CXMT plans second memory chip plant in Beijing as China boosts AI infrastructure
China's largest memory chip maker CXMT is in talks to build a second plant in Beijing, seeking at least 60 million yuan in funding. The expansion aims to double production capacity to over 600,000 wafers per month amid global chip shortages driven by AI investments.
CXMT, China's largest memory chip maker, is considering building a second memory chip plant in Beijing and is in talks with a local government-backed technology manufacturing center for funding. This move reflects CXMT's ambition to increase production amid a global chip shortage caused by AI infrastructure investments. Last month, CXMT held an IPO raising $8.6 billion, the largest semiconductor listing in mainland China. The company is already building new plants in Shanghai and Hefei and is negotiating with other cities. These projects, when fully operational, could double total production capacity to over 600,000 wafers per month. The new 12-inch wafer fab is planned for Yizhuang, about 20 km southeast of central Beijing, where CXMT already operates a DRAM plant. CXMT is requesting at least 60 million yuan ($8.9 million) from the Beijing Economic-Technological Development Area management. Negotiations are at an early stage, and the size and structure of any funding package may change. The planned capacity and total investment are unknown, but building a plant capable of producing advanced DRAM chips typically costs over $10 billion. After talks began, CXMT's shares rose 13%. Though CXMT is the world's fourth-largest DRAM maker, it lags far behind Samsung Electronics, SK Hynix, and Micron, which together hold nearly 90% of the global market. In China, CXMT's growing dominance has allowed it to raise prices for customers like Huawei. CXMT has become a strategic pillar of Beijing's push for a self-sufficient chip industry and narrowing the gap with the US in strategic technologies like AI. The company's growth is tied to the 'Hefei model' of state funding for strategic tech companies. CXMT's Beijing plant was launched in 2020 with funding from the Yizhuang development zone's state investment unit and its subsidiary Beijing E-Town Technology. The Beijing development zone hosts tech and semiconductor companies including SMIC, Naura Technology, and Xiaomi.
- Abbreviations
- IPO = Initial Public Offering — первичное публичное размещение акций
- DRAM = Dynamic Random Access Memory — динамическая память с произвольным доступом
Source: 3DNews —
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