In-depth Analysis of ChangXin Memory Technologies' Business Strategy Reflected in Employee Headcount Changes

Based on public data, ChangXin Memory Technologies’ employee headcount shows a significant growth trend:

Time Node	Total Employees	R&D Personnel	Proportion of R&D Personnel
2023	3,565 people	-	-
End of 2024	-	4,143 people	~30%
June 30, 2025	~15,300 people	4,653 people	30.41%

Based on data extrapolation, from 2023 to the first half of 2025, total employee headcount increased by approximately

, and R&D personnel grew by over , demonstrating the characteristics of high-speed expansion typical of semiconductor companies [0][1][2].

ChangXin Memory Technologies adopts a

strategy. From 2022 to the first half of 2025, cumulative R&D investment reached , accounting for of cumulative revenue, far exceeding international DRAM giants [0][1][2]:

• Comparison of R&D Expense Ratios
  : CXMT’s R&D expense ratio reached 23.71% in the first half of 2025, far exceeding the industry average of 10.37%, and also higher than Samsung Electronics (11.74%), SK Hynix (7.39%), and Micron Technology (10.66%) [1]
• Proportion of R&D Personnel
  : Remained above 30% at all times, reflecting strategic emphasis on technical talent [1]
• Patent Portfolio
  : As of June 2025, the company holds 5,589 patents (3,116 domestic, 2,473 overseas), and ranked 22nd globally in international patent applications in 2023 [1][2]

This strategy reflects the business philosophy of

, establishing a technological moat through continuous large-scale investment.

The rapid expansion of employee scale is synchronized with capacity construction [0][2]:

• Continuous Improvement in Capacity Utilization
  : From 85.45% (2022) → 87.06% (2023) → 92.46% (2024) → 94.63% (H1 2025)
• Wafer Fab Construction
  : Operates
  3 12-inch DRAM wafer fabs
  in Hefei and Beijing
• Capacity Ramping
  : Capacity is expected to grow by nearly 50% in 2025 as planned [1]

This reflects the

strategy, diluting unit costs by expanding capacity and laying the foundation for subsequent profitability.

ChangXin Memory Technologies adopts a

[0][2]:

• Completed mass production from the 1st to 4th generation process technology platforms
• Completed product iteration from DDR4→DDR5 and LPDDR4X→LPDDR5/5X
• DDR5 products reach a speed of 8000Mbps, and LPDDR5X has a maximum speed of 10667Mbps, with performance reaching international advanced levels

This strategy requires a large number of R&D talents to support it, reflecting the strategic thinking of

.

Rapid expansion of customers and markets has driven headcount growth [0][1][2]:

• Customer Coverage
  : Core customers including Alibaba Cloud, ByteDance, Tencent, Lenovo, Xiaomi, Transsion, Honor, OPPO, vivo, etc.
• Market Share
  : Increased from 6% in Q1 2025 to an expected 8% by the end of the year
• Product Coverage
  : DDR5 market share is expected to increase from 1% to 7%, and LPDDR5X from 1% to 9%

As an enterprise adopting the

, ChangXin Memory Technologies needs to deploy multiple types of professional talents including R&D personnel, process engineers, and production staff [2]:

• The proportion of fixed assets to total assets increased from 46.05% (2022) to 59.19% (H1 2025)
• The book value of fixed assets grew from RMB 68.016 billion to RMB 171.593 billion

1. Technological Breakthrough Window
   : Seize the AI-driven growth cycle of memory chip demand
2. Import Substitution Opportunity
   : Meet the supply chain security needs of domestic terminal brands
3. Emergence of Scale Effects
   : With the improvement of capacity utilization, gross margin improved from -3.67% (2022) to 35.00% (Q3 2025)

1. Talent Competition Pressure
   : Fierce talent competition in the semiconductor industry, with poaching via high salaries being common
2. Depreciation Pressure
   : Under the heavy asset model, equipment depreciation amount continues to increase (reached RMB 14.875 billion in 2024)
3. Technological Iteration Risk
   : If R&D progress falls short of expectations, it may affect the investment payback period

The rapid expansion of ChangXin Memory Technologies’ employee headcount reflects its

:

• Short-term
  : Support capacity ramping and technological R&D through headcount expansion
• Medium-term
  : Achieve scale effects, reduce unit costs, and improve profitability
• Long-term
  : Establish technological barriers, break international monopoly, and achieve independent controllability of domestic memory chips

This strategy conforms to the

development law of the semiconductor industry, reflecting the strategic resolve and long-termism of ChangXin Memory Technologies as a leading domestic DRAM enterprise [0][1][2].

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[0] EET-China - “Official Announcement! CXMT Raises RMB 29.5 Billion to Sprint for STAR Market, Targets RMB 58 Billion in Revenue in 2025” (https://www.eet-china.com/mp/a463906.html)

[1] Wall Street CN - “China’s First Memory Chip Stock Arrives! CXMT’s STAR Market IPO Application Accepted” (https://wallstreetcn.com/articles/3762337)

[2] Phoenix Finance - “H1-H3 2025 Revenue Reaches RMB 32.084 Billion! CXMT’s Prospectus Unveils the Growth Code of Domestic Memory Chips” (https://i.ifeng.com/c/8pXIqoIKum1)

[4] Baidu Encyclopedia - “ChangXin Memory Technologies Group Co., Ltd.” (https://baike.baidu.com/item/长鑫科技集团股份有限公司/64261783)"