be beneficial for future cooperation.

After exchanging a few pleasantries, Chen Yansen glanced around at the technical team behind everyone.

He silently memorized several faces, and the smile on his lips deepened.

It seems that this exchange meeting will not only allow us to explore industry trends and obtain subsidies from higher levels, but may also help us recruit some outstanding talents for Tiangong's new business.

Talent is mobile; what's wrong with people flowing from other companies to Tiangong Technology?
Mr. Chen is kind-hearted and can't bear to see these people waste their lives, because only by following him can they have a bright future.

At this moment, Chen Yansen was surrounded by a group of tycoons with assets of billions or tens of billions, like a star being surrounded by the moon.

It wasn't until 9:50 that the relevant personnel from the China Association of Industry and Information Technology and the China Business Association slowly entered the venue.

The middle-aged man at the head of the group, wearing a white shirt and a light gray jacket, walked straight to the center of the conference area and took his seat.

He was in his early fifties, of medium build, with a round face and glasses perched on his nose.

"I am Dai Zhenyu from the China Association of Industry and Information Technology. I have invited everyone here today to discuss the development plan of China's integrated circuit industry."

Integrated circuits are the core of the information industry, and also a fundamental and strategic industry supporting the national economy and national security.

In recent years, although my country's integrated circuit industry has made great progress, there are still obvious shortcomings in key technologies and the self-sufficiency and controllability of the industrial chain.

Especially in areas such as advanced manufacturing processes, high-end equipment, and materials, there is still a significant gap compared to international leading levels.

After a brief pause, Dai Zhenyu continued, "In order to accelerate the development of the industry, the state has decided to establish an integrated circuit industry investment fund, with an initial fundraising of 1400 billion yuan, which will focus on supporting key links such as chip manufacturing, design, equipment and materials."

It was obvious at a glance that Dai Zhenyu was a veteran who had worked his way up in the Central Secretariat for many years. Even his opening remarks were as rigorous as an official document, and his tone remained calm and unhurried throughout.

Chen Yansen sat in the first row, automatically filtering out 99% of the information, only catching the words "1400 billion" in his ears.

He came to Yanjing just to collect money!

Dai Zhenyu took a breath and then explained the allocation plan for the funds: 60% of them would be used for equity investment, that is, capital layout.

Simply put, if a company is short of money, they can directly invest in it, allowing you to use that money to upgrade equipment, replace production lines, and attract talent with high salaries.

The remaining 40% will be allocated to the '01 Special Project' fund pool, which aims to promote the research and development of key processes through grants without compensation, with the goal of achieving technological breakthroughs.

Take Huaxin International as an example. As long as they can overcome the yield problem of 28-nanometer process technology, they can immediately receive a reward of 5 million yuan. This reward does not require any return; they only need to pass the technical acceptance test.

In addition, the National Integrated Circuit Industry Investment Fund (Big Fund) will also provide a certain percentage of rebates to companies for their hardware investments in chip manufacturing equipment, cleanroom construction, and other areas.

In summary: as long as there is the capability, the government will provide substantial financial support.

The business representatives in the audience listened with great enthusiasm.

1400 billion!

Who wouldn't want a piece of the pie?

However, some people secretly wondered: Will the process of applying for the reward be smooth?

Will anyone encounter any problems with the paperwork?
Dai Zhenyu seemed to see through the thoughts of these people and changed the subject: "Since its establishment, Tiangong Technology has achieved remarkable results in the field of chip design. It has not only produced domestic technical architectures in the fields of CPU and GPU, but also won a part of the market for China with Tiangong T100 and Tiangong A100."

Therefore, we have decided to grant it its first targeted grant of 2 million yuan.

2 million?

Chen Yansen was slightly taken aback, and a smile appeared on his face.

Before he could even warm up the seat he was sitting in, he had already received 2 million yuan?
Thousands of gold to buy horse bones!
It has to be said that this tactic was very effective.

The guests at the scene were instantly aroused.

Chen Yansen chuckled to himself, thinking: Have I become a typical example?

He was no stranger to this.

Whether it was FoxTao or Pinbei in its early stages, he used a similar approach: first create a classic case to make merchants across the country understand one thing: come and make money!

Dai Zhenyu had a similar idea: to award Tiangong Technology 2 million yuan in cash, thereby attracting more companies to increase their investment in the semiconductor market.

"The development of integrated circuits cannot be separated from the joint efforts of everyone present. The China Association of Industry and Information Technology will work closely with the China Business Association and the China Association of Science and Technology to provide enterprises with comprehensive support in terms of policies, funding, and talent."

Dai Zhenyu's speech ended quickly.

Subsequently, a representative from the business association took over the conversation and provided a detailed introduction to the scope and distribution methods of the subsidies.

By the time the two finished speaking, it was already 10:30 a.m.

Next was the Q&A session, where entrepreneurs who were unclear about the Big Fund's operating model could ask questions one by one.

Chen Yansen was multitasking, secretly pondering: how much impact would 10 million Tiangong A100 chips a year have on Qualcomm and MediaTek's businesses?

If Qualcomm takes action and forces TSMC to cut off its production capacity to Tiangong Technology, which foundry should Tiangong Technology turn to?

Mountain Star?

Although it is worse than Huaxin International, its process technology is still inferior to that of TSMC in Taiwan.

As for Huaxin International, it is not currently under his consideration.

If the yield rate is too low, either Huaxin International will have to supply it at a loss, or Tiangong Technology will have to pay more than three times the cost.

He and He Boting shared similar thoughts: they wanted to offer support, but lacked the means to do so.

An hour later, the morning meeting was suspended, and staff delivered hundreds of administrative lunch boxes.

No lunch was arranged.

Chen Yansen took the boxed lunch; it was quite heavy. When he opened it, he was greeted by a dazzling array of dishes, which turned out to be quite plentiful.

Potato and carrot stew with beef may seem like a simple home-style dish, but the ingredients are cut into neat squares and cooked with great care.

In addition, there are stir-fried seasonal vegetables, steamed eggs, celery and shrimp, buttered matsutake mushrooms, black pepper fish fillets, three-yellow chicken, and corn pieces.

Not counting the rice, there were eight dishes alone.

It's also called a boxed lunch, but the size of this one probably costs more than 200 yuan.

Chen Yansen has never been afraid of hardship; a boxed lunch is fine, he'll make do with it.

At 2 p.m., just as he was about to go and chat with Wang Chaoxin, the chairman of JCET Group, he saw Dai Zhenyu wave at him.

(End of this chapter)