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R&D and innovation drive semiconductor growth, with chip giants like TSMC leading the charge. Notably, according to ijiwei, Chinese semiconductor companies are actively increasing their R&D investments as well. In 2024, a total of 221 A-share listed Chinese semiconductor companies recorded a combined R&D expenditure of RMB 94.08 billion, with total revenue reaching RMB 882.2 billion—resulting in an overall R&D expense ratio of 10.66%. The average R&D spending per company was RMB 426 million, as the report notes.
As indicated by the report, in terms of R&D investment, China’s largest foundry SMIC ranked first among all companies, with R&D spending of RMB 5.447 billion (nearly USD 765 million) in 2024. Next was China’s chip equipment giant Naura Tech—focused on etching, deposition, and cleaning/epitaxy—with R&D spending reaching RMB 3.669 billion in 2024.
It was followed by Wingtech, Hygon Information, and Will Semiconductor, whose R&D expenditures were RMB 2.958 billion, RMB 2.91 billion, and RMB 2.622 billion, respectively.
Notably, China’s leading AI chip startup Cambricon spent approximately RMB 1.2 billion on R&D in 2024, up 8.8% from the previous year, as indicated by Economic Daily News.
Cambricon Technologies is gaining momentum as U.S. restrictions on NVIDIA’s H20 chips boost China’s AI chip sector. According to Economic Daily News, Cambricon reported first-quarter 2025 revenue of RMB 1.111 billion, a 4,230% year-over-year increase.
Meanwhile, ijiwei also highlights that compared to 2023, 168 Chinese semiconductor companies increased their R&D spending year over year. Among them, chip equipment maker Skyverse Technology saw a 118.17% increase in its 2024 R&D spending—making it the only company to more than double its investment.
In terms of R&D intensity (the ratio of total R&D spending to total revenue), according to ijiwei, Cloudwalk Technology posted an R&D expense ratio of 118.72%—the only firm to exceed 100%. Cambricon Technologies ranked second, with an R&D ratio of 91.3%, the report adds.
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(Photo credit: SMIC)
