Rebirth

Chapter 641 Reaching a preliminary consensus

Three days later, in the conference room of the hotel where Li Feng was staying, a negotiation was going on intensely.

"We all know that semiconductor design is one of the most difficult technical tasks, and semiconductor manufacturing is also one of the most expensive businesses. This is a dual-intensive industry of technology and capital.

Earlier, due to the absence of an foundry model, the semiconductor industry was monopolized by several companies. It can be said that the foundry model of Bay Bay has opened up the segmentation of semiconductors and lowered the entry barrier for the semiconductor industry.

This is why we are optimistic about foundries. We all believe that with the development of technology, there is no doubt that semiconductors, as the support of modern technology, especially chips, are the brains, and more and more IC designs are involved. Those who will bring enough orders to foundries, the future must be bright.

However, if you want to integrate design and factory, to be honest, at least for now, there is still a lot of gap between the design strength here and the top European and American companies.

Therefore, Cao Dong, even if UMC is in the lowest and most difficult period, we are willing to cooperate with Cao Dong, but we hope UMC can focus on foundry and manufacturing.

As for the design department, I hope Mr. Cao can reorganize the company and separate the design department. I think your previous MediaTek model is good.

...

In this way, you can dispel the worries of your previous partner companies and maintain UMC’s focus. We all know that, at least for now, whether it is UMC or Semiconductor Manufacturing, in terms of process technology, it is similar to the large-scale process technology in Europe and the United States. There is still a certain gap.

As far as we know, TSMC seems to have been developing a 0.18 micron process technology, and I heard that it is about to show results. Regarding this, I think as an old rival of TSMC, you probably don't know it.

But in fact, even if you have not mastered the 0.18 micron process technology, large wafer factories in Europe and the United States already have them.

It is hoped that UMC will focus on the research of foundry and process technology in the future. According to our expectation, the next 12-inch may become the mainstream. In addition to integrating several foundries, we also hope to expand further.

For example, re-establishing several new 12-inch foundry factories, whether it is new construction or mergers and acquisitions, it is inevitable to further strengthen its own strength.

Focusing on the research and development of process technology, I think you are experts should be very clear about what it means for foundry. Moore’s law has been proven, and semiconductors will generally follow this law in a short time. From the previous 0.25 micron, To the coming 0.18 microns, the next step may be 0.13 microns, and then enter the nano level.

......

Another point is that at present, several major foundries under UMC are established as joint ventures with related design companies, and each foundry is only responsible for related businesses and other businesses. Obviously, this is inappropriate and is a waste of capacity resources. It is serious.

We hope that you can persuade the cooperative enterprises to reorganize the company, form a group company, integrate all resources, and give full play to the production capacity. Although the plant of Lianrui has been burned, there are still 4 wafer manufacturing plants such as Liancheng, Lianjia and its own UMC. , And Lianrui caused a fire to burn.

At the same time, we hope that UMC can go global and build factories in Singapore, the United States and other places. As we can invest, we naturally hope that UMC can completely get rid of all competitors and become the leader in the semiconductor manufacturing industry.

This can be regarded as our expectation for UMC. We choose partners, and hope that the partners are like us, who can have the goal of creating a world-class enterprise, such as being able to compete with Intel in the future."

...

Xu Haifeng first talked to a group of people represented by Cao Xingcheng of UMC. The meaning is very clear. If UMC does not fully reorganize, then there is no possibility of cooperation. If the reorganization is agreed, there is a prerequisite for cooperation.

At that time, Century Tianya Investment Co., Ltd. will want money and make a strong contribution to help UMC establish its leading position in the field of foundry.

After hearing Xu Haifeng's explanation, at least Cao Xingcheng and the others were excited. Obviously, Li Feng's optimistic industry and ambitions are in line with UMC's development plan.

If there is Li Feng's financial support to re-establish several large foundries, then UMC will completely get rid of the accumulation of power.Thinking that UMC could completely defeat Accumulative Power, this group of people was excited. It is estimated that they were completely brainwashed by Cao Xingcheng.

"Mr Xu, first of all, our 0.18 micron process technology has basically matured. Technically, we have basically caught up with the industry level. Then, I don't know how much support you can have?" After hearing Xu Haifeng's words, They all whispered to each other for a meeting, and then Cao Xingcheng asked on behalf of UMC.

"Mr. Cao, this is not how much support we have, but how much share quota you are willing to give up. Even, we don't mind buying UMC directly, as long as you are willing." Facing Cao Xingcheng, Xu Haifeng glanced at Li Feng. Then smiled and replied affirmatively.

...

Li Feng sat aside, watching the negotiation process led by Xu Haifeng on behalf of Tianya Investment and UMC led by Cao Xingcheng, and was surprised when he heard Cao Xingcheng said that there is a mature 0.18 micron process technology.

In fact, Li Feng is not clear about this. In fact, in the 0.18 micron process technology, UMC's technology is not inferior or even slightly better than that of Selc.

Unfortunately, after 2000, in the 0.13 micron process technology, UMC finally lags behind, and is technically separated by Semiconductor Manufacturing.This was also one of the important reasons for the decline of UMC.

For UMC, Li Feng is really looking forward to it. UMC today is not inferior to TSMC in all aspects. Think about the future TSMC, which is known as the "world's number one semiconductor company", with a market value of more than 200 billion US dollars. .

If UMC also develops smoothly, and can even compete with JMC in the future, then its own investment can really make a profit.As for why TSMC did not choose TSMC, this is the result of careful consideration by Li Feng.

TSMC is led by the government, and it is very difficult to buy shares. UMC has completely restructured, and the government no longer holds shares. It is relatively simple and not that complicated.

Wafer manufacturing only needs to negotiate with the factory's partner companies. These are all wafer factories jointly established by American Emperor and even UMC's customers, and Cao Xingcheng and other management have the right to decide.

...

What Li Feng didn't know was that this might have been one of the reasons why UMC and Cao Xingcheng were treated differently by the Gulf Government.

UMC and Cao Xingcheng in the previous life were the first to invest in the mainland, investing in the construction of a wafer foundry in the mainland, and this investment almost caused Cao Xingcheng to face jail, which eventually led to Cao Xingcheng’s early exit and leaving UMC.

It turned out that Wanwan regarded the technology of the foundry as a treasure at that time, and it was a project that explicitly prohibited investment in the mainland. It was during the period of flattening, and the results were predictable.

Naturally, the lack of shares in the government is actually a reason.After all, Wanwan's wafer foundry had invested in many areas at the time, and there was no mention of technology leakage.

It happened that UMC at the time was a top performer, and your company has no government shares. Now that it is a top performer, it has naturally become a target.

However, the absence of the government's share issue naturally created conditions for foreign investment in shares and so on, and only then did Li Feng's Bay Bay trip.Similarly, Li Feng's American imperial background is actually a lot of help.

If Li Feng is a domestic one, he would not have to think about buying shares in UMC or something.

...

Soon, several consensuses were reached. First of all, UMC now needs funds, and the good news allows UMC, which is disadvantaged by the fire, to be formalized as soon as possible.

The second point is that for the restructuring company proposed by Tianya Investment, a consensus has been reached on including the major wafer manufacturing plants under the company, integrating resources, and unified management. After all, this is good for UMC. There is no reason to oppose the measures.

Finally, it is the issue of negotiating equity. How much capital to invest in, and how many shares can be occupied. This is not something that two companies can negotiate. You also need to discuss with each partner of the wafer manufacturing plant. After all, each crystal The circle manufacturing plants are all set up by joint ventures.