Huawei Technologies said on Monday that its advanced chips are expected to achieve transistor densities comparable to 1.4-nanometre process technology within the next five years, highlighting China’s push to overcome U.S. restrictions that have constrained access to cutting-edge semiconductor manufacturing.
The company did not present independently verified performance benchmarks, but the projection—announced at a semiconductor symposium in Shanghai—is notable as 1.4 nm is widely seen as approaching the global limit of chip miniaturisation by the end of the decade.
China is widely seen as unlikely to reach that level through conventional manufacturing alone because Washington has restricted its access to advanced lithography tools and other key semiconductor technologies.
Taiwan’s TSMC, the world’s largest producer of the most advanced chips, currently uses a 2-nm manufacturing technology and plans to introduce a 1.4-nm process for mass production in 2028.
New Chip Design
Huawei on Monday introduced a new chip design principle, arguing that performance gains can no longer depend solely on shrinking transistors.
Called the Tau Scaling Law, the approach focuses on reducing the time it takes for signals and data to move within chips and computing systems, potentially offering performance improvements despite U.S. restrictions on advanced semiconductor tools.
The company said its Ascend chips are already playing a key role in powering Chinese AI models, including DeepSeek’s latest V4, while upcoming Kirin chips will use a related “LogicFolding” architecture to shorten internal wiring and boost efficiency. Huawei added that it has designed and mass-produced 381 chips based on the new principle over the past six years.
Domestic Alternative To Nvidia
Huawei was placed on a U.S. trade blacklist in 2019, cutting it off from many American technologies, including chips, software, and global contract manufacturers. The company shifted into what it called “extreme survival mode,” relying on internal efforts such as a backup chip project led by He Tingbo, head of its semiconductor business.
In 2023, Huawei staged a surprise comeback with its 5G-enabled Mate 60 series, powered by a 7-nm chip made by China’s Semiconductor Manufacturing International Corp (SMIC).
SMIC shares rose 7.6% on Monday after Huawei’s announcement of its LogicFolding architecture.
Huawei’s latest chip strategy signals progress despite U.S. restrictions, though analysts say China still trails global leaders in advanced semiconductor technology.
The move follows Huawei’s October roadmap for its AI chips, including the Ascend series, amid rising domestic demand as Chinese firms look for alternatives to restricted Nvidia products. Nvidia CEO Jensen Huang recently said the company has “largely conceded” China’s AI chip market to Huawei.
(With inputs from Reuters)
