According to Mubadala’s September 2016 first half financial report, its semiconductor technology division (mainly Global Foundries) net loss of $ 1.35 billion, compared with the first half of 2015, a substantial increase in net loss of 67% , More than 2015, the annual loss of 1.3 billion US dollars.
Global Foundries was founded in 2009, split from AMD, the United Arab Emirates Abu Dhabi Advanced Technology Investment Company (ATIC), now the Mubadala Development Corporation (Mubadala) joint investment in the establishment. Since its creation, Global Foundries net profit margin is always negative, the first half of 2016 is the bottom, to -54%. As the core research Gu Wenjun analysis, a huge R & D investment, expensive equipment and depreciation costs for Global Foundries, like a snowball in general, more and more. In more than 20 billion US dollars, do not invest, then come to naught; re-investment is still earnings no period. Global Foundries is actually caught in a vicious cycle. uln2308
As the world’s third largest foundry, as of June 30, 2016, Global Foundries total assets of 20.3 billion US dollars, total liabilities of 4.3 billion US dollars, equity ratio of about 27%, could not help people on the prospects of Global Foundries worried . In technological innovation, Global Foundries year after year have also been frustrated. In the screwed 28nm, even proud of the 14nm process, it is not independent research and development but by Samsung authorized, can not help but allow the industry to its own R & D capability has been criticized. Recently, Global Foundries suddenly jumped 7nm R & D process, compared with other rivals, “pie” type adventure is still uncertain.
In recent years, China’s rapid development of the semiconductor industry, the design company is a meteoric rise, the status of the global semiconductor industry has become increasingly important. Coupled with the State Council promulgated the “Industry Promotion Program”, announced the establishment of large funds for the IC industry to create a positive environment. In order to avoid the formation of China’s domestic semiconductor industry after the climate was excluded from the Chinese mainland market, the semiconductor manufacturers have recently set up factories in mainland China to actively layout, hoping to carve up this big cake. bul6802
For the plight of the Global Foundries is more like a “life-saving straw” in the country to discuss several cities were rejected, with a municipal government signed a memorandum of cooperation in the local joint venture set up factories. Compared with other direct competitors, taking into account the Global Foundries joint venture approach, almost no introduction of the most advanced process technology, so that its competitive advantage gone. “Its own” Global Foundries hopes to rely on the Chinese mainland market “back to life” or through the “Fudge” to sell a good price, we can imagine the challenges are far greater than the opportunities. And from the signing of cooperation has been more than four months, has not made any new progress, so that 2017 is scheduled to put into operation has also become unknown.
Integrated circuit is the country’s “basic, pilot, strategic” industry, the importance of self-evident. The State Council promulgated the “Outline” also clearly to “focus on resource breakthroughs” is to prevent the policy introduced after the industry overheating phenomenon, to avoid duplication of low-level construction. According to the International Semiconductor Association (SEMI) 6 at the end of June released the past two years, the global wafer fab forecast report, 2016-2017 years, the comprehensive 8-inch, 12-inch factory, to determine the new fab there are 19, of which China Accounted for 10 seats. With the increasing concentration of the industry, the risks and challenges are also increasing.
At present, many local governments to invest a lot of financial and human resources, the blind development of the integrated circuit industry, hoping to stimulate local GDP. However, with the taxpayer’s hard-earned money to foreign companies throw Hydrangea, and ultimately fierce competition with domestic enterprises, just in the high-speed development of China’s semiconductor industry may not be a good thing. This year, the state has introduced a major decision-making life-long accountability, before many local governments in order to “face project”, the ultimate cause of huge losses is still vivid in my mind, the current must not “ill”. Otherwise not only easy to make their own huge financial risk share, facing administrative responsibility; also hindered the country to vigorously support the domestic semiconductor industry consolidation and development of large steps, and the mainstream ideas run counter to.
