Asian chip makers challenge the dominance of Qualcomm 5G chips

Release on : Mar 14, 2019

As the latest mobile technologies can be applied in everything from smart phones to autopilots, Asian chip makers such as Huawei and MediaTek are gearing up to challenge Qualcomm's advantage in fifth-generation mobile communications (5G) modem chips. status.

Qualcomm, the world's largest mobile chip designer, is the exclusive supplier of 5G modem chips from Xiaomi, LG Electronics and ZTE's first 5G smartphone. Qualcomm also supplies Samsung Electronics and other company chips, but it is not an exclusive supply.

However, industry sources and analysts said that with the launch of new 5G equipment, Huawei and MediaTek will have the opportunity to seize market share in the coming months.

MediaTek said it is investing less than one-fifth of its manpower in 5G development and plans to launch advanced data machines by the end of the year. At the same time, Huawei has invested heavily in the development of 5G data machines, claiming to be more than its US competitors. The products are more advanced; Ziguang Zhanrui also launched its own 5G data machine chip, but has not specified when it can be used.

Asian chip makers are grasping the fast-growing opportunities for 5G devices next year.

According to Bernstein Research, the number of 5G devices, including phones, routers and hotspot devices, is expected to increase from less than 5 million in 2019 to more than 50 million in 2020. Many smartphone manufacturers have also announced plans to launch 5G-enabled phones in the next 12 months.

Advanced data chip is a key component of 5G telecom technology, providing faster data transfer and lower latency than previous generations, which is critical for applications such as autopilot, AR and artificial intelligence (AI) operations. . However, there are currently only a handful of companies in the world capable of producing 5G modems.

Qualcomm has long been a leader in high-end mobile device modem chips, providing better voice connectivity and faster data transfer. The company's Snapdragon X50 5G modem launched devices from Samsung Electronics, Xiaomi, LG Electronics, ZTE and Motorola.

The San Diego chip factory recently introduced the next-generation X55 5G modem, which will be launched as early as early next year. Many market observers believe that the X55 is the most advanced product in the industry.

In addition to telephony, data chips are used in many areas, from routers, tablets, wearable mulberry to VR headsets, and connected vehicles.

Competitors see 5G as an opportunity to challenge Qualcomm's dominance. Yu Chengdong, CEO of Huawei's Consumer Business Group, said at the World Mobile Communications Conference (MWC) in Barcelona: "Our Balong 5000 5G modem is twice as fast as its competitor Qualcomm X50." "We built the world's most With the fast 5G modem, we have also built the world's fastest 5G smartphone."

Many other manufacturers also hope to expand the market through 5G. Another small-scale competitor of Qualcomm, MediaTek, plans to launch a 5G modem before the end of this year, which may be deployed on mobile devices on a large scale next year. MediaTek CEO Cai Lixing said in late February that he has assigned more than 3,000 people from 16,000 employees to 5G related technologies. Samsung Electronics also develops 5G modem chips for its high-end devices for certain markets, including South Korea.