Unlocking DDR5 Potential
In a world where technology is in constant flux, CXMT is demonstrating remarkable resilience in the memory chip sector. A recent Citigroup analysis reveals that China’s domestic memory chipmaker has achieved an impressive 80% yield rate for DDR5 chips. This milestone is a significant leap from their initial struggles, where yields hovered around the 50% mark when production first kicked off.
Progress on All Fronts
Building on the foundations laid with DDR4 production, where CXMT hit around 90% yields, the company has grown into its stride. Operating two fabs in Hefei, the first facility is dedicated to DDR4 on a 19 nm process, while the second focuses on DDR5 production utilizing more advanced 17 nm technology. With a current capacity of 50,000 wafers per month, the sky might just be the limit for CXMT as they aim for a possible 90% yield by the end of 2025.
Future Challenges Ahead
Despite these impressive improvements, CXMT is not without its challenges. Technology-wise, they lag behind industry giants Samsung and SK Hynix, who manufacture DDR5 chips at a lean 12 nm. This gap could result in higher power consumption and form factors that may not be as market-friendly. However, CXMT isn’t resting on its laurels; plans are underway to increase DDR5 and HBM capabilities, potentially adding 50,000 wafers at fab 2 if conditions prove favorable. Low-volume production of HBM2 is also on the horizon, with customer sampling already in progress.
