TLDR:
- Innotron plans to invest $2.4 billion in a new packaging facility in Shanghai focused on HBM chips, set to open in 2026.
- This investment is part of China’s strategy to enhance semiconductor capabilities and build its own HBM supply chain.
China’s memory maker, Innotron, the parent company of ChangXin Memory Technologies (CXMT), is set to invest $2.4 billion in a new advanced packaging facility in Shanghai focusing on high-bandwidth memory (HBM) chips. The facility is expected to start production by mid-2026, with a packaging capacity of 30,000 units per month.
The investment is crucial for China’s semiconductor capabilities and its efforts to build its own supply chain for advanced components. This move comes in response to restrictions on the export of advanced components using American technology to China without a license.
This new facility will not only produce HBM memory for AI and HPC processors but also offer other advanced packaging services. The focus will be on various packaging technologies, such as interconnecting stacked memory devices using through-silicon vias (TSV).
Leading Chinese OSATs already have HBM integration technology, paving the way for collaboration and advancements in HBM projects. China’s goal is to develop its own HBM technology and break away from reliance on HBM2 technology currently used in Chinese AI GPUs.
In conclusion, Innotron’s massive investment in building HBM for AI processors signifies a significant step towards self-sufficiency in the semiconductor industry, highlighting China’s strategy to enhance its technological capabilities and reduce dependency on foreign sources.