Relying on older DUV equipment presents significant challenges for companies like Huawei, particularly when it comes to mass-producing chipsets at the 5nm lithography and below. The recent inclusion of Huawei and SMIC on Taiwan’s export control list complicates the import of advanced equipment without a valid license. Huawei, attempting to navigate this hurdle, has been leaning on its local supply chain. However, its latest SoC, the Kirin X90 found in the MateBook Fold, still depends on SMIC’s older 7nm node rather than the newer 5nm technology.
This reliance means that the commercialization of 5nm chipsets won’t happen this year, indicating that both Huawei and SMIC will remain on 7nm technology for another generation. Despite overcoming U.S. export restrictions, Huawei faces an expanding technological gap with competitors if SMIC cannot obtain new EUV machinery, instead relying on existing DUV equipment. There were rumors suggesting the Kirin X90 was produced using a 5nm process, but it’s actually fabricated on the 7nm node, similar to the Kirin 9020.
Huawei has made some advancements, shifting from the older ‘N + 1’ architecture, which offers performance and efficiency improvements. However, these gains are not as substantial as they would be with a 5nm SoC. With 2nm chipsets on the horizon in the next couple of years, China risks falling at least three generations behind the global leaders.
Current industry giants like Apple, AMD, and Qualcomm are already moving forward with cutting-edge technology, with major companies like TSMC, Samsung, and Intel preparing to offer 2nm processes soon. This widens the technological gap between China and the rest of the world even further.
Additionally, Huawei and other Chinese firms face restrictions on acquiring the critical EDA tools needed for chipset development. Anticipating this challenge, Huawei has reportedly developed its own 14nm EDA tools to produce 7nm silicon. Nonetheless, transitioning to 5nm technology remains a challenging goal, and any rumors of imminent commercialization seem unlikely to materialize this year.
