Gree Electric Can Now Make its Own Chips, Chairwoman Says

TMTPOST -- Chinese home appliance giant Gree Electric has successfully developed its own chips, according to chairwoman Dong Mingzhu, marking a significant milestone six years after the company initiated its chip development efforts.

In an interview with Sina, Dong said that Gree now possesses capabilities spanning chip research, design, and manufacturing, achieved entirely without financial support from the Chinese government. However, she did not specify the types of chips the company is currently producing.

“What makes me most proud of is that I built this chip factory without taking a single penny from the government,” said Dong.

Back in 2018, Gree established a subsidiary to focus on designing chips for its air conditioners, aligning with its broader strategy to expand into the smart home sector. At the time, Dong revealed that Gree was spending 4 billion yuan ($549.45 million) annually on chips for its air conditioning units.

In March 2024, Dong further announced that Gree is constructing a Silicon Carbide (SiC) chip factory, with production expected to commence by June.

According to Gree’s 2023 Annual Report, the company has developed a range of products, including MCU chips, AIoT SoCs, and power semiconductors.

The 32-bit MCU series chips are already in mass production, with annual usage exceeding 30 million units. These chips are widely applied in household air conditioners, commercial HVAC systems, controllers, remote controls, consumer electronics, wearable devices, home appliances, healthcare equipment, commercial machinery, industrial sensors, and high-performance motor controls.

Additionally, Gree’s AI chips, paired with proprietary energy-saving algorithms, have passed mass production validation. These innovations enable over 15% energy savings in air conditioners, marking a significant advancement in the company's technological capabilities.

Gree’s initiative reflects a broader trend among Chinese companies like Xiaomi and Midea, which have been investing heavily in chip development. This pursuit of technological independence aims to bolster supply chain resilience and reduce reliance on foreign suppliers amid growing global uncertainties.