The rise of China's fabless industry

Junko Yoshida , Peter Clarke
EETimes (6/15/2011 12:28 PM EDT)

As VC money for chip companies has dried up on Sand Hill Road, the semiconductor industry has effectively migrated to China – along with talented Chinese engineers armed with U.S.-earned Ph.D’s and the hands-on business experience gained as prize recruits in Silicon Valley companies.

Indeed, Chinese fabless companies are springing up across the country -- as many as 300 of them, according to industry estimates. The Chinese government, abetted by Western companies, offers these startups an unprecedented array of competitive advantages, including access to funding, IP cores, tools, engineering talent and foundry agreements.

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