High chip technology content.
The chip industry has a high investment threshold and a long return cycle, and is born with high financial and technical barriers. In the chip market, leading enterprises can obtain monopoly profits through high-tech value-added products. According to Moore's Law, the chip industry is rapidly replaced, and new entrants, even if they enter the market with mid-to-low-end products, are likely to be unable to make ends meet due to the fact that sales growth cannot hedge the decline in unit prices.
In the chip market, leading enterprises can obtain monopoly profits through high-tech value-added products. According to Moore's Law, the chip industry is rapidly replaced, and new entrants, even if they enter the market with mid-to-low-end products, are likely to be unable to make ends meet due to the fact that sales growth cannot hedge the decline in unit prices.