Intel has been losing ground to rivals in the chip manufacturing race. You read that right. Even though many of us know Intel from the processors we use in our computers, the company also makes chips for other companies. Intel was actually the world’s leading chipmaker for many years, from 1971 to 2021. But in the past few years, it’s been falling behind rivals like TSMC and Samsung. However, Intel wants to turn things around. That’s why they’ve teamed up with Ericsson. They’re planning to make a special 5G chip using Intel’s cutting-edge production methods. Here are the details…

Intel and Ericsson Unveil Plans for Custom 5G Chip

Intel has been losing ground to competitors in the chip manufacturing competition for some time now. The main reason for this is that rivals like TSMC and Samsung have heavily invested in new production technologies. As a result, they are now capable of creating chips that are smaller, more powerful, and use less energy. However, Intel has been working hard not to let this continue. Over the past few years, the company made serious investments in both their production facilities and acquisitions like Tower Semiconductor. Now, these investments are paying off with the Ericsson deal.

Intel and Ericsson are planning to work together to create a special 5G chip. This chip will be built using Intel’s 18A technology and is planned to be used in Ericsson’s 5G network equipment. It is expected to be available in 2025. The chip they’re making is designed to match the specific requirements of 5G network equipment. These include performing tasks quickly, using less power, and being able to adjust to different sizes or scales. This chip should also be able to work with many types of 5G standards.

Unfortunately, there is not much information about the deal yet. The main thing we’re curious about is whether this agreement will truly change things for Intel. What do you think about this? Do you believe Intel can regain its title as the world’s leading chipmaker?

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Samsung has just launched new chips to bolster its 5G tech portfolio. These news chips were launched in the company’s Mobile World Congress 2021 conference and could eye Huawei‘s business as well.

For those unaware, the Chinese telecom equipment maker has faced a ban on its products in certain regions. This has affected its business operations, with rival brands seeking to scoop up its market share. Now, the South Korean tech giant has just launched three new 5G chips that could also take on Huawei’s busienss. With advancement in wireless technology, a 5G modem would offer a notable improvement to an average consumer.

Thus, Samsung has introduced its second generation of 5G modem SoCs (system on chip) that is capable of doubling the capacity of an upcoming baseband chip while using just half of the power compared to its predecessor. The company is also aiming on delivering a new generation of millimeter wave radio frequency integrated circuit (RFIC) with much smaller antennas and lower power consumption.

Furthermore, the brand also teased its 6G plans as well in MWC 2021, with its efforts looking beyond 5G by using high frequency terahertz wireless and testing a 140GHz wireless link as well. Samsung also added that its 6G plans would also include mixed reality, “high fidelity” holograms, and even digital replicas of real technology. Although, the 6G technology is just a teaser for the future since the world has yet to fully adopt 5G networking.

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Xiaomi is reportedly planning on sourcing mobile processors for its smartphones from MediaTek, as Qualcomm suffers from constraints over 5G chip supply amid a global shortage of semiconductors.

According to an UDN report, Qualcomm is facing issues as its foundry capacity is tightly packed at the moment. Similarly, even Samsung faces further delays in production as its Austin plant has yet to resume production due to cold wave in America. In other words, there is a disruption in the supply chain for 5G mobile processors, with delivery times being as along as 30 weeks for Xiaomi, Oppo, and other companies as well.

Thus, the Chinese tech giant is turning towards MediaTek for help, as it aims on reducing the proportion of Qualcomm chips from 80 percent to 55 percent. The lowering of Qualcomm chips order for the company’s smartphones will be transferred over to MediaTek. Due to the influx of new orders, the chip makers revenue is expected to rise to a new high of 100 billion Yuan (roughly 15.3 billion US Dollars), which would also lead to its share price also rising.

Previously, Qualcomm had announced that the chip shortage in the industry will continue till at least the end of this year, with the current predicament being caused by an imbalance between supply and demand. For those unaware, the global semiconductor industry is suffering from a major shortage with various industries being affected by the supply issue. This includes markets like automobiles, smartphones, and others.

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The known chipmaker, Qualcomm, is reportedly lobbying the US Government to allow it to supply Huawei with chips for its 5G smartphones. According to a Wall Street Journal report, the chipmaker is trying to sell its 5G chips to the Chinese tech giant, which might end up helping American companies.

In its efforts, Qualcomm stated that the ban on Huawei isn’t preventing the company from acquiring necessary parts and is rather driving “billions of dollars” of possible US sales to foreign chip makers like Samsung and MediaTek. In other words, lifting the ban could actually end up helping American companies, making them more competitive.

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The US chipmaker also stated that there could be a “rapid shift in 5G chipset market share,” considering the restriction placed on them and not on their rivals. Furthermore, the company has been open about wanting to include Huawei as one of its customers, selling chips to every smartphone OEM, “including Huawei.”

At the moment, a few companies have received the license to conduct business with Huawei, like Intel, Micron, and Xilinx. Although Qualcomm isn’t looking for a massive change, the exemption being granted to the company might still be seen as a major weakening of the ban. Huawei’s smartphone operation is one of its key businesses and this could also come off as inconsistent, considering Google is still restricted from providing GMS support in Android smartphones from Huawei.

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MediaTek is expecting sizeable revenue growth for the third quarter of this year. According to a DigiTimes report, the revenue will reach NT$82.5 – NT$87.9 billion (roughly $2.75 – $2.79 billion). This marks a 22 to 30 percent sequential growth, which is well beyond market expectations.

The growth estimation arrives as the company expected high demand and healthy sales for its Dimensity lineup of 5G chips. MediaTek also expects that its gross margin to be around 41.5 to 44.5 percent for the third quarter, which is roughly the same as the second quarter. Furthermore, the Taiwanese chipmakers revenue for the first half grew by 12.4 percent while net profits surged by 33.33 percent year on year.

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MediaTek surpassed its original financial guidance for the first half of 2020 and is expected to post a minimum annual revenue increase of 15 percent and double its growth projection during this year, according to industry sources. The company’s CEO stated that the 5G handset market will reach 170 to 200 million units in shipments by the end of 2020, which will be supplemented by upcoming MediaTek 5G chips in the latter half of 2020

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Huawei’s US ban was extended for another year last month. Additionally, TSMC was cut-off to manufacture chips for the Chinese tech giant. Hence, the company has been looking for possibilities to keep its business up and running. Now, a new report suggests Samsung might help Huawei in making its 5G base station chipsets.

Huawei is a telecommunication company first and a smartphone maker next. Still, it is the second-largest smartphone company in the world. It was even supposed to surpass Samsung by the end of this year but the US ban has shattered the opportunity.

That said, it is fine for the company to lose in the mobile phone segment but the same cannot be said for its telecom business. It has contracts to deliver 600,000 5G base stations, which are powered by its in-house HiSilicon Kirin chipsets manufactured by TSMC.

Hence, Samsung is reported to be in talks with Huawei to manufacture chips for the latter’s 5G base stations. The South Korean tech giant is one of the largest chipmakers in the world. 

Samsung uses Extreme Ultra-Violet (EUV) lithography machines made by Dutch company ASL to manufacture 7nm chipsets. Whereas, for testing, it uses machines from Japan. Since there’s no involvement of US-based tech, it can supply chips to Huawei.

In return, Huawei will have to give up its smartphone share to Samsung since the electronics division is the lifeline of the South Korean tech giant.

This is the best chance for Huawei to save its telecom business by sacrificing smartphone division. As of now, it is not sure whether the Chinese company will accept this offer but the probability is more as the homegrown SMIC is stuck at 14nm.

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The popular Chinese smartphone vendor, Oppo, is pushing forward with its efforts to design its proprietary mobile chipsets. It had initially begun focus on chip development back in 2019 when Huawei was hit with the trade ban. Now, the company is aggressively pushing for the self-made chips after recent sanctions have effectively cutoff Huawei’s chip supply from TSMC.

With the US and China trade disputes on the rise, various companies caught in between the crossfires will have to take precautionary measures. Huawei losing its chip supplier and losing Google support is a clear indication of what the US is capable of enforcing against those it considers a threat. Thus, Oppo is heavily investing in chips to reduce its reliance on US suppliers and expanding its presence in other western regions like Europe.

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However, this major undertaking will come at a hefty cost and could even take Oppo years to achieve. According to sources, the Chinese tech giant is already bringing in top executives from its known chip supplier MediaTek, and UNISOC, which is China’s second largest mobile chip developer. Through this deal, Oppo aims to create an experienced chip team in Shanghai.

MediaTek is the second largest mobile chip developer after the industry giant, Qualcomm, in the US. It is currently based in Taiwan, with Oppo also bringing in its former co-chief operating officer, Jeffery Ju. Additional hires are also said to be underway, with talents being acquired from Qualcomm, Huawei’s HiSilicon, and more.

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MediaTek has just revised the total 5G smartphone sales estimates for 2020. The company announced that it is reducing the projected 5G smartphone sales from over 200 million to between 170-200 million in 2020. This revision is a direct result of the ongoing coronavirus crisis in China, a market where it expects most 5G smartphones to be shipped.

MediaTek predicts China will still ship around 100-120 million 5G smartphones this year, accounting for a global market share of 60%. The company’s CEO revealed at an investor conference yesterday that he is confident that MediaTek will be able to offset the impact of the ongoing crisis in China, all thanks to its 5G, AI, and AIoT chip solutions.

He further talked about MediaTek’s new Dimensity 5g chipset series and said that Chinese smartphone makers are actively developing new models with chipsets from the series.

The Dimensity series currently has two major lineups: 800 and 1000 series. The 800 series is expected to power premium mid-range smartphones in 2020 while the 1000 series will power the top-end flagships of the year.

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Reports emanating from the Taiwanese supply chain indicate that semi-conductor manufacturer MediaTek is targeting 60 million 5G chip shipments next year. Although the company refused to comment on the news, previous news from the supply chain noted that MediaTek’s 5G chip has changed the 7nm process of the 5G MT6885 SoC from “general mass production” to “ultra-quick order production” due to customers’ hopes of early shipment. It is expected to be mass-produced before the end of this year.

The Taiwanese industry expects that MediaTek should be able to win orders for some 5G mobile phones from China’s mobile phone brands such as OPPO, Vivo and Huawei. It is reported that the initial evaluation of the average selling price (ASP) per unit of MediaTek’s 5G chip shows it costs about $50 USD, far beyond the 4G single-chip ASP which is about $10 to $12 USD. However, we believe it is still cheaper than the average selling price of Qualcomm’s 5G chipsets.

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MediaTek is extremely optimistic about the Chinese 5G market. Previously, market consulting firm Strategy Analytic believed that China’s 5G mobile phone sales reached 80 million in 2020, and 160 million worldwide. MediaTek CEO Cai Lixing projects that global sales will be around 140 million, while China will account for 100 million which is about 70% of expected 5G phone shipment next year. That could be due to the rapid roll-out of 5G networks by Chinese carriers.

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The next big smartphone revolution is through 5G technology and almost all of the major smartphone manufacturers have at least one 5G device in the market right now. In the race to release 5G enabled smartphones, companies might have to sacrifice on design efficiencies. A new report from the research firm IHS Markit highlights this particular point, especially when it comes to Huawei’s first-generation 5G modem, the Balong 5000.

In its report, IHS Markit tore down six current 5G smartphones in the market from vendors like Samsung, LG, Xiaomi, Oppo, OnePlus, and Huawei. Samsung has its own 5G modem while other companies, excluding Huawei, relies on Qualcomm’s X50 5G modem. The teardown of Huawei’s Mate 20 X 5G model reveals some interesting design elements.

The report highlights that the Balong 5000 5G modem isn’t really efficient in terms of space and feature management. To start off, the Hisilicon’s Balong 5000 modem is the only multi-mode 5G modem in the market right now. This means that the modem can switch between 5G/4G/3G/2G without any need for an additional LTE modem. However, the Mate 20 X 5G comes with a Kirin 980 SoC that already has an integrated LTE modem inside. So, the LTE chip inside the Kirin 980 is practically unused.

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Also, the die size of the Balong 5000 is significantly larger than its competition. For example, its die size (built on 7nm) is 50% larger than Qualcomm’s X50 modem that’s manufactured on the 10nm process. Of course, Balong 5000’s multi-mode capability could add to its size, but IHS Markit states that the modem will still be comparably larger than the upcoming Qualcomm X55 solution built on a smaller 7nm process.

Further, the Balong 5000 modem is significantly denser than the competition because it comes with a staggering 3GB of LPDDR4 SDRAM inside. In comparison, other modems like Snapdragon X50 come with just a few hundreds of megabytes of SDRAM.

Well, this report practically brings out the inefficiencies of Huawei’s Balong 5000. But it’s worth adding that it doesn’t hamper its ability to support 5G networks. Huawei could have decided to go ahead with this design probably because it wanted to speed up the release of its 5G smartphone. Another possible reason mentioned by IHS Markit is that the modem was developed by its in-house Hisilicon subsidiary. Hisilicon doesn’t really have to cater to the demands from other OEMs that would have forced it to make its modem more efficient.

Well, first-generation 5G solutions were never going to be perfect. But it’s worth adding that companies are working towards making 5G modems more efficient. The IHS Markit report concludes by saying “better, cheaper and faster 5G smartphones are on the horizon”. For more information on the report, hit the source link below.

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Both Huawei and Qualcomm have developed new-age 5G modems for the smartphone market. However, Huawei’s 7nm Balong 5000 modem has an edge over Qualcomm’s existing 10nm X50 modem as it supports both NSA (Non-standalone) and SA (Standalone) networks. And it looks like a new Chinese company will join the party later this year as ZTE’s executive confirms that its self-developed 5G chip will be available in the second half of the year.

ZTE’s CEO, Xu Ziyang, had revealed late last month that the company was working on a 7nm based 5G chipset. But recently, ZTE’s Senior VP and Chief Strategy Officer, Wang Xiang confirmed that the 7nm based 5G chipset will be available later this year. Unfortunately, we don’t have any details about its specifications.

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He further added that 5G smartphones are costlier than 4G counterparts because it uses 50% more antennas. Another reason is that the 5G chips haven’t been mass-produced, so their costs are still pretty high. But he believes that the price of 5G smartphones will come close to 4G ones by the second half of next year.

ZTE relies on Qualcomm chipsets for its smartphones. It isn’t a big enough player in the smartphone industry to justify a self-developed 5G chipset for smartphones. So, it’s likely that the new 5G chip is targeted at CPE and IoT products.

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Samsung Electronics has announced that it has now started mass production of its 5G chips. The company’s new chip is the Exynos Modem 5100, which contains a 5G multi-mode chipset. This is the same chipset that is used to power the Galaxy S10 5G.

Along with that, the South Korean tech giant says that it has also started mass production of its single-chip radio frequency transceiver, the Exynos RF 550 and the supply modulator solution, the Exynos SM 5800. These technologies also power Samsung’s flagship 5G smartphone that went on sale this week.

The Samsung Exynos Modem 5100 was first unveiled in August last year and is claimed to be the world’s first 5G modem that is compatible with the 3GPP’s 5G New Radio (5G-NR) standard. It can reach a downlink speed of up to 2 Gbps for frequencies under 6 GHz, and a downlink speed of up to 6 Gbps for the mmWave spectrum.

These blazing speeds make this modem up to 5x times faster than 4G ones. Further, the 4G connectivity with the new Samsung Exynos 5100 has been improved as well, and now it can reach a download speed of up to 6 Gbps.

The Exynos RF 5500 has 14 receiver paths for download, 4×4 MIMO (Multiple-Input, Multiple-Output), and a higher-order 256 QAM (Quadrature Amplitude Modulation) scheme for data transfer in 5G networks; and the Eyxnos SM5800 is 30% more power efficient than previous offerings. All three chips support 5G-NR sub-6-gigahertz (GHz) spectrum and legacy radio access technologies.

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As one of the only companies with an end-to-end 5G solution from chipsets, network core, radio solutions, and the end-user devices, Samsung seems to be uniquely positioned to deliver the next-generation smartphone and network.

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