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I feel like this is a fairly small investment on the scale of the semiconductor industry, although it would be large for a single company if we were talking about a single year. See, for example, https://wccftech.com/chinese-chip-giant-smic-shaken-by-tarif... US$7.5 billion in capex at SMIC this year. But SMIC is just the largest of dozens of Mainland China semiconductor firms, and a lot of that investment is going into cutting-edge strategic nodes, not 180nm stuff from last millennium.

Don't get me wrong, you need that stuff from last millennium—not just 180nm but also the 6 μm I suspect "foundational" actually refers to. You need power regulation, precision measurement, and RF frontends in analog, and analog can't scale down the way digital can. And TI actually retains a world-leading position in those chips, with better and cheaper ICs than anything out of Mainland China today. But it's potentially a game of chasing China's taillights.

SiGe might be an exception; even at 130nm, IHP's SiGe BiCMOS process can hit 450GHz oscillation frequency and 350GHz ft, so even at fairly coarse process node sizes, SiGe could be a strategic enabling technology for submillimeter communication such as Starlink, which is reportedly critical for weapons such as Ukraine's naval drones.


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