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"Today, we don't have a single Kirin chip shipped, and our sales volume in the third quarter of 2022 is about 1.1 billion."
Huawei's rotating chairman Xu Zhijun revealed the latest sales of Huawei's Kirin chips, which made Huawei fans feel distressed.
Originally, Kirin chips have always been regarded as Huawei's biggest hard power, but as Huawei had to terminate the cooperative relationship with TSMC, Huawei's Kirin chip sales have also completely zeroed.
Briefing on U.S. sanctions.
In the face of the extreme sanctions imposed by the United States, Huawei will inevitably be greatly affected, the so-called "rats save lives, not food", why can the United States issue such extreme sanctions on Huawei?
The first fuse of the extreme sanctions of the United States this time is the Kirin chip, followed by the Huawei mobile phone.
The United States is a big country, and any well-known mobile phone manufacturer in the world can not be compared with the United States, in the case of this extreme sanctions, Huawei can not use American chips, in addition to Huawei Kirin chips, the rest is only Samsung's chips.
Even other mobile phone manufacturers can't use Huawei chips, and Huawei mobile phones use Kirin chips without Huawei chips and the approximate price has dropped by 300, which has caused other mobile phone manufacturers to have no one to care about their mobile phones.
Secondly, the extreme sanctions of the United States are caused by Huawei's 5G technology, as Huawei's 5G technology becomes more and more advanced, the 5G technology produced by the United States has no time to compare with Huawei, far behind.
In order to get rid of the United States, Huawei has to import chips from ZTE, and if 5G technology falls into the hands of Huawei, then it will cause huge losses to the United States.
What's more, the United States cannot independently develop in this area, if the United States wants to go down this road again, or use means to force China to publish chip technology, but China will not agree.
Therefore, the United States has imposed extreme sanctions on Huawei on the grounds that "Huawei threatens national security", and this set of mines not only wants Huawei to be dissolved, but even Huawei's existing technologies need to be published and allowed to be made public by the United States.
However, in order to save itself, Huawei announced three technologies in the field of blockchain technology, which freed Huawei from the clutches of US sanctions, because Huawei has announced enough of these technologies, but the United States still does not let Huawei go.
This time the United States does not disclose the technology so small, the United States needs the name Huawei brand, the great advantage of the name Huawei needless to say, there are almost no people in the world who have heard of the name Huawei.
There are in China, there are also abroad, this name can even be read by children for a day, not to mention the Huawei brand, in fact, the Huawei brand and name are already very rare.
As the saying goes, the more well-known the other party wants, and any treasure that has never been seen can be held in the palm of the hand, but Huawei also wants to get rid of this name, because it is forced to be helpless no matter what.
Why doesn't he want this name, you think about it, under normal circumstances, no company would want to be watched its own company go bankrupt, but Huawei is ready to say that "the ship will naturally go straight to the bridge".
However, this does not mean that Huawei will give in, in addition to the relevant technology, Huawei also needs to hand over its employees, and these personnel are also very powerful.
Among them, there are some R&D personnel, who have started R&D work in 2016 and 2017, and it is time to harvest in 2019, and even these personnel have to worry about being captured by the United States every day.
It can be said that this extreme sanction will not only hurt Huawei's vitality, but also affect China's entire chip industry.
What is the reason for the sharp drop in Huawei's sales?
Each generation of Kirin chips is a course, from the first generation to the fifth generation, the technology of each generation of Kirin chips is more advanced than the previous generation of chips.
Although the technology of each generation of Kirin chips will be more advanced, the research and development of each new generation of chips takes a certain amount of time and money, after all, the research and development of each generation requires a lot of technical accumulation.
Each generation of chips plays a role in overthrowing the previous generation of new chips, as long as it takes a certain amount of time to develop advanced technology, then the technology of Kirin chips will not be surpassed.
Although the development of a generation of new function Qualcomm chips can save 100 million R&D funds, even so, Huawei still chooses to develop Kirin chips, the reason is that no matter this generation or the next generation, as long as the research and development is successful, the chip technology will not be surpassed.
Judging from the initial cost of developing it and the cost of using it, Huawei's Kirin chips are all a very lucrative business.
The research and development of each new generation of chips may face failure, and chip research and development is an extremely difficult technology, and the risk of failure is relatively large.
But even so, Huawei has chosen to continue to develop Kirin chips, because from the past few years, after Huawei has continuously developed several generations of chips, the company's revenue has grown steadily all year round.
Especially in 2018, Huawei's sales have surpassed Apple, becoming the world's second-largest mobile phone company in terms of sales, and the world's largest network equipment manufacturer.
Moreover, in the face of US sanctions in 2019, Huawei has invested more and more in the research and development of Kirin chips.
The R&D expenses of each new generation of chips are increasing year by year, and in 2019, Huawei's investment in the R&D of new chips reached US$5 billion.
Although Huawei faced US sanctions, Huawei did not give up at the time of the Kirin chip crisis, but chose to invest more money in the research and development of new chips.
However, as the technology of Qualcomm Snapdragon and Apple's A-series chips became more and more advanced, the market share of Kirin chips began to decline gradually.
In 2021, Huawei's sales began to decline, especially in May, the golden season, when Huawei's sales fell by 47% year-on-year, mainly due to the strict sanctions imposed on Huawei by the United States.
Faced with this dilemma, Huawei had to save itself.
Although Huawei continues to increase its investment in the research and development of Kirin chips, the R&D environment for Kirin chips has been greatly limited due to its inability to purchase chip devices from American companies.
On the other hand, because Huawei is unable to purchase chip foundry services for advanced processes from TSMC, the production of Kirin chips has also been seriously affected.
In addition, the United States has also adopted unfair competition methods against Huawei, and through a series of repressive measures, it has forced global suppliers to stop providing relevant components and services to Huawei.
In the face of extreme suppression by the United States, Huawei had to give up its cooperative relationship with TSMC and cooperate with domestic chip manufacturers, but the lack of foundry services from TSMC, a giant, has greatly increased the production cost of Kirin chips.
This also indirectly affected its competitiveness, and for a while, Huawei's Kirin chip market share began to decline gradually.
In 2020, Huawei faced even more serious challenges, and was once in a difficult situation due to the heavier sanctions imposed by the United States.
Huawei's ambitious plans for the development and production of Kirin chips have been hampered by U.S. sanctions.
Although Huawei continues to increase its independent research and development efforts, it has been restricted and suppressed by the United States, and the final sales of Huawei's Kirin chips have shrunk significantly, and even sales have shrunk by nearly 30%.
It can be said that the extreme suppression of Huawei by the United States has caused Huawei to face a huge trauma, and despite all kinds of difficulties, Huawei has never given up and has been working hard to save itself, which also makes Huawei show perseverance and determination.
Is Huawei really out of strength this time?
In March, China's high-tech technology began to be abandoned by the United States, which also made China's technology companies more and more in crisis.
China is undoubtedly the world's only source of power when Chinese technology companies are catching up, but once they are hit hard, then China's technology companies will soon fall to the bottom.
Despite the severity of the sanctions, China will never be constrained by the United States, and we will be constrained at the moment, but China is preparing for its future, not now.
China is preparing for its own future, which is the world's most advanced lithography machine, whether it is Samsung, Micron and other chip companies, in front of these companies for a long time, but in the end they still can't get in line, and SMIC will not be able to develop its own research and development in the end.
But now China's lithography machine has begun to be developed, which also indicates that China's chip industry has improved greatly.
As the world's largest semiconductor market and technology R&D center, China has a huge market demand and a complete industrial chain, and the early stage of R&D does not require China to invest too much money.
So on a global scale, more people think that China has no scientific and technological strength and no production capacity, and in a way, this is true, but this is only temporary.
Today, only Germany, the United States and Japan have manufacturing technology in the world, but China's efforts in this area are still very commendable.
Although we may just be ordinary primary school students, believe me, China will definitely become a strong country.
epilogue
Although Huawei's Kirin chip has been withdrawn from the market, China's chip industry is still looking forward to the birth of the next Kirin chip and the emergence of China's own chips.
This time, Kirin chips withdrew from the market because of external sanctions and suppression, but China's technology companies will never give up, and it is precisely because of this insistence that China can become a world science and technology power.
Although the United States has implemented a number of policies for Chinese technology companies, China still hopes to carry out friendly cooperation with other countries to jointly promote global science and technology development.