China IC market continues to grow the size of domestic manufacturers need to speed up

According to Analysys International China "IC 2005-2006" market annual general report analysis shows that in 2005 Chinese IC Q2-Q3 market after a period of steady growth, with significant growth in market size Q4. IC market size (market size) rapid growth to 368 billion 280 million yuan. In particular, the size of the domestic IC industry (industrial size) has accounted for more than 21% of the overall IC market size, and the remaining nearly IC of the products from foreign manufacturers. The size of the industry and the size of the market and the proportion of changes in the map, see figure.

At the same time, we should also see that in the global IC industry in China is still in a relatively weak position, behind the United States and europe. From the product point of view, the domestic IC design companies can only occupy the lower end of the MCU and smart card chips and other products, such as the total market share of 60% of the microelectronics chip market. The high-end products in the IC market is still monopolized by foreign companies, such as universal CPU has been Intel, AMD master, memory chips have been controlled by Samsung and other manufacturers, Qualcomm has a performance advantage in 2.5G CDMA and 3G mobile phone chip.

From the view of industry, technology innovation and talent is the key, China IC design industry such as: total sales China IC design industry accounted for only about 3% of the global market, such as patents accounted for only less than 4% of the global market size. Semiconductor materials and equipment is still the bottleneck of the development of China's IC manufacturing industry, such as more than 95% of the equipment and more than 8 inches silicon basically imported from abroad. Advanced packaging technology and materials is still the IC packaging industry barriers, such as BGA, CSP and other high-end packaging technology is still no significant breakthrough, MCP, SIP and other multi chip packaging technology has not progressed. Domestic enterprises also have no ability to produce BGA, CSP packaging substrate.

Although the domestic IC industry also has a lot of problems, but the development situation is gratifying, the industrial structure has been optimized. Packaging industry has dropped below 50%, the rapid development of the design industry, the proportion continues to increase. IC products are constantly with new breakthroughs, Godson 2 has reached a level of 3 ran, lifview No. 2 also supports AVS and H.264 two IPTV standard, largely solved the problem of lack of support for the AVS standard chip, will be able to better promote the industrialization process of domestic codec standard.

In 2006, with Chinese 3G and digital home market is about to start, the downstream product market will drive the development of the upstream chip market, speed has become represent the general trend of IC industry.