Erudite Asia

Place an order with TSMC on behalf of Huawei? Suaneng Technology claims injustice, Xu Meihua releases statement and reveals 2 things Computing Technology faces allegations of acting as an intermediary for Huawei by ordering chips from TSMC. This came to light after it was discovered that Huawei's AI-focused "Ascend 910B processor" may use TSMC's 7-nanometer process. In response, Computing Technology denied any ties with Huawei and expressed dissatisfaction with the situation. Expert Xu Meihua suggested that the company's strong denial indicates a fear of U.S. sanctions. He noted that the firm might be under U.S. scrutiny, and the statement aimed to show allegiance in a tense regulatory environment. These allegations were heightened by reports that a subsidiary of Bitmain, Computing Technology, processed orders for chips linked to Huawei's processors. In reaction to the accusations, TSMC halted all orders from Computing Technology. The latter emphasized its lack of connection to Huawei and its commitment to U.S. export controls, submitting a report to TSMC for clarification. Additionally, Computing Technology plans to take legal action to safeguard its reputation against what it perceives as false reporting from competitors and the media. Xu remains concerned about the implications for Computing Technology's operations and TSMC's accountability. #Semiconductors #Taiwan https://lnkd.in/gfDcphpv

Mobile carrier SK Telecom and Samsung Electronics are collaborating to enhance 5G connectivity using artificial intelligence. They will implement the AI-RAN Parameter Recommender technology, developed by Samsung, which analyzes historical mobile network data to recommend optimized parameters for base stations. Initial tests have shown significant improvements in base station performance, resulting in better network quality for customers. SK Telecom is refining this AI technology by utilizing deep learning to assess data from its wireless network, aiming to adapt the technology to regional conditions that influence 5G service quality. The partnership also seeks to evaluate the technology's performance in areas with fluctuating traffic patterns, such as subway systems. Additionally, SK Telecom intends to enhance AI capabilities for automatic adjustments of base station signals in response to weak signals or errors. The focus is to broaden the range of parameters for AI optimization, including beamforming, which directs signals to specific devices. This initiative represents a major advance toward an AI-Native Network, merging telecommunications with artificial intelligence to improve customer experiences. #AI #SouthKorea https://lnkd.in/ggRZJbPs

Zhang Zhongmou calls globalization dead and Xie Jinhe reveals the key to TSMC’s survival TSMC founder Zhang Zhongmou asserted that "globalization is dead" at the recent TSMC Games, sparking significant dialogue. Xie Jinhe, chairman of Caixin Media Group, emphasized TSMC's critical role in Taiwan's economy and criticized Samsung as a casualty of globalization. He noted that TSMC has thrived amid anti-globalization trends, while Samsung faces hardships in the global market. With TSMC's market capitalization exceeding one-third of Taiwan's total stock market value, its importance is underscored. Xie cautioned against using force to manage Taiwan Strait tensions, stressing TSMC's necessity for Taiwan's economic health. The chairman's confidence in TSMC's future stems from China's weaknesses in advanced manufacturing, particularly in light of restrictions affecting EUV and DUV exposure machines from ASML. Xie further indicated that despite China's efforts to undermine TSMC, these attempts have been unsuccessful, benefitting both TSMC and Taiwan. Meanwhile, Samsung's market value has fallen to a quarter of TSMC's, hindered by yield losses in advanced processes and competition from Chinese firms. Ultimately, Xie views TSMC's technological advantage as crucial for its survival, positioning it as a vital protector of Taiwan amid the challenges posed by globalization. #Semiconductors #Taiwan https://lnkd.in/giJfiePu

U.S. chip manufacturer Intel is investing 300 million dollars to expand its packaging and testing facility in Chengdu, Sichuan Province. This initiative aims to improve local supply chain efficiency and cater to the customized packaging needs of Chinese clients, especially for server chips. A new customer solutions center will also be established to enhance operational support in China. Intel's growth strategy is aligned with China's commitment to high-quality development and market liberalization. The Chengdu site, operational since 2003, ranks among Intel's largest global packaging and testing facilities. Amidst revenue challenges, Intel seeks to tap into China's growth potential, with nearly 25% of its revenue, over 50 billion dollars, coming from the region. Despite U.S. trade restrictions on semiconductors, Intel and other chipmakers see the importance of maintaining ties with China, critical for competing globally. Foreign investment confidence remains strong, evidenced by the establishment of over 42,000 new foreign firms in the first nine months of 2024, reflecting China's stable economic fundamentals and evolving business environment. #Semiconductors #China https://lnkd.in/gWntBPG9

Increase in electronic waste due to spread of artificial intelligence (AI) Disposal of data center equipment The rise of generative artificial intelligence (AI) technology is expected to significantly increase electronic waste, with projections estimating discarded data center equipment to accumulate between 1.2 million and 5 million tons from 2020 to 2030. Higher AI usage is anticipated to drive increased electricity consumption and greenhouse gas emissions, raising environmental concerns over hazardous substances like lead and chromium in the waste. North America is projected to produce about 58% of this electronic waste, while East Asia, including Japan, is expected to contribute around 25%. Furthermore, if countries impose export restrictions on advanced semiconductors akin to those in the U.S., there may be a rise in low-performance devices to maintain computing capabilities, further intensifying waste production. On a positive note, researchers suggest that extending the lifespan and promoting the reuse of data center equipment could reduce electronic waste by 16% to 86%. This highlights the necessity of effective end-of-life management for equipment in the burgeoning AI landscape. #AI #Japan https://lnkd.in/g27UU7YR

The United States has finalized regulations to restrict investments in critical technology sectors like artificial intelligence, semiconductors, and quantum information technologies in China, Hong Kong, and Macau. Effective January 2, 2024, these national security measures aim to prevent advanced technologies from reaching nations deemed security risks. The regulations categorize targeted technologies into three main areas: semiconductors and microelectronics, quantum information technologies, and artificial intelligence. The White House identifies these as vital for military, cybersecurity, surveillance, and intelligence capabilities. U.S. individuals and entities are prohibited from engaging in transactions posing significant national security threats and must report other relevant transactions to the Treasury Department. Paul Rosen, Assistant Secretary of the Treasury for Investment Security, stated that the regulations aim to thwart investments that could enable technology misuse against U.S. interests. The policy was developed through consultations with industry representatives, congressional members, and international allies, highlighting a strategic response to U.S.-China technological competition. #AI #SouthKorea https://lnkd.in/gwPrWJNp

Toyota and Nippon Telegraph and Telephone are collaborating to create a driver assistance system that integrates advanced optical communication technology and artificial intelligence, with a joint investment of 500 billion yen. They aim for commercial deployment by 2028, focusing on technology that enhances traffic accident prevention. The system will utilize various sensors to collect data on the surrounding traffic environment. AI will analyze potential accident risks in real time, allowing for autonomous vehicle actions based on detected conditions. A vital aspect of this initiative is NTT's IOWN platform, which uses light for data transmission, improving communication capacity and energy efficiency while supporting future 6G standards. #AI #Japan https://lnkd.in/g8RreH2J

Demand for AI and defense technology surges, with a large number of new early-stage unicorns emerging in 2024 In 2024, a surge of early-stage unicorn companies is anticipated, driven by advancements in artificial intelligence (AI) and rising geopolitical tensions. A recent KPMG report indicates that financing for AI and defense technology has significantly increased, with the number of companies valued over $1 billion in the first three quarters of 2024 surpassing the total for all of 2023. While venture capital investment in Asia has hit a seven-year low, Japan has seen a resurgence, achieving its highest investment levels in three years. By the third quarter of 2024, early-stage unicorns are predominantly emerging from the AI sector, with many startups reaching unicorn status in their initial funding rounds. Defense technology has also garnered attention; for instance, Anduril Industries raised $1.5 billion in the U.S., while Germany's Helsing secured $484 million. Similarly, China's landscape reveals startups like AutoAI raising substantial funds by implementing AI in vehicles. Despite a global decline in venture capital investment, which dropped 26.6% from $95.5 billion to $70.1 billion, AI continues to lead significant funding rounds, comprising six of the top ten transactions in the third quarter. Approximately 60% of this investment originated from the Americas, totaling around $41.4 billion. While ongoing market uncertainties such as geopolitical conflicts and upcoming elections may influence venture capital dynamics, there are signs of potential market recovery, with improvements expected in 2025. #AI #Taiwan https://lnkd.in/gHpaiG9Y

High-bandwidth memory HBM is in short supply. Analyst: South Korea and Taiwan will become key production bases Demand for high-bandwidth memory (HBM) is surging due to the recent AI chip launches from Huida and AMD, with analysts highlighting a strong market outlook. Memory manufacturers Micron and SK Hynix report that their upcoming HBM products are already sold out, reflecting robust demand. The anticipated HBM4, produced in partnership with TSMC, positions South Korea and Taiwan as key production centers. The International Institute of Obstetrics and Commerce (IEK) projects global memory market growth to reach 77.3% in 2024, propelled by a low base year and production cuts. A recovery in the DRAM market, especially for high-value HBM products, is expected to drive this growth, with HBM projected to account for 19% of the DRAM market by 2024. HBM3E products are transitioning from 8 layers to 12 layers, with major suppliers including SK Hynix, Samsung, and Micron. Strong HBM demand is fueled by advancements in AI technology, as cloud service providers seek enhanced computing power and memory capacity. HBM3E is predicted to dominate the market from 2025 to 2026, primarily produced by SK Hynix and Samsung in South Korea, while Micron will increase its production capacity in Taiwan and Japan. Future developments in HBM are likely to involve a shift toward logic processes, fostering increased collaboration between memory and wafer fabrication, particularly with TSMC. #Semiconductors #Taiwan https://lnkd.in/gMUzJj6i

T-money out of service over the weekend… LG CNS data center failure, the ‘major shareholder for 20 years’, is the cause On the 27th, Chuncheon Intercity Bus Terminal in Gangwon Province reported ticket sales issues due to a network error in the T-money system, disrupting express and intercity bus reservations nationwide. Passengers faced significant delays in ticket issuance. The outage stemmed from a network equipment problem at the LG CNS Bupyeong Data Center, acknowledged by the company at 1:06 PM. Inspections confirmed the cause, and T-money services were restored approximately 1 hour and 30 minutes later. An investigation into the exact cause of the equipment failure is ongoing. T-money, primarily owned by the Seoul Metropolitan Government with a 36.16% stake, and LG CNS, holding 32.91%, is under scrutiny for potential improvements in its operational structure. To enhance fairness in operator selection, Seoul City plans to introduce a public offering procedure for contract renewals, starting with the upcoming 4th project involving T-money. LG CNS has pledged to identify the outage's cause quickly and implement preventive measures. #CloudComputing #SouthKorea https://lnkd.in/g2YGpZVj