Establishing China's very own chip industry must come with definite efforts. Source: Shutterstock

Establishing China’s very own chip industry must come with definite efforts. Source: Shutterstock

China’s investment in chip technology is vital to advancing smart solutions

By | 24 October, 2019

LIU LIEHONG, Deputy Director of China’s Cyberspace Administration, has called for the integration of open-source chips with smart products in the country, but it is evident that China still needs to develop the industry.

Amid the trade war, China’s semiconductor industry is in the next phase of development with interest and investments in open-source chips on the rise because they power ‘smart technology’ products that drive homes, enterprises, and even the cities of tomorrow.

Further, as Liu explained recently, as the development of the internet of things, smart manufacturing, and artificial intelligence are accelerating, the market will see the rapid growth of various smart innovations.

Innovations in the country not only shift the dynamics of the digital economy in the country but also create an increasing need for affordable and reliable chips that can tailor to different solutions.

Liu also noted that an open-source chip architect in the market will contribute to reducing costs and break down barriers in the chip industry.

Definite measures and investment efforts are being made in order to help China to break into the global chip technology market, especially as experts forecast a 10-year journey for China to establish its own chip industry.

A couple of key players in the country — known for their innovation capabilities — have been making headlines recently for their achievements in homegrown chip technology to empower the industry.

However, the nature of the industry is such that development requires a fair bit of trial and error, indicating that more time is needed to truly establish China as an independent product maker.

Despite advanced robotics engineering, China must review its government incentives and they way they affect innovation efforts. Source: ShutterstockDespite advanced robotics engineering, China must review its government incentives and they way they affect innovation efforts. Source: Shutterstock

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The country’s advancements in integrated circuitry, however, is reaching new highs, particularly in the province of Zhejiang. Vice Governor Gao Xingfu told media recently that there is a clear mission to develop customized chips and promote local companies innovating in this space.

Adding on, Gao noted that the evolution and development of chip technology will elevate the country’s digital transformation posture. In the future, as more efforts are made to enrich China’s chip industry, it is hoped that new innovations will help the country build a mature digital society.



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