From the perspective of the industrial chain of integrated circuits, it is mainly divided into three links: design, manufacturing, packaging and testing. Combining the theory of smile curve to understand, from the left end focusing on technology/innovation, the bottom end focusing on manufacturing, and then on the right end focusing on brand/marketing, semiconductor companies do not occupy a certain ring separately. Taking Intel as an example, its biggest competitive advantage is in chip design, but generally, it will hand over chip production to foundries. Many of the core patents of these foundries are actually in the hands of chip design companies. The most typical example is TSMC. Although it is the world's largest chip foundry, American shareholders control most of the shares, and core patents are also in the hands of American companies. Therefore, the United States sanctioned Huawei and caused TSMC to cut off supply to Huawei. .