Zhao Haijun of SMIC: Hardware investments by Chinese Internet companies exceed expectations; computing power and supporting chips are in short supply.

Zhao Haijun, co-CEO of SMIC, stated at the performance conference that the significant increase in hardware investment by Chinese internet companies was beyond the company's previous forecasts. It is clearly felt that when clients discuss future cooperation with the company, the subsequent offline quantities far exceed original expectations. The directly related demand, as well as accessories chips related to circuit boards and computing boards in data centers, such as logic circuits, BCD, and optical modules for transmission and reception, are all in short supply.