China's memory upstart YMTC edges closer to rivals with 232-layer chip
Reuters
Published Aug 04, 2022 03:18AM ET
Updated Aug 04, 2022 03:31AM ET
(Corrects Reuters Instrument Code in paragraph 10)
By Josh Horwitz
SHANGHAI (Reuters) -Chinese chipmaker Yangtze Memory Technologies Co Ltd (YMTC) on Wednesday announced new memory chip technology that would help it catch up with rivals Micron (NASDAQ:MU) and SK Hynix, just as Washington considers steeper curbs on Chinese semiconductor companies.
The company unveiled its fourth-generation 3D NAND chip, the X3-9070, and its first to feature 232 layers of memory cells, government-backed media outlet Global Times reported on Wednesday.
That places it close to rival Micron, which last month said it aimed to start mass production of its 232 layer chip by the end of the year.
South Korea's SK Hynix has also developed its first 238-layer memory chip, boasting a new industry benchmark.
A YMTC spokesperson declined to comment on the Global Times report.
Industry experts say that while YMTC will unlikely launch mass production of the chip any time soon, it nevertheless marks a breakthrough for the company.
The company's market share remains in the single digits, but it is aggressively expanding production capacity and R&D with the help of state subsidies.
Toby Zhu, who tracks China's chip sector at research firm Canalys, says that while the YMTC's revenue has improved over the years, gaps remain between it and market leaders.
Once a little-known player backed by the ailing Chinese state-conglomerate Tsinghua Unigroup, YMTC has attracted attention in the chip industry for its fast advancements in R&D.
Bloomberg reported in March that phone maker Apple Inc (NASDAQ:AAPL) was considering using YMTC as a memory chip supplier, which would mark a major boon for the upstart company.
Reuters reported earlier this week that Washington, citing a growing threat from China, is considering placing restrictions on companies that supply to YMTC, forbidding equipment makers from selling parts to the company that enable it to manufacture chips at 128 layers and above.
The restrictions, if enacted, could rattle YMTC's ambitions to grow its business, not unlike how sanctions in 2020 rattled Chinese phone maker Huawei Technologies Co Ltd
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.