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SMIC urges China’s chipmakers to embrace advanced packaging as Moore’s Law slows nanometre node progress and US sanctions bite

  • The remarks could signal a shift in focus at the Shanghai foundry which has seen its chances of closing the tech gap with bigger rival TSMC hurt by US sanctions
  • Analysts said SMIC will need to combine IC packaging and wafer foundry expertise to remain competitive in the industry

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SMIC vice-chairman Chiang Shang-yi wants Chinese chip makers to focus on advanced packaging technologies. Photo: Handout
Che Panin Beijing

Chinese chip makers should focus on developing advanced packaging technologies to overcome their weakness in nanometre process nodes, according to Chiang Shang-yi, the former TSMC R&D director recently recruited by Semiconductor Manufacturing International Corp (SMIC).

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Chiang, SMIC’s executive director and vice-chairman, said future breakthroughs for the country’s integrated circuit (IC) manufacturing industry would come from advanced packaging techniques that can cram more circuits into smaller packages, a necessary requirement as Moore’s Law inches towards its physical limits.

The remarks, Chiang’s first in public since joining the company in December, could signal a shift in focus at the Shanghai-based wafer foundry which has seen its prospects for closing the technology gap with much bigger rival Taiwan Semiconductor Manufacturing Co (TSMC) dimmed by US sanctions.

Last year, Chiang resigned from a failed Wuhan chip fab, calling it a “nightmare” experience, and was recruited soon after by SMIC. After retiring as TSMC’s R&D director, he stayed on to head up a speciality chip packaging business that was acquired by the Taiwan foundry giant.

Chiang’s comments were made at the closed door China IC Conference earlier this month and first reported over the weekend by Moore News, a Chinese semiconductor industry website that was the official media partner of the event.

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SMIC did not immediately reply to a request for comment.

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