en.Wedoany.com Reported - Hubei Xingchen Technology Co., Ltd. announced the completion of its Series A financing round, exceeding 4 billion yuan, making it the largest financing in China's advanced packaging sector this year. The financing round has not yet completed industrial and commercial changes, but leading Chinese semiconductor investment institutions have already participated.
The significant influx of capital into the advanced packaging field stems from its technological potential. As traditional chip manufacturing processes approach physical limits, simply shrinking transistor dimensions is no longer sufficient to improve performance. Advanced packaging has become a critical path to break through chip performance bottlenecks in the post-Moore era. A semiconductor industry investor stated that Hubei Xingchen's 3D packaging technology is well-recognized in the industry, effectively enhancing memory bandwidth and reducing storage latency, playing a significant role in improving both cloud and edge computing power.
Alongside the financing progress, Hubei Xingchen's capacity construction has reached a critical juncture. At the end of June this year, the first batch of core process equipment for its Phase II pilot line, with a total investment of 4.58 billion yuan, was moved in, entering the installation and commissioning phase before production. Company General Manager Wang Yiqun previously revealed that the Phase II construction, from pile driving to equipment moving, took only nine months, with full line connectivity expected by September this year. Once the production line is fully established, it can simultaneously support the pilot runs and risk production of 40 to 50 chip types, as well as the performance verification of 30 to 40 sets of domestic semiconductor equipment and materials. Official estimates indicate that the project's annual revenue from R&D and foundry services could reach 2.7 billion yuan.
The total investment in Hubei Xingchen's Phase I and Phase II exceeds 7 billion yuan, with a planned monthly capacity of 20,000 wafers. The goal is to build China's largest and technologically leading high-density integrated packaging pilot platform, primarily serving high-performance AI computing chips, smart terminal chips, sensing-memory-computing integrated chips, and optoelectronic integrated chips.
Hubei Xingchen's financing and capacity expansion coincide with a window period for the overall acceleration of China's advanced packaging industry. In the first half of 2026, China's four major packaging and testing leaders have cumulatively announced expansion investments totaling 27.42 billion yuan, all focused on core AI computing areas. Among them, JCET invested 7.8 billion yuan to build a high-end advanced packaging and testing factory in Shanghai Lingang; its self-developed XDFOI Chiplet platform can already support 4nm-level chiplet integration mass production. TFME increased its investment in memory packaging, testing, and high-performance computing through a 4.22 billion yuan private placement, deeply binding with AMD to undertake high-end GPU packaging orders. Huatian Technology invested an additional 3 billion yuan in its Nanjing Phase II project, focusing on memory integrated circuits. Yosun Electronics bet on system-in-package and 2.5D stacking technology with a 12.4 billion yuan investment.
In this wave of capacity expansion, Hubei Xingchen has carved a unique path—it does not directly produce products but is committed to becoming a central node in the industrial chain, providing pilot testing services and risk production platforms for numerous chip design companies and equipment manufacturers. Its development trajectory is closely tied to its origins. Hubei Xingchen's predecessor was the technology transfer and industrial service platform of Jiangcheng Laboratory (one of Hubei's top ten laboratories). From its inception, it was positioned to promote the commercialization of research results through market-oriented operations and to use the proceeds from technology transfer to support the laboratory's basic research.
Hubei Xingchen founder Yang Daohong currently serves as the director of Jiangcheng Laboratory. He previously held positions including Director of the Investment Promotion Bureau of Wuhan East Lake High-tech Zone and Deputy General Manager of the Hubei Yangtze River Economic Belt Industrial Fund Management Company. He has also managed technology in several integrated circuit companies, possessing both industrial policy insight and technical management experience, and is a well-known expert in the semiconductor field. As its business scale expanded and marketization deepened, the company was renamed Hubei Xingchen Technology Co., Ltd., transitioning from laboratory incubation to independent industrial operation. In 2024, Hubei Xingchen built China's first comprehensive advanced packaging experimental platform (Phase I) in just nine months, capable of simultaneously supporting 8 to 10 chip process R&D pilot runs and 10 equipment and material verifications. That same year, it received 500 million yuan in strategic investment with government support, including investment from A-share listed company Hubei Jingce Electronic Group (300567.SZ).
In terms of customer collaboration, Hubei Xingchen has established a joint R&D model with equipment companies. Taking XinFeng Precision as an example, the two parties integrated the thinning, tape removal, and tape lamination processes into a single piece of equipment, improving wafer processing efficiency. After passing production line verification, the equipment was quickly brought to market. Equipment jointly developed with NAURA took less than a year from requirement proposal to verification, with cumulative shipments exceeding 30 units.
To date, Hubei Xingchen has facilitated the pilot runs of nearly 30 high-performance chips and provided verification for 35 types of domestic equipment.
