Chinese memory chip giant ChangXin Memory Technologies (CXMT) and Alibaba Group have anchored a 3.91 billion yuan ($577 million) long-term investment fund to accelerate domestic semiconductor innovation, according to a Chinese business registry filing. The fund is the latest example of how China's tech champions are joining forces to counter U.S. export restrictions that threaten the country's chip supply chain.
The private equity fund is designed as 'patient capital'—capital willing to wait years for returns—to nurture breakthroughs in 'hard tech' sectors such as advanced memory, logic chips, and manufacturing equipment. Washington's expansion of curbs on cutting-edge chip technology sales has pushed China to seek self-sufficiency, making such long-horizon funding critical.
The registry filing listed CXMT, Alibaba, and multiple state-backed investment firms as initial investors, but did not disclose individual commitments. The launch coincides with CXMT's separate push to go public. The Shanghai Stock Exchange has accepted the company's application to list on the tech-focused STAR Market, where Chinese financial media reports suggest the DRAM leader could secure a valuation of up to 300 billion yuan ($41.8 billion).
CXMT has stated its aim to become one of the world's top four DRAM producers, competing directly with Samsung Electronics, SK Hynix, and Micron Technology. The new fund will complement IPO proceeds by channeling capital into expanding fabrication plants and supporting domestic equipment and materials suppliers.