Why SJ Semiconductor matters in China’s race to build home-grown AI chips
SJ Semiconductor’s listing highlights the growing role of chip packaging in China’s strategy to narrow the technology gap
SJ Semiconductor, a key player in China’s advanced chip packaging sector, has received approval to list on Shanghai’s Nasdaq-style Star Market on Tuesday, marking a fresh step in the country’s push for semiconductor self-reliance amid US restrictions.
Its planned initial public offering (IPO) marks a significant milestone for China’s chipmaking industry, as Beijing pivots towards the high-stakes field of advanced packaging.
The move also reflects how companies across China’s semiconductor supply chain are moving to meet surging demand for home-grown AI chips amid the global artificial intelligence frenzy.
What is advanced chip packaging?
At its core, advanced semiconductor packaging refers to a suite of manufacturing processes that integrate multiple dies into a single, high-performance electronic package.
By moving beyond the limits of a single silicon die, this approach boosts processing capability while reducing power consumption and production costs.
SJ Semiconductor uses advanced techniques including 2.5D and 3D-integrated circuits, heterogeneous integration and fan-out wafer-level packaging.
Each method represents a different way of assembling chips from a wafer into a single, electrically connected unit protected by plastic, metal or glass. These packaged chiplets are then mounted onto printed circuit boards, forming the high speed core of electronic devices.
