It is hoped that Chengxin will not become the fourth domestic IC company acquired by foreign capital in one year.
On August 11th, it was the deadline for Chengxin’s listing transfer, but no deal was reached with any company. It may also be possible to cancel the transaction by extending the listing time, or changing the listing conditions, as the core, or keeping the listing conditions unchanged.
On July 15th, Chengxin was listed and transferred on the Southwest United Assets and Equity Exchange. Two of these conditions are extremely demanding: the transferee needs annual turnover of more than US$10 billion for nearly three years, and has at least five years of production and sales in the analog semiconductor industry. Experience and other conditions.
Based on this, the outside world guessed that Texas Instruments was the only qualified transferee. If this is true, if Cheng Xin can cancel the transaction, it should be said that it is good news. Because once Texas Instruments acquires the core, it will become another example of foreign capital-hunting China IC industry.
In the past year, local IC companies have been swallowed by foreign counterparts one after another. First, in July of last year, Microtune of the United States announced that it would acquire Aowei International; then, at the end of last year, Intersil of the United States acquired Damai Microelectronics; Atheros just announced the acquisition of Putra Telecom.
Foreign investors are willing to acquire Chinese IC companies, stating that they recognize the latter's strength. It can be considered in reverse. The powerful local IC companies are willing to subordinate themselves to others. Didn't it reflect that they are in trouble?
A few years ago, the IC industry was very popular in China and was sought after. The whole industry is a thriving scene. Almost a quarter of global IC design companies are Chinese companies.
After the outbreak of the financial crisis in 2008, the global semiconductor industry was implicated and did not show signs of recovery until the fourth quarter of last year. However, the IC design industry in China, especially mainland China, has been able to maintain growth during the crisis. why? Because these companies mostly rely on the domestic market to eat.
In spite of this, the local core has not grasped the domestic market. The chip required for this market is still 80 percent of its imports. It costs hundreds of billions of dollars each year, and many local IC companies are at a loss. The consequence of this situation is not only that huge amounts of money are handed over to people, they cannot master the core technologies and products, and they must always be led by others.
If Chengxin is sold to foreign capital, it will not only add another case to similar acquisitions, but will also cause substantial losses to domestic IC companies.
First of all, aside from the issue of independent innovation, mass production is a real problem that bothers them. Originally, Chengxin was the OEM chip for many local IC design companies. If it is really incorporated by foreign big manufacturers, will foreign giants release production capacity for Chinese IC companies' mass production demand of a thousand or two?
In many people's eyes, mobile TV, 3G, etc. are opportunities for the local IC industry. However, if mass production cannot be guaranteed, what opportunities will be discussed?
In fact, the external environment of the IC industry has also changed, and the enthusiasm of the outside world has decreased. No wonder, compared with a few years ago, there are more industries that are worth investing in capital and energy. Solar energy, LED, and these industries all have green environmental protection marks, follow the trend, and are not as difficult as ICs, and must be realized. Only after profits of hundreds of millions of U.S. dollars can we develop steadily.
The financial crisis is an opportunity for the industry to reshuffle, but unfortunately many local IC companies have not grasped it. Instead, they have become a good local company that has been acquired by foreign investors.
The domestic IC industry grew up under the background of the country's strong promotion of independent innovation and the support of high-tech industries. Now, the industry seems to have reached the fork of growth. Either companies are worthy of themselves and choose to be acquired by foreigners. Or, they must also innovate the mode of survival of the industry. Of course, the latter cannot be supported by the external environment.
At the time of rumors or rumors about the sale to Deyi, an industry-recognized analyst said that several foreign companies have recently found him and he hopes that he will help him to seek acquisitions in the country. This is worse than the fact that the core was sold to Texas Instruments.
On August 11th, it was the deadline for Chengxin’s listing transfer, but no deal was reached with any company. It may also be possible to cancel the transaction by extending the listing time, or changing the listing conditions, as the core, or keeping the listing conditions unchanged.
On July 15th, Chengxin was listed and transferred on the Southwest United Assets and Equity Exchange. Two of these conditions are extremely demanding: the transferee needs annual turnover of more than US$10 billion for nearly three years, and has at least five years of production and sales in the analog semiconductor industry. Experience and other conditions.
Based on this, the outside world guessed that Texas Instruments was the only qualified transferee. If this is true, if Cheng Xin can cancel the transaction, it should be said that it is good news. Because once Texas Instruments acquires the core, it will become another example of foreign capital-hunting China IC industry.
In the past year, local IC companies have been swallowed by foreign counterparts one after another. First, in July of last year, Microtune of the United States announced that it would acquire Aowei International; then, at the end of last year, Intersil of the United States acquired Damai Microelectronics; Atheros just announced the acquisition of Putra Telecom.
Foreign investors are willing to acquire Chinese IC companies, stating that they recognize the latter's strength. It can be considered in reverse. The powerful local IC companies are willing to subordinate themselves to others. Didn't it reflect that they are in trouble?
A few years ago, the IC industry was very popular in China and was sought after. The whole industry is a thriving scene. Almost a quarter of global IC design companies are Chinese companies.
After the outbreak of the financial crisis in 2008, the global semiconductor industry was implicated and did not show signs of recovery until the fourth quarter of last year. However, the IC design industry in China, especially mainland China, has been able to maintain growth during the crisis. why? Because these companies mostly rely on the domestic market to eat.
In spite of this, the local core has not grasped the domestic market. The chip required for this market is still 80 percent of its imports. It costs hundreds of billions of dollars each year, and many local IC companies are at a loss. The consequence of this situation is not only that huge amounts of money are handed over to people, they cannot master the core technologies and products, and they must always be led by others.
If Chengxin is sold to foreign capital, it will not only add another case to similar acquisitions, but will also cause substantial losses to domestic IC companies.
First of all, aside from the issue of independent innovation, mass production is a real problem that bothers them. Originally, Chengxin was the OEM chip for many local IC design companies. If it is really incorporated by foreign big manufacturers, will foreign giants release production capacity for Chinese IC companies' mass production demand of a thousand or two?
In many people's eyes, mobile TV, 3G, etc. are opportunities for the local IC industry. However, if mass production cannot be guaranteed, what opportunities will be discussed?
In fact, the external environment of the IC industry has also changed, and the enthusiasm of the outside world has decreased. No wonder, compared with a few years ago, there are more industries that are worth investing in capital and energy. Solar energy, LED, and these industries all have green environmental protection marks, follow the trend, and are not as difficult as ICs, and must be realized. Only after profits of hundreds of millions of U.S. dollars can we develop steadily.
The financial crisis is an opportunity for the industry to reshuffle, but unfortunately many local IC companies have not grasped it. Instead, they have become a good local company that has been acquired by foreign investors.
The domestic IC industry grew up under the background of the country's strong promotion of independent innovation and the support of high-tech industries. Now, the industry seems to have reached the fork of growth. Either companies are worthy of themselves and choose to be acquired by foreigners. Or, they must also innovate the mode of survival of the industry. Of course, the latter cannot be supported by the external environment.
At the time of rumors or rumors about the sale to Deyi, an industry-recognized analyst said that several foreign companies have recently found him and he hopes that he will help him to seek acquisitions in the country. This is worse than the fact that the core was sold to Texas Instruments.