Huawei used Samsung, TSM and SK hynix's parts in its advanced AI chips: report
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Huawei Technologies used advanced components from Asia’s largest technology companies in at least some of its advanced Ascend AI processors, Bloomberg News reported, citing TechInsights.
TechInsights discovered gear from Taiwan Semiconductor Manufacturing (NYSE: TSM), Samsung Electronics ( OTCPK:SSNLF) and SK hynix ( OTCPK:HXSCF) in several samples of Huawei’s third-generation Ascend 910C chips, the report added.
Huawei, Samsung, SK hynix and TSM did not immediately respond to a request for comment from Seeking Alpha.
In a probe, the researchers concluded that TSM manufactured the dies used in the Huawei accelerators. They also saw an older-generation type of high-bandwidth memory, called HBM2E, made by Samsung and SK Hynix. Components from the two producers were found in two different samples of the Ascend 910C chip, the report noted.
Huawei was once in competition with Apple ( AAPL) and Samsung ( OTCPK:SSNLF) to be the world's biggest handset maker until U.S. restrictions, starting in 2019, began to curb its access to chip manufacturing tools needed to produce its most advanced models. However, in the past few years, Huawei has been making a comeback in the smartphone and processor segments. In August 2023, the company surprised many by quietly launching its new flagship smartphone, Mate 60 Pro. Last year, the company launched its flagship Mate 70 smartphone, Mate XT, and the Pura 70 series.
Last month, it was reported that Huawei plans to nearly double the production of its AI chip 910C in 2026 as it attempts to fill in the gaps left in the wake of Nvidia's ( NVDA) dwindling shipments to the country.
Huawei’s current-generation accelerator 910C is ma ufactured by packaging two 910B dies together. The 910C hardware recently investigated by TechInsights, the report added.
China's Huawei has been able to use a stockpile of around 2.9 million dies in its Ascend chips and would have enough for the 910C through this year, the report added citing estimates from SemiAnalysis.
TSM said in a statement that, appears to be made with dies “analyzed by this organization in October of 2024, and not with a more recently manufactured die or more advanced technology. Shipments and manufacturing of that chip have been halted since then,” the report noted.
TSM added that it complies with all export control rules and has not supplied Huawei since mid-September 2020, according to the report.
SK hynix is a major supplier of High-Bandwidth Memory, or HBM chips to Nvidia. Its rivals, to a lesser extent, include Micron Technology ( MU) and Samsung.
In late 2024, the U.S. restricted sales to China of HBM2 and more advanced models and escalated curbs designed to limit the production capacity of Chinese chipmakers.
Like how Huawei was able to stockpile TSM logic wafer inventory, the company also stockpiled HBM inventory,” the report added citing SemiAnalysis.
It’s not clear when and how Huawei got the Samsung and SK hynix components, which both companies introduced years ago.
“SK hynix ceased all transactions with Huawei after the restrictions were placed in 2020,” SK hynix said in a statement, the report added. “SK Hynix is fully committed to strict compliance of all applicable laws and regulations, including US export regulations.”
Samsung said it “continues to strictly comply” with U.S. export rules and does not have “any business relationships with entities outlined in the regulations," the report added.
SemiAnalysis said that China’s CXMT is making progress on HBM, but Huawei remains dependent on foreign hardware. SemiAnalysis noted that as the company depletes the stockpile, “we expect that China will be bottlenecked by HBM by the end of the year,” the report noted. |
