Market Environment Analysis of 1. Chip Industry

The analysis of the market environment of the chip industry mainly includes four aspects: policy environment, economic environment, social and cultural environment, and technical environment. Through the analysis of these factors, we can understand the development background and influencing factors of the chip industry and provide the basis for subsequent market research.

1. Policy Environment

The policy environment is an important guarantee for the development of the chip industry, and the support and guidance of the government is of great significance to the development of the chip industry. In recent years, the Chinese government attaches great importance to the development of the chip industry and has issued a series of policies and measures to promote the independent innovation, industrial upgrading and market expansion of the chip industry. Here are some of the major policy initiatives:

In 2014, the State Council issued the outline for promoting the development of the national integrated circuit industry, which put forward the development goals and key tasks by 2020 and 2030, including improving the level of chip design, building a number of advanced manufacturing bases, cultivating a number of enterprises with international competitiveness, and strengthening personnel training and introduction.

In 2015, the State Council established the National Integrated Circuit Industry Investment Fund to provide financial support for the chip industry. As of the end of 2020, the fund has invested more than 200 billion yuan, involving chip design, manufacturing, sealing and testing, equipment, materials and other links. Effectively promoted the development of the chip industry.

In 2017, the State Council issued the New Generation Artificial Intelligence Development Plan, which proposed development goals and key areas by 2020, 2025 and 2030. Among them, chips are clearly used as the basic support for artificial intelligence, and it is required to accelerate the development of artificial intelligence chips and Related technologies to create a group of internationally competitive artificial intelligence chip companies.

In 2020, the State Council issued the Opinions on Accelerating the Cultivation and Development of New Consumption, and proposed measures to accelerate the cultivation and development of new consumption such as smart consumption, green consumption, and service consumption, including supporting the innovation and application of key technologies such as chips. Promote the development of new consumption such as smart terminals, smart homes, and smart cars.

In 2021, the State Council issued the ''Notice on Printing and Distributing the Outline of the National Science and Technology Innovation Medium and Long-term Plan (2021-2035) '', which put forward the vision and goals of scientific and technological innovation by 2035, including the realization of strategic, cutting-edge, and basic chips. Major breakthroughs in technology, building a group of chip industry innovation centers with international leading levels, and forming a group of chip companies with global influence.

The above policy measures show that the Chinese government has given a high degree of attention and support to the development of the chip industry, providing a favorable policy environment for the development of the chip industry.

2. The economic environment

The economic environment is an important foundation for the development of the chip industry, and economic growth and stability have an important impact on the demand and investment of the chip industry. In recent years, China's economy has maintained a steady and positive development trend, providing a favorable economic environment for the development of the chip industry.

From a domestic perspective, my country's economic scale continues to expand. In 2020, its GDP will reach 101598.9 billion billion yuan, accounting for 17.8 percent of the global economy, ranking second in the world. China's economic structure has been continuously optimized, with the added value of the tertiary industry accounting for 54.5 per cent of GDP in 2020, higher than the secondary industry's 39.1 per cent. The quality of my country's economy has continued to improve. In 2020, energy consumption per unit of GDP will drop by 2.1, and carbon dioxide emissions per unit of GDP will drop by 1.0. my country's economic innovation capabilities have continued to increase. In 2020, R & D expenditures will reach 2645.5 billion billion yuan, accounting for 2.4 percent of GDP, ranking second in the world. The development of China's economy in terms of scale, structure, quality and innovation has provided a strong driving force and guarantee for the demand and investment of the chip industry.

From an international point of view, China's economy is increasingly closely linked with the world economy. In 2020, the total value of China's import and export of goods will reach 32.16 trillion billion yuan, accounting for 12.8 percent of global trade, ranking first in the world. The contribution rate of our economy to the world economy has reached 28.5 per cent, ranking first in the world. The increasing openness and influence of China's economy has provided broad space and opportunities for market expansion and technical cooperation in the chip industry.

The above economic data show that China's economy has maintained a good momentum of development, providing a favorable economic environment for the development of the chip industry.

3. Social and cultural environment

The social and cultural environment is an important background for the development of the chip industry, and the needs of society and the value of culture have an important impact on the development of the chip industry. In recent years, China's social and cultural environment has undergone profound changes, providing a favorable social and cultural environment for the development of the chip industry.