Wuhan Tianyuan has made a strategic move by investing 7.5 million yuan to secure a 60% equity interest in Zhongxun Semiconductor (Jiangsu) Co., Ltd., marking its formal foray into the realm of indium phosphide semiconductor materials. The company also earmarks 67 million yuan for the construction of a complementary (Note: here, "complementary" is used to convey the idea of a production line that supports or works in tandem with the main operations, providing a more natural and idiomatic expression than "supporting" or "ancillary" in this context) production line. Zhongxun Semiconductor boasts proficiency in the production technology of 2-4 inch indium phosphide single crystal substrates, achieving a yield rate of around 30%. Presently, it is intensifying its efforts in the research and development of 6-inch substrates, while simultaneously scaling up the production volume of 4-inch substrates. The company has dispatched samples to several leading semiconductor clients, with parameters verified, and is actively fostering collaborations and seeking out potential clients. Wuhan Tianyuan has expressed that indium phosphide represents a high-growth sector propelled by the AI industry and will constitute a pivotal future development avenue, synergizing with its existing business to establish a dual-engine growth model.
