In the first half of 2025, with the successive disclosure of semi-annual reports from four core A-share photomask companies—Lontu Photomask, Luvi Optoelectronics, Qingyi Photomask, and Crownstone Technology—the latest developments in this high-barrier sector's "arms race" have emerged. Through analyzing key dimensions including R&D investments, talent reserves, patent portfolios, and technological progress, this analysis aims to reveal the breakthrough momentum and future direction of domestic photomask companies in this competitive landscape.
**R&D Investment: Growth Patterns Within Divergence**
R&D expenses serve as the "fuel" for corporate technological competitiveness. In the first half of 2025, the four companies showed divergent patterns in R&D spending. Qingyi Photomask led with RMB 24.85 million in R&D expenses, though this represented a slight 2.48% year-over-year decline. Lontu Photomask, while spending only RMB 11.79 million on R&D, achieved an impressive 10.22% year-over-year growth, standing out among the four companies. Crownstone Technology and Luvi Optoelectronics recorded R&D expenses of RMB 19.51 million and RMB 18.01 million respectively, declining 15.92% and 9.59% year-over-year.
In terms of R&D expense ratios, Lontu Photomask led with 10.17%, significantly outpacing the other three companies, demonstrating its "heavy investment" approach to R&D. Qingyi Photomask stood at 4%, Luvi Optoelectronics at 3.31%, and Crownstone Technology at 2.82%. Lontu Photomask's high R&D expense ratio closely correlates with strategic initiatives including the commissioning of its Zhuhai facility and expansion into advanced processes, building momentum for future technological breakthroughs and market expansion.
The scale and proportion of R&D personnel directly reflect technological talent reserves. As of June 30, 2025, Qingyi Photomask emerged as the "talent powerhouse" with 106 R&D personnel, followed by Crownstone Technology with 97, Luvi Optoelectronics with 56, and Lontu Photomask with 43.
Regarding R&D personnel ratios, Qingyi Photomask (16.54%), Lontu Photomask (16.48%), and Luvi Optoelectronics (16.33%) showed minimal differences, while Crownstone Technology (12.52%) lagged slightly. This indicates that except for Crownstone Technology, the other three companies maintain high R&D talent density, providing human resource support for technological innovation.
Patents represent the "hard currency" of R&D achievements. Qingyi Photomask leads with 84 total patents, including 18 invention patents. While Luvi Optoelectronics has 67 total patents, it tops the group with 22 invention patents. Crownstone Technology and Lontu Photomask hold 72 and 70 total patents respectively, with 14 and 13 invention patents each. The number of invention patents directly reflects companies' breakthrough capabilities in core technologies, with Luvi Optoelectronics showing particularly outstanding performance, demonstrating its effectiveness in tackling key technologies.
**Technical Capabilities: Diverse Strengths Accelerate Domestic Substitution**
**Qingyi Photomask: Leading in Display Field, Consolidating Market Position**
In flat panel display photomasks, Qingyi Photomask ranks fourth globally and first in China. According to Omdia data, the company's flat panel display photomask sales ranked fourth globally in 2024. Its products cover 8.6-generation high-precision TFT photomasks and 6th-generation medium-to-high precision AMOLED/LTPS photomasks, with deep cooperation with major domestic panel manufacturers including BOE and Visionox. In the first half of 2025, the company achieved mass production of medium-to-high-end half-tone masks (HTM) and small-scale production of ultra-high specification HTM, with OLED HTM and high-specification phase shift masks (PSM) under development, continuously strengthening its technological advantages in the display field.
In semiconductor chip photomasks, Qingyi Photomask has achieved mass production at 180nm process nodes and small-scale production at 150nm, serving IGBT and silicon carbide applications with partnerships including Nexchip and BYD Semiconductor. SEMI forecasts Chinese semiconductor chip photomask demand to reach $695 million in 2025, but current domestic manufacturing capabilities remain weak and dependent on overseas suppliers. Qingyi Photomask is accelerating the improvement of semiconductor chip photomask localization rates through expanding process R&D capabilities.
**Luvi Optoelectronics: Frequent Technology Breakthroughs Breaking Foreign Monopolies**
Luvi Optoelectronics has achieved breakthroughs across multiple technical fields, narrowing gaps with leading foreign companies. In G11 high-precision ultra-large size photomasks, the company is the first and only domestic enterprise mastering this technology, ranking fourth globally. In half-tone photomasks, it has achieved mass production across all generations, breaking long-standing foreign monopolies. In PSM development, it has completed attenuated phase shift mask process technology development, with some products already in mass production or customer validation. In photoresist coating, it has independently developed high-precision, large-size technology, extending into upstream industry chains.
Leveraging technological advantages, Luvi Optoelectronics has built a comprehensive product matrix. In displays, it is the only domestic company capable of fully supporting different generation panel production lines across all display technologies. In semiconductors, it has achieved 180nm process mass production and 150nm/130nm small-batch production, covering third-generation semiconductor-related fields. The company is investing in the Luxin Semiconductor 130-28nm project, which upon completion will further enhance semiconductor field positioning and drive domestic substitution.
**Lontu Photomask: Capacity Release + Technology Development Targeting Advanced Processes**
As a rare independent third-party semiconductor photomask manufacturer in China, Lontu Photomask's Zhuhai facility commissioning in the first half of 2025 marked a crucial development milestone. Third-generation photomask PSM products made progress, with 90nm node products achieving the transition from R&D to mass production, 65nm node products undergoing sample validation, enhancing influence in advanced processes. The company has deepened cooperation with leading domestic wafer fabs, with higher-grade products scheduled for tape-out validation in the second half, with future processes expanding toward 65nm and beyond, and downstream applications further diversifying.
In the first half of 2025, while company revenue declined due to capacity bottlenecks, strategic price reductions, and customer procurement adjustments, the decline moderated in the second quarter. With new Zhuhai facility capacity ramping up and advanced packaging customer development, revenue and net profit are expected to gradually recover. The company continues increasing R&D investment, with first-half 2025 R&D expenses growing 10.22% year-over-year, supporting comprehensive third-generation semiconductor photomask technology development and maintaining technological advantages.
**Crownstone Technology: New Production Lines Breaking Through, Targeting Advanced Processes**
Crownstone Technology's subsidiary Ningbo Crownstone's photomask project entered sample validation in the first half of 2025. While revenue scale remains modest, progress has been rapid. The "Photomask Manufacturing Project" launched in May 2023 achieved 55-nanometer photomask delivery and 40-nanometer production line commissioning in March 2025, filling domestic gaps in advanced process photomasks and breaking foreign monopolies.
Currently, related process products show ideal progress in customer validation and tape-outs. Upon partial completion and commissioning, the company will become a domestically advanced independent photomask manufacturer, enhancing security and controllability of China's semiconductor photomask industry. In the first half of 2025, this project generated RMB 7.17 million in revenue, with promising future growth potential.
**Conclusion**
In the first half of 2025, the four core A-share photomask companies each demonstrated highlights in R&D investment, technological breakthroughs, and capacity deployment. Despite ongoing challenges including dependence on imports in some high-end areas and intensifying market competition, with continued domestic substitution demand and persistent corporate investment in technology R&D and capacity expansion, domestic photomask companies are positioned to achieve broader breakthroughs in this high-barrier sector's "arms race," providing stronger support for China's semiconductor and display industry development.