Industry sources report Huawei is recruiting lithography machine technicians on a large scale. This may mean that Huawei may intend to develop its own chip manufacturing technology without relying on third-party suppliers.
Under US sanctions the lithography machine giant ASML stopped supplying EUV lithography machines to SMIC. In May of this year, the United States increased its sanctions on Huawei Semiconductor and forbids all semiconductor companies that use US technology to supply Huawei. The move impacted Huawei cooperation with TSMC.
Before that, Huawei had already moved to assure higher supply chain independence through supply chain vertical integration and diversification of business activities.
HiSilicon (Huawei’s subsidiary) is still expanding and will not consider downsizing for the time being. Instead, it is actively looking for foundries to create a design and manufacturing integration. IDM
The world’s most advanced chip manufacturing process is firmly in the hands of a few companies such as TSMC and Samsung. Mainland China does not have much say in the field of advanced chip manufacturing.