Huawei Chip Design Approach Offers Scalable Roadmap for China Chip Industry — Market Talk

Huawei Technologies' new chip design approach offers a scalable roadmap to guide the Chinese semiconductor industry to go beyond equipment constraint and continuously improve over the next decade, Bernstein analysts say in a note. Just like DeepSeek's innovation on algorithm encouraged China to invest in artificial intelligence, Huawei's new approach should give the industry a lot more confidence to invest in domestic semiconductor players, they say. Bernstein likes Semiconductor Manufacturing International Corp., Naura Technology and Piotech. With the new roadmap, SMIC could execute advanced logic and packaging manufacturing, Naura could deliver the tools for advanced logic fabrication and Piotech could support the bonding tools for Huawei's LogicFolding architecture, Bernstein says. (sherry.qin@wsj.com)