Tencent Technologies News, Huawei, a Chinese telecom equipment and smartphone manufacturer, is continuing to invest in the semiconductor market, and Heise, a company specializing in chip design, has also achieved high growth. According to Taiwan media reports recently, this year, Huawei Hess is expected to surpass MediaCorp and become the largest semiconductor design company in the Asian market.
According to Taiwan's science and technology media, this year, Haisi, a mainland-based company, will launch a variety of new chipset solutions to support Huawei's active deployment in 5G, AI and Internet of Things applications, and even tap the global market demand in these chipset areas.
Sources said that Huawei is actively expanding the competitiveness and economies of scale of its ecosystem by introducing in-house chip solutions for its new generation of servers and new AI and Internet of Things devices to complement China's efforts to promote semiconductor self-sufficiency.
Driven by Huawei's radical initiatives, Hess, a subsidiary of Huawei, is likely to replace MediaTek as Asia's top-earning IC design company in 2019.
In 2018, Hess earned nearly $7.6 billion, slightly less than the $7.8 billion earned by UNDK.
Sources said Hess would also benefit from the huge global demand for server chips, 5G related chips and AI chips. Hess is actively developing new chip platforms for smart home, Internet of things, artificial intelligence and enterprise service applications.
It should be pointed out that Huawei's main business in the past is smartphones, telecommunications equipment, network equipment, but Huawei is preparing to open up new areas beyond its traditional business.
Sources said that after the release of the world's first 7-nanometer mobile AI chipsets Kirin 980 and Ballon 5G01 modem chips, Heise will launch more advanced AI accelerator chips, server core processors and multimedia chip solutions in 2019.
Sources said that Huawei Hess is expected to send more OEM orders to TSMC in the second half of 2019 in order to manufacture various new chipsets in the 7-nanometer process.
It should be pointed out that semiconductors have a mature division of labor system, including Heith and Liande Section. There are a large number of chip design companies in the world that do not have semiconductors manufacturing factories. Taiji, Zhongxin International, Samsung Electronics and other companies provide semiconductor OEM services to the outside world and charge OEM fees. Samsung Electronics, Intel and other companies also design and sell chips, but also provide outsourcing services.
MediaTek is an old smartphone chip manufacturer. It also designs and sells application processors and baseband processors. However, in the global mobile phone chip market, MediaTek is facing a double attack. Qualcomm in the United States has begun to exert its efforts in the low and middle-end areas after monopolizing the high-end chip market, which has eroded the traditional share of MediaTek. In addition, Redico, a company from mainland China, has also dominated the low-end mobile phone chip market, putting considerable pressure on MediaTek.
After falling out with Qualcomm, all the baseband processors for Apple's mobile phones came from Intel, and there were reports that Apple was preparing to train MediaCorp as another supplier of baseband processors. (Tencent Technology Revision/Chengxi)