Montage Technology, a semiconductor design company, is presently among the global leaders, ranking as one of the top three providers of connector chips for the DRAM sector worldwide.
Chinese
semiconductor
company
Montage Technology
reported a sharp surge in revenue and profit in the March quarter, following a significant rise a year earlier, in a sign of the country’s expanding presence in the memory chip segment.
The
Shanghai
A company specializing in integrated circuit design, which provides connectors for dynamic random-access memory (DRAM) chips, reported in a statement on Wednesday that its revenues for the first quarter amounted to 1.21 billion yuan ($166 million), marking an increase of 65.78% compared to the previous year. The net profit surged by 135.14%, rising to 525 million yuan from 223 million yuan over the same period last year.
The robust expansion Montage experienced in the previous quarter can be credited to the
artificial intelligence
(AI) industry, as demand rose for DDR5 (Double Data Rate 5) DRAM chips used in high-performance computing systems and
data centres
The firm reported on Wednesday that shipments of both their DDR5 and RCD (Registered Clock Driver) chips have significantly increased.
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Currently, Montage ranks among the top three providers of DDR5 connector chips globally, alongside Japan’s Renesas Electronics and the U.S.-based Rambus. According to Montage’s 2024 annual report, most of its client base originates from markets outside of China.
This demonstrates China’s increasing role in the worldwide semiconductor supply chain, notwithstanding
US tech restrictions
.
China’s top DRAM manufacturer,
ChangXin Memory Technologies
, on Wednesday
released an unusual call for recruits
For its Japanese branch, as the firm intends to tackle
SK Hynix
,
Samsung Electronics
and
Micron Technology
in the global market.
In 2024, Montage reported a 59.2 percent increase in overall revenue compared to the previous year, reaching 3.64 billion yuan. Additionally, their net profit surged by 213.1 percent, as stated in their most recent annual report released earlier this month.
Montage was established in 2004 by
Howard Yang Chonghe
, who serves as the firm’s chairman, chief executive and chief scientist. He previously worked on chip design and development at companies such as National Semiconductor in the US, according to the company’s website.
Along with Montage, a number of other leading Chinese chip companies have reported strong financial results on the back of the country’s efforts to achieve technology self-sufficiency, despite tightening US sanctions.
Beijing
-based
Cambricon Technologies
, an AI chip designer that supplies domestic alternatives to
Nvidia
‘s graphics processing units, last week posted first-quarter revenue of 1.11 billion yuan, up 4,230 per cent from a year earlier.
Nvidia earlier this month said it
would incur $5.5 billion in losses
Following the U.S. government’s move to mandate licenses for exporting the H20 AI chips to China, specifically designed for mainland firms to develop AI models, things have changed.
Recently, Chinese semiconductor equipment suppliers have experienced an increase in sales, with Naura Technology Group being one of them.
projecting 51 per cent
steadily rising first-quarter revenues each year.
Shanghai-based
Advanced Micro-Fabrication Equipment
witnessed a 44.73 percent increase in its 2024 revenues compared to those of 2023. The firm’s founder, chairman, and CEO, Gerald Yin Zheyao, was at the helm during this growth.
gave up his American nationality
and reinstated his Chinese citizenship, as stated in their most recent annual report released last week.
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