These are the most-read DIGITIMES Asia stories in the week of July 22 – July 26.
Huawei sues MediaTek in China, signaling HiSilicon push
Huawei has sued MediaTek in China for alleged 5G patent infringement. This move aims to boost Huawei's HiSilicon by weakening MediaTek and potentially influencing other phone brands. It might also serve as a warning shot to Qualcomm.
Industry experts suggest the lawsuit might center around MediaTek's mid-range to low-end chips, with high-end chips relatively unaffected. MediaTek has released a statement indicating that the case has entered the judicial process and declined further comment. Huawei has not issued any public statement.
YMTC head expects explosive chip demand in China amid US restrictions
Chen Nanxiang, chairman of the China Semiconductor Industry Association (CSIA) and CEO of YMTC, stated on Chinese state television that China is exploring a new market-driven model for the semiconductor industry. This shift moves away from the previous reliance on universities and research academies. He predicted that the chip industry in China will experience explosive growth within the next three to five years, and attributed this surge to the ongoing US-China trade war and US sanctions.
Intel Foundry faces hurdles in European expansion and performance struggles
Intel has paused its planned investments in France and Italy due to economic challenges and losses in its foundry business. The company is now prioritizing its manufacturing projects in Ireland, Germany, and Poland.
Even Intel's EUR30 billion facility in Germany faces delays, with production not expected to start before late 2028. This further highlights the chipmaker's challenges in its foundry business, which relies significantly on internal rather than external customers.
NAND memory bit shipment growth in 2H24 to be boosted by iPhone 16 demand
NAND Flash memory suppliers are gearing up for robust demand driven by AI smartphones in the third quarter. Some sources suggest that production lines may already be experiencing supply shortages.
The adoption of Generative AI is creating a trend towards high-speed processing and high-capacity storage in high-end smartphones. Based on cost competitiveness, speculation suggests that Apple may introduce QLC NAND in its new iPhone 16 series of smartphones.
Chinese semiconductor equipment could reach advanced levels in 5-10 years, says AMEC CEO
Gerald Yin, CEO of China's leading semiconductor equipment maker AMEC, stated that although China is still a long way from meeting international standards in semiconductor equipment, it is entirely feasible for the country to achieve technologically advanced levels within the next five to ten years. The company aims to replace or offer competitive alternatives to international suppliers in China's semiconductor equipment market, the largest in the world.
Chinese foundries favor domestic orders, limiting fab capacity for others
In line with the semiconductor self-sufficiency campaign, Chinese foundries have been prioritizing supply for domestic chip vendors, particularly leading IC design houses who need substantial capacity support. Such IC design houses include major MCU vendors, including GigaDevice, Sino Wealth Electronic, Nations Technology, and Fudan Microelectronics. This has resulted in limited availability of fab capacity for others particularly Taiwan-based ones targeting the Chinese market.
Apple's rumored foldable iPhone yields mixed news for Samsung
Recent rumors suggest that Apple is conducting R&D for its first "foldable iPhone," with a potential release targeted for 2026. Industry sources believe that if Apple officially enters the foldable smartphone market, it could pose a significant challenge to the current market leader Samsung Electronics. However, this could also be an opportunity for Samsung, as Apple's entry could potentially expand the overall market, leading to increased sales even with a smaller market share.
