This move aims to overcome limitations hindering Huawei's progress in artificial intelligence and high-performance computing (HPC) fields.
Huawei and its suppliers are reportedly advancing HBM2 memory technology, crucial for Huawei's Ascend series processors' AI applications.
By investing in domestic HBM production, Huawei seeks to ensure a stable supply chain for these critical components, reducing dependence on external suppliers.
The HBM industry is fiercely competitive, with heavy investments from companies like Samsung and SK Hynix. SK Hynix notably announced a $1 billion investment in advanced packaging facilities.
As a SK Hynix vice president stated, "The first 50 years of the semiconductor industry were mainly about the front end," referring to chip design and manufacturing, "but the next 50 years will be about the back end," namely packaging.
