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In-depth interpretation of China's first automotive IC manufacturer

Release Time:2019-01-25 Edit the author:金致卓 Reading:845

Recently, Datang NXP Semiconductors Co., Ltd. (hereinafter referred to as Datang NXP), China's first automotive semiconductor design joint venture jointly established by Datang Telecom and NXP Semiconductors, opened its operations in Rudong County, Nantong City, Jiangsu Province. Datang NXP has a registered capital of 20 million US dollars, and Datang Telecom and NXP have invested 51% and 49% respectively. The new company's business is positioned in the field of new energy vehicles, hybrid vehicle power management and drive, and new energy-related integrated circuit design, and is committed to becoming the world's leading automotive power management and drive semiconductor company.

Both parties said that the new joint venture company is the first automotive IC design company in China. This article explains some relevant specific situations.


Datang Telecom: Entering the field of automotive electronics, laying out high-end IC industry chain


The establishment of the joint venture company between the two parties marked the official entry of Datang Telecom into the automotive electronics field and accelerated the layout of the high-end industrial chain of integrated circuits. Cao Bin, chairman of Datang Telecom, said in his speech that the combination of Datang Telecom and NXP is a major breakthrough in the IC industry, which will boost Datang Telecom's IoT energy management and intelligent transportation. Industrial synergy and cooperation will be carried out to enhance the competitiveness of related fields, enhance China's voice in the field of new energy and automotive electronics technology, and accelerate the realization of the high-end layout and development of Datang Telecom to the integrated circuit industry chain.


In recent years, with the rapid growth of domestic automobile production and sales, China has become the world's largest auto market. As the development of automotive mechanical system technology is improving day by day, the innovation of automotive technology is more from automotive electronics. Ninety percent of today's automotive technology development comes from automotive electronics innovation. In the field of new energy vehicles, automotive electronics account for more than 60% of the cost.


However, although China's automobile market is developing rapidly, the corresponding vehicle supporting industry, automotive electronics, is still dominated by large semiconductor companies in Europe and America, and forms certain trade and technical barriers. At the same time, the domestic automotive electronics industry chain is not mature, the upstream and downstream interaction mechanisms have not yet formed, and there is no situation in which the automotive electronics industry chain is closely coordinated. OEMs, emerging automotive electronics manufacturers and related automotive R&D companies have not fully established a business model for project cooperation around the needs of complete vehicle products. In addition, China's automotive electronics professionals are seriously lacking. Domestic researchers mainly focus on automotive or electronic majors. They lack composite talents who understand both automobile and electronics. The core technology, lack of talents and insufficient R&D investment have caused Chinese auto electronics companies to only Can produce low-end products (car navigation systems, car audio and video systems, etc.). In terms of automotive electronic control devices that represent the performance level of automobiles, such as electronic control unit hardware and software, sensors, basic components and chips, system reliability and control accuracy, there is a big gap with developed countries. China's talent in automotive-grade chip design is almost zero.


Therefore, Cao Bin pointed out in an interview: "Automotive electronics is an important part of the IC field, and it is also a 'blue ocean' market with great potential. The layout of automotive electronics can gradually realize the high-end development of the company to the IC industry chain. Automotive electronics is compatible with Datang Telecom. IC design industry upgrade strategy has broad market prospects. In the case of domestic technology and talent pools are generally scarce, in order to grasp the market opportunities, it is necessary to explore a scientific development path. With NXP and foreign automakers and component manufacturers Good cooperation, can learn from foreign mature technology, quickly cut into the automotive electronics market, and further explore the overseas market of the joint venture company. Through the joint venture company to establish, learn and learn from the NXP international market supply chain management system, quickly accumulate chip design industry operation Process experience."


At the same time, he stressed that after the establishment of the joint venture company, it will not only gradually realize the high-end development of Datang Telecom to the IC industry chain, but also help the company to improve the IC design industry structure, and help to enhance the operation and management experience of the IC design industry. The company is rapidly expanding the emerging field of automotive electronics. "In terms of industrial synergy, it will drive the further development of the on-board module of Datang Telecom and Qiming Information Joint Laboratory, and promote the R&D and design of Datang Microelectronics, Lianxin Technology Analog Chip and Digital-Analog Hybrid Chip. In addition, automotive electronic chip design, It will also coordinate and cooperate with Datang Telecom's IoT energy management and intelligent transportation industries to enhance the overall solution competition and implementation capabilities in related fields, and further enhance China's voice in information control technology and new energy fields."


NXP: The perfect complement to smart connected automotive semiconductor solutions


Kurt Sievers, executive vice president and general manager of the automotive division of NXP Semiconductors, predicted in the interview that the electric vehicle market will see a growth of ten years, with a compound annual growth rate of 70%, that is, 20,000 vehicles in the next 10 years. Increased to more than 3 million vehicles. The Chinese government is also expanding its electric vehicle purchase subsidy program, expanding from more than 80 cities in 25 cities, and plans to invest heavily in building charging infrastructure, which is expected to build more than 200,000 charging stations nationwide.


He explained: “China is the fastest growing automotive electronics market in the world, and NXP is now the number one in this field. This joint venture provides an excellent opportunity for NXP to further accelerate its business growth. China has deep government relations and a sound industry network, which will be of great help to us. The joint venture will focus on new energy vehicle technology – one of the key development areas of the Chinese government's five-year plan, which is also for NXP Smart Connect. A perfect complement to the automotive semiconductor solutions portfolio. In short, Datang NXP Semiconductors will combine the expertise of both companies to deliver highly competitive, high-quality products that meet the ever-changing needs of the Chinese automotive industry."


At the same time, Kurt Sievers also pointed out that the new energy vehicle market provides China with a very good opportunity to participate in global competition with a stronger attitude on a global scale. “Because the emergence of new energy vehicles has completely changed the way of the automotive industry, it is completely different from the traditional automobile model, which gives China the opportunity to participate in such competition on a global scale. Throughout the value chain, this is why we hope The reason why such a Chinese company can be established locally is that it is possible to adapt to the trend of China's development trend and establish such a company in China, including local Chinese enterprises, which will have a stronger advantage in the future development of new global energy vehicles." He added, "Our traditional Chinese auto industry in China is already the number one supplier, but traditional cars, now with the development of new energy vehicles, will make a complete transformation and breakthrough in the automotive industry. Therefore, we hope to be able to help Chinese companies to succeed in the future competition of new energy vehicles in the world."


Datang NXP: Standing on the shoulders of giants, the Nuggets car electronic blue sea


The operation of Datang NXP's joint venture company is a strong combination of the two industry leaders. In the future, Datang NXP will occupy the leading position in the automotive electronics market relying on professional technology and high-quality products. Zhang Penggang, CEO and general manager of Datang NXP, said, “As a local company, it is of great significance for us to meet the needs of the Chinese market. Whether it is to promote the electrification of modern vehicles or to promote power management, we will continue to persevere. We are striving to innovate. At present, we have taken the first step of a beautiful journey and started to deliver products such as the lamp leveling system."


In product planning, he pointed out that Datang NXP's focus is on applying semiconductor solutions to the automotive sector in energy management, engine control and battery management, in order to meet the upcoming growth of vehicles such as gasoline and electric vehicles. New energy technologies needed. "The joint venture will be positioned in the energy management market for new vehicles. The first product will focus on energy conversion integrated circuits, including level shifting and power amplification for applications such as motor control and DC/DC conversion, support for hybrid and electric Lithium-ion battery-based vehicle semiconductor solution battery management solution. The plan portfolio also supports the electrification trend of diesel locomotives. The initial products will focus on energy conversion integrated circuits, including level shifting and power applications such as motor control, DC/DC conversion. Amplification, and battery management systems support advanced semiconductor solutions for hybrid and electric lithium-ion battery-based vehicles. In addition, the planned product portfolio is an increasingly popular passenger and commercial vehicle that supports the trend of engine electrification."


Zhang Penggang said that the most important key technologies in new energy vehicles are power management and motor control technology. “The products of the joint venture company are now focused on new energy vehicles, especially power management and control system chip research and development, so this can help us work closely with new energy vehicles and promote the rapid development of the Chinese market.”

Disclaimer: this article is derived from Jin Zhizhuo website integration, such as articles and draft involve issues of copyright, the author in the contact, please in this website, we will deal with as soon as possible.
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