When Dallas City, located in the western U.S. state of Texas, decided to build its first plant in China, one of the world's most influential semiconductor companies set its sights on Chengdu, the capital of Sichuan, more than 10,000 kilometers from its headquarters. At that time, TI had been working in the Chinese market for more than 20 years, with three R&D bases, two local product distribution centers and 17 sales offices across the country, and the establishment of factories became an important step in its local supply chain strategy.
Settle and move
Fast forward to 2010, when a global IDM semiconductor company like TI was one of the few direct factories in China, what prompted TI to make this decision?
"China is an important market for TI, we have a large customer base in China, and investing, expanding and growing with our customers is in line with our global strategy and long-term plans." Hu Yuhua, GLOBAL VICE PRESIDENT OF TI AND PRESIDENT OF CHINA, summed up the motivations for TI's decision ten years ago, giving the answer, "The blueprint for having an organic and planned manufacturing base in China is a key factor in the success of this plan, making TI's resource deployment and investment in China form a complete closed loop." TI can provide local customers with a full range of services from R&D design, production, product distribution, sales and technical support. ”
Hu Yuhua, Global Vice President and President of TI China: The establishment of TI's Chengdu manufacturing base is the key to TI's China strategy, making TI's resource investment in China form a complete closed loop. Full support is available for local customers.
Previously, TI has established factories in some Asian countries, and with the growing of China's semiconductor market and the subsequent strong development momentum, TI believes that there is an urgent need to optimize the resources close to its Chinese customers, "We have to meet customer needs in products and solutions, production, delivery, logistics and other aspects, so we see the necessity of establishing factories in China," Hu Yuhua said. ”
Building a factory, site selection is a very critical decision, why choose Chengdu? In fact, as early as 2006, TI has begun to contact with the Chengdu government, at that time an opportunity was chengdu in 2005 by Chengdu Industrial Investment, Chengdu High-tech Zone joint investment, SMIC hosted and operated the way to build the first 8-inch factory in the west - Chengxin Semiconductor, through contact and negotiation with the Chengdu Municipal Government, and finally through the acquisition of Chengxin Semiconductor, TI quickly realized the landing of 8-inch wafer manufacturing plant and equipment. In October 2010, TI officially announced the establishment of the 8-inch fab CFAB with a registered capital of 117 million US dollars, the main products are power devices and mature analog devices, and the sales revenue after production exceeds 1 billion US dollars.
Photo In October 2010, TI officially announced the establishment of the 8-inch fab CFAB
"In this process, the Chengdu municipal government has left a deep impression on us." Hu Yuhua said, "The government of Chengdu High-tech Zone has been actively communicating in the early stage of site selection and operation, from creating a good foreign investment environment to the cooperation of human resources, this efficient way of working makes TI full of confidence in settling in Chengdu." ”
In addition to chance, Hu Yuhua said that there were more dimensions to consider when choosing Chengdu. First of all, Sichuan's total economic volume ranks first in the central and western regions, as a provincial capital city, Chengdu is at the forefront of the development of the electronic information technology industry, TI's product portfolio has about 80,000 products, there are about 100,000 customers in the world, many well-known companies in the local electronics industry are TI customers; secondly, Chengdu has a very perfect infrastructure construction system, and its airport transportation capacity ranked fourth in the country that year. This convenient and fast logistics can help TI to deliver products to customers in a timely manner.
More importantly, semiconductor manufacturing is inseparable from talents. TI regards talent as the most competitive asset and is committed to providing a comprehensive career development program. Chengdu has a rich talent pool of electronic engineering talents. "We will continue to increase investment to better support the innovation of universities and the cultivation of China's electronic engineering talents." Hu Yuhua emphasized, "In terms of professional talent training, more than 50% of ti's Chengdu factory employees are local talents. In the future, we will also create jobs for more talents. ”
Ten Years of Grand Plan Exhibition
When Chen Taixiang, general manager of Chengdu Manufacturing Base, came to Chengdu in 2013 to join the CDAT creation team of Chengdu Packaging and Testing Factory, this was ti's second factory in Chengdu. At that time, TI's fab had been around for 3 years, and its production capacity began to increase gradually, and TI's determination to invest in Chengdu was also strengthened. In 2013, TI and the Chengdu Municipal Government once again signed an investment cooperation agreement – TI will add a total investment of 10 billion yuan in the next 15 years, including the expansion of the capacity of existing fabs CFAB and fab cPROBE, cdAT of new packaging and test plants, and CBUMP of 12-inch bump processing plants. Since then, TI Chengdu Manufacturing Base has become the only world-class manufacturing base in THE world that integrates wafer manufacturing, packaging testing, bump processing and wafer testing.
Chen Taixiang, General Manager of Chengdu Manufacturing Base: CDAT is the most advanced packaging and testing factory for products provided by customers around the world
"From the very beginning of the project, CDAT is to build the most advanced packaging and testing plant for global customers, and the factory has the ability of 8-inch and 12-inch factories at the beginning of the factory, so the imported equipment can be packaged with 12-inch wafers." Chen Taixiang said, "Including the later bump processing is 100% 12-inch equipment, that is, to ensure advanced." ”
Since 2013, the construction project of TI Chengdu Manufacturing Base has been steadily expanding, and the production capacity is also expanding, providing a solid foundation for its stable growth:
In 2014
TI Chengdu Packaging and Test Factory CDAT was officially put into operation, focusing on advanced square flat leadless package (QFN) and wafer level packaging (WLCSP) processes. This year, CFAB was also audited and certified by automotive customers. TI Chengdu has been steadily and steadily growing, and has been awarded the title of "Environmental Protection Excellence Achievement Award" and "China Quality integrity enterprise" by the high-tech zone. In the same year, TI China donated two Hope Primary Schools, located in Nanfang County and Danling County in Sichuan.
In 2015
TI officially announced the construction of a 12-inch bump processing plant project CBUMP, which will become an important support plant for the production of Chengdu Packaging and Test Factory.
In 2016
CBUMP's cleanroom construction was completed and ready for production, and in the same year, CDAT reached the milestone of 1 billion units shipped. TI Chengdu was awarded the titles of "Best Quality Team" and "A-class Qualified Supplier" by some customers in that year, and was awarded the titles of "Top 100 Taxpayer Enterprises" and "Top 50 Enterprises in Strategic Emerging Industries in The High-tech Zone" by the High-tech Zone. This year marks the 30th anniversary of TI's entry into China, TI's Chengdu manufacturing team and China sales team run for love, collect miles for poor children with heart disease to donate heart surgery, and celebrate the thirty-year milestone in a special way!
In 2017
CBUMP was officially put into production, and CPROBE already had 8-inch and 12-inch testing capabilities during the same period.
In 2018
TI decided to build a new packaging and testing plant and install a new production line in Chengdu, and passed a number of audit certifications to move forward more efficiently; in the same year, it was awarded the "Chengdu Occupational Health Management Demonstration Unit".
In 2019
The groundbreaking ceremony of the expansion project of the sealing and testing plant was officially held, and the building broke ground. In the same year, TI Chengdu obtained the "AEO General Certification Enterprise Certificate" awarded by the customs and was rated as "Water-saving Enterprise in Sichuan Province". The building is currently topped out and is expected to bring in additional capacity in 2021, enabling growth in the coming years.
In 2020
On the 10th anniversary of the establishment of TI Chengdu, in the same year, the expansion building of the sealing and testing plant was capped and internal engineering was carried out. In addition, in 2020, under the new crown epidemic, TI Chengdu strives to protect the safety of every employee, and at the same time resumes work in an orderly manner, striving to complete the delivery commitments to customers, including the demand for medical electronic products and critical infrastructure; and has been listed as a "demonstration unit for the prevention and control of the new crown epidemic" by the high-tech zone.
Obviously, TI Chengdu's decade has given TI more enthusiasm for its global strategy, and has also created more industrial value for its Chinese market and customers. Hu Yuhua believes that this is significant for TI, because being close to local customers is a decisive factor in winning customers. "TI attaches great importance to localization of the whole industry chain business, and having an end-to-end manufacturing plant in China is an important part of TI's logistics chain in China and even the world." Hu Yuhua said, "For Chinese customers, it is important to see how our factories are operating and give them confidence in TI's products and quality standards. As a global company, customers are supported by TI's global team in terms of R&D, production, quality, supply chain, etc. ”
Through ten years of continuous investment, TI's Chengdu plant has accumulated a lot of capabilities in product technology and operation: In wafer manufacturing, CFAB has been producing NexFet MOSFETs since its inception, which is the industry's highest-performance power management technology (which provides low gate charge and low resistance for fast switching transistors). Over the past 10 years, CFAB has continued to develop technologies and continuously expand the manufacturing capabilities of TI's product portfolio. Since the end of 2011, TI has continued to conduct technology development at CFAB and has introduced simulation technology suitable for various products according to the needs of customers. By the end of 2020, Chengdu factory shipments will reach a record high.
In terms of packaging and testing, CDAT has realized an end-to-end all-category process from the smallest 1.5mm × 1.5mm to 12mm × 12mm QFN to the complete WLCSP. Chen Taixiang said that CFAB's products for embedded applications power management MOSFETs and analog devices are TI's main products, which can meet the needs of customers including automotive, industrial, medical, handheld devices and other diversified products. In terms of packaging technology, advanced processes such as QFN and WLCSP are very suitable for power management and analog devices, and these products are also applied to massive products such as mobile phones and watches, including medical devices such as infrared ranging and thermometers, which have also played an important role in the fight against the epidemic this year.
In addition to wafer fabrication and packaging testing, in 2017, TI Chengdu's advanced 12-inch bump processing plant, CBUMP, was put into operation, a process designed to provide smaller chips to meet the needs of system equipment that requires extremely high volume space. The commissioning of CBUMP has achieved the last link in the end-to-end of TI Chengdu.
In 2017, CBUMP, TI's advanced 12-inch bump processing plant in Chengdu, was put into operation
As part of the entire end-to-end process operation in Chengdu, its fab, CPROBE, plays an important role. CPROBE has established advanced technical testing capabilities and systems to support product promotion throughout TI's Chengdu factory and global customers. In advanced probe test technology, CPROBE focuses on wafer-level probe testing of high-performance devices, including 8-inch and 12-inch wafer testing in different temperature ranges (HT/RT/CT), while CPROBE uses the world's leading tester and high-end probe technology to provide powerful test capabilities.
In the process of continuous development, TI Chengdu has also faced a series of challenges. Chen Taixiang said that throughout this decade, there are three types of challenges have been well solved: First, because the fab originated from the acquisition of the core factory at that time, so for TI Chengdu, the preparatory process is more about how to transform after taking over, from a foundry to TI's own factory, from receiving orders from external customers to supporting internal team orders, which is the adjustment of factory attributes; second, after the acquisition of the core factory, the original employees adapt to the company's culture, especially TI's high standards and strict requirements in ethics, quality, safety and other aspects. There is a process of over-the-top and adaptation; the third is that the 512 earthquake in 2008 and the outbreak of the new crown epidemic this year are huge challenges for TI, how to ensure the safety of employees without affecting production, "In addition to the solid foundation laid in the past 10 years, and the strong execution of the entire team, we also received global support and resources to help recover and successfully survive this difficult period." ”
Eun Mo Gong Chun Hui
While realizing its global value influence, an enterprise must be accompanied by the practice of its own social responsibility. For TI Chengdu, it has been included in the TI CSR project system since the project was established. Chen Taixiang stressed that TI Chengdu has high basic standards and values, including abiding by business ethics, strictly complying with environmental protection, health and safety regulations, and formulating its own strict implementation standards to manage and operate the factory as a responsible corporate citizen. In order to implement TI's corporate social responsibility, TI Chengdu has set up its own public welfare volunteer team, as an important part of TI China's public welfare affairs, and will allocate corresponding funds and manpower investment every year to give back to the society.
"TI's ideal is to make electronic products more economical and practical through semiconductor technology and create a better world," Hu said. She believes that the application of semiconductors is helping to reduce the environmental impact of electronics and will continue to play a key role: they reduce energy consumption by making motors smarter, they achieve an environmentally friendly environment by powering new energy vehicles, and they can also protect natural resources by inducing water or gas leaks. "We want to eventually build TI into a company that we can be proud of ourselves and want to live next to each other, and for all employees, customers, communities, and other stakeholders to benefit from our success."
TI's CSR programs and social welfare projects in China focus on three areas:
The first is to send charcoal to the local community.
For example, when the COVID-19 outbreak broke out in February this year, TI donated 2 million yuan to the China Youth Development Foundation within a week for anti-epidemic work in Hubei Province. Eventually, the donated funds were used to purchase ventilators to rescue patients in Huanggang City and Xiangyang Central Hospital. Previously, during the Wenchuan and Ya'an earthquakes in Sichuan, TI quickly organized donations for disaster relief and post-disaster reconstruction. In addition, TI has been concerned about the health and growth of disadvantaged adolescents and children. TI's "Run for Children" donates to the Charity Foundation every year through the participation of employees across the country to donate steps for the operation of children with heart disease. This year, TI employees ran more than 100,000 kilometers a month to help three children with heart disease successfully undergo surgery. Every quarter, the cities where TI branches are located organize volunteers to bring electronic enlightenment, English and art rehabilitation courses to children in schools for the children of agricultural workers or vulnerable children's care organizations such as autistic children. During the COVID-19 pandemic this year, TI volunteers also volunteered online.
Second, environmental protection.
In TI's annual CSR annual report, there are clear and complete reports on how TI protects the environment, reduces emissions and saves energy in every aspect of the process from R&D and design products to production to operation. Every year, TI China organizes volunteer activities "Cycling To Work Week" and "Earth Day" activities, through interesting activity design, so that employees can easily participate and contribute a green.
Supporting education is the most important part of TI's CSR program. Since July 2012, TI and the Ministry of Education of China have signed a Memorandum of Understanding to donate 370 "TI Multimedia Classrooms" in six provinces: Yunnan, Sichuan, Henan, Qinghai, Gansu and Guizhou. Each multimedia classroom will be equipped with projectors, computers, electronic whiteboards and other equipment based on TI DLP technology and their software to support the construction of school informatization infrastructure in poor areas of central and western China and narrow the gap between urban and rural digitalization. According to incomplete statistics from the Central Electrochemical Education Center, 5,060 teachers and 78,318 students have directly benefited from this project.
In addition, TI has maintained long-term cooperation with the China Youth Development Foundation.
At present, 13 Hope Primary Schools have been donated in China, of which 7 Hope Primary Schools have been put into use. In addition to donations of materials and equipment, TI also encourages employee volunteers, university students and electronic engineers to use their technical backgrounds to provide advice for the electronic science enlightenment of students in remote areas, design a series of courseware and electronic teaching aids and teach themselves. "TI Magic Core Classroom" has been launched in TI Hope Primary School and will be taught as a long-term project in more TI multimedia classroom schools and schools in the communities where TI branches in China are located. Every year, TI China organizes employee volunteers to visit the completed TI Hope Primary School. Bringing books, stationery, educational toys to the children, volunteers will also be paired in pairs to provide children with electronic lessons, English lessons, painting lessons and fun sports meetings. The return visit activities of TI Chinese volunteers have become a day that children eagerly look forward to every year.
In 2018, Dezhou Instrument (TI) Hope Primary School in Xishan Township, Bama Yao Autonomous County, Guangxi Province was officially completed and used.
In addition, TI spares no effort to assist poor college students. Every year, about 300 students from eight Chinese universities receive financial aid for poor students, and since 2007, TI has provided about 10 million yuan in financial aid, benefiting a total of 2,225 students. At the same time, TI China employees also actively participated in a variety of social welfare activities.
Write at the end
The so-called time is also the trend. Looking back at the past decade, China's total GDP has more than doubled, of which the contribution of the information technology industry is outstanding, and the semiconductor industry is undoubtedly the biggest driver. In the last 5 years alone, China's integrated circuit imports have grown from $217.72 billion to $306.43 billion, an increase of 40.7%! The growth momentum of China's semiconductor market has provided huge dividends and impetus for the localization of global semiconductor companies in product research and development, supply, logistics, manufacturing and other aspects.
After several years of hard work, TI has 3 local R&D centers, 1 end-to-end manufacturing base, a local product distribution center that can be distributed to Chinese customers within 48 hours, sales and technical support centers in 17 cities, and more than 2,000 employees. Ti's ten years in Chengdu are also the fastest growing decade in the 35 years since TI worked in China. It is not only the decade of TI's global localization strategy practice, but also the most representative decade of the entire semiconductor industry in the wave of the fourth industrial revolution! TI continues to innovate, invest, and grow with customers and employees in China, and the future can be expected!