"When Qualcomm chips go up to 1,400, or even more expensive, the money you make from selling a domestic mobile phone is not as much as the money Qualcomm makes from one chip."

"Similarly, in the future, Samsung's A-screen monopoly on the high-end screen market will rise to thousands of dollars, and they will make more money than mobile phone manufacturers."

"And we, the mobile phone manufacturers, are just wage earners who help Samsung and Qualcomm make money."

Everyone's expressions darkened, but they had to admit that this was very possible.

Qualcomm and Samsung have a monopoly on high-end components and have pricing power!

Wang Yi continued:

"If domestic companies want to change this status quo, get rid of their status as wage earners, want to make more profits, and want to keep all the profits in the country and leave them to domestic companies, they must make a comprehensive breakthrough! Like Xingyi Technology, we can realize chip autonomy.

Research, and even self-produced chips, so that the profits of the chips can be retained in China."

"We must also achieve breakthroughs in high-end screens like Samsung and keep hundreds of dollars of screen profits in China."

"There are also lens modules, etc. If you want to make more money, you have to break through them one by one."

Everyone nodded, this is indeed how it should be!

"Only by achieving a comprehensive domestic breakthrough and fully replacing European, American, Japanese and Korean giants can we keep profits in the country, get rid of our status as workers for foreign giants, and stop helping them make money and start making money for ourselves."

Wang Yi continued: "Then the problem is, once we make breakthroughs in domestic production, completely replace the components of international giants, and keep profits in the country, then international giants such as Qualcomm, Samsung, Sony, etc. will have less profits and less income.

Some giants will even go bankrupt."

"The reason is simple. The cake is limited. The more we eat, the more they lose, and they will eventually starve to death and go bankrupt."

"Europe, the United States, Japan and South Korea cannot accept this."

"To this end, they will launch a technological war to completely block us, suppress us, and contain our rise."

"Let us continue to be their wage earners, continue to make money for them and help them work."

"For this reason, they will use various means to suppress us."

"For example, a chip company has achieved a technological breakthrough and developed excellent mobile phone chips, which are manufactured in large quantities by TSMC. The company's chip performance surpasses Qualcomm, and the price is cheaper than Qualcomm and Samsung. As a result, it has grabbed a large number of customers and customers from Qualcomm and Samsung.

Orders and huge profits.”

"As for Qualcomm and Samsung, both their order volume and profits have plummeted, and they have suffered heavy losses."

"This made Qualcomm very angry and began to suppress the chip company!"

"But in legitimate business competition, if they are not opponents, what will they do?"

A professor at the scene spoke:

"If you can't beat head-on competition, they will use special means."

"Yes, this is the other party's typical routine, which has been tried and tested repeatedly.

After a period of investigation, they will use trumped-up charges to ban the domestic chip company and restrict TSMC, Samsung, Intel and other companies from manufacturing for them!"

“Without OEM, no matter how powerful the chips developed by the domestic chip giant are, they cannot be mass-produced, and they will be completely ruined.

It’s hard for a clever woman to make a meal without rice.”

"..."

The atmosphere at the scene was somewhat depressing, and everyone fell into silence.

But some people also question:

"Will they be so messy? And TSMC, will Samsung listen?"

Wang Yi smiled: "I think everyone knows whether they will act recklessly. Such things happen all the time."

"As for TSMC, will Samsung listen? That's for sure. Even TSMC uses a lot of core technologies from the United States. If it dares not to listen, they can sanction TSMC together. As for Samsung, let alone the major shareholders.

It’s the American imperial consortium.”

Everyone nodded, and Wang Yi continued: "In order to change this situation and break through the blockade, the company worked hard and invested all the money earned from other businesses into the research and development of chip production processes, the construction of wafer factories, and the purchase of equipment..."

"Huangtian has paid off. Finally, the chip company has achieved self-production of high-end chips."

"Even if TSMC, Samsung, and Intel don't provide OEM services, the chip company can develop and produce it on its own!"

Everyone at the scene laughed and suddenly realized: "This certain company is none other than Xingyi Technology!"

"Yes, only Xingyi Technology has realized the 28nm process and can mass-produce 28nm chips, otherwise it will not be able to withstand this kind of ban!"

"Yes, Xingyi Semiconductor has achieved self-development and production of 28-nanometer chips. It has made breakthroughs in 28-nanometer packaging and testing technology. It is difficult to block it."

Wang Yi sighed: "The ideal is very full, but the reality is very skinny."

"This company has achieved self-development and self-production of 28-nanometer chips. Seeing that it cannot block the chip production process, will it bow its head and admit defeat? Will it give up the blockade?"

"No, absolutely not!"

"On the contrary, they will intensify their efforts."

"Since chip R&D and chip mass production cannot be blocked by each other, they will turn to blocking at the wafer level, such as blocking large silicon wafer channels!"

"The simplest, 12-inch large silicon wafer is the basic material for 12-inch wafer fabs and the basic material for chip production."

"At present, we are not able to produce 12-inch large silicon wafers by ourselves. We can only import them from Europe, the United States, Japan and South Korea."

"Once the other party blocks 12-inch large silicon wafers, not only will the company's chips be unable to be produced, but all 12-inch wafer fabs will have to shut down!"

Hearing this, everyone's expressions changed, and the atmosphere became extremely depressing.

This kind of thing happens too easily.

Once the technology war starts and once 12-inch large silicon wafers are banned, all the wafer factories in the mainland will be in trouble.

Wang Yi continued: "However, the company still refuses to admit defeat and continues to invest heavily in research and development."

"Although large silicon wafer technology is difficult, after several years of research and development, we have made a breakthrough and achieved self-production of large silicon wafers. We have once again broken the blockade and continued to conduct self-research and production of high-end chips."

"But Europe and the United States will not give up. Seeing that large silicon wafers cannot be blocked, they will continue to increase their efforts and block photoresists. We also have a technological blank for the high-end photoresists required for the 28-nanometer process and are completely dependent on imports."

At this moment, everyone in the entire conference room frowned.

Breakthroughs in these high-precision industries are very difficult.

Otherwise, it would not be in a blank state until now.

Wang Yi sighed and continued: "Even in a few years, our high-end photoresist will have a breakthrough, and there will be a ban on EDA industrial software later."

"Once the other party imposes restrictions on EDA industrial software, our chip production will also have to stop."

"This thing is very critical. We are all using European and American EDA industrial software. If they want to stop licensing us, we will be in trouble. There is no doubt about it."

"To this end, we are also developing EDA industrial software and trying to make breakthroughs."

"Even if photoresist and EDA industrial software have achieved breakthroughs and have been domestically produced, they still have a big killer - photolithography machines. They restrict us from importing high-end photolithography machines."

"At this step, Xingyi Technology is really helpless."

"Lithography machines, tens of thousands of upstream and downstream industry chains, each is a cutting-edge industry. No matter how powerful Xingyi Technology is, it is not a god. It cannot deploy all tens of thousands of cutting-edge industries and make them all reach the world's first-class level."

"This is a myth, something that is simply impossible for a company to do."

"So, once the other party launches a technological war and completely blocks us, it will be difficult for us to resist."

"For this reason, we can only stock up on some photolithography machines in advance."

"But unfortunately, what we buy now are old DUV lithography machines. The latest 1970i lithography machines are difficult to buy. These old lithography machines can be used at 28 nanometers and 20 nanometers, but in the future we will reach 10 nanometers.

Below, it won’t be used.”

"If you want to achieve 7 nanometers, you need multiple exposure technology and the latest 1970i lithography machine."

"In other words, the lithography machines we buy now can support the 10-nanometer process at most. In five or six years, Europe and the United States will enter the node below 7 nanometers. By that time, we will still be behind."

"To reach 7 nanometers, unless we achieve a breakthrough in domestic high-end DUV lithography machines. If we want to achieve cutting-edge processes below 7 nanometers, we need to break through EUV lithography machines. Otherwise, we have no chance of winning."

"But whether it is a high-end DUV lithography machine or an EUV lithography machine, it is not something that one company can do. Even so far, no country can do it alone."

"So it is difficult for us to win this technological war. The most we can do is adopt a series of countermeasures and make the other party pay a heavy price."

Wang Yiyue said, his face became more solemn.

The expressions of the people in the room were extremely complicated.

How could they not know that Wang Yi was not an alarmist at all.

But there is a real problem!

Mr. Zhao said: "Dr. Wang, how do you think we can achieve breakthroughs in high-end DUV lithography machines and EUV lithography machines?"

Wang Yi replied: "There are tens of thousands of high-precision industries in lithography machines. If you want to make a breakthrough, you need two major prerequisites."

“The first major premise requires the entire industry chain!”

"At this point, we are the only one with the entire industry chain."

"But the entire industry chain is just the beginning. There is also a second major prerequisite, which is tens of thousands of upstream and downstream industry chains, many of which are high-precision industries. They must be fully deployed and even lead the industry."

"Especially for EUV lithography machines, only Zeiss can currently produce the optical lenses required, and no one else can achieve it. There is also EUV photoresist, which only Neon can currently produce."

"And if we want to catch up, we can only lay out the entire industry chain and make breakthroughs in the entire industry chain!"
To be continued...