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Qualcom entrusts SMIC to produce 3G chips in China |
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Written by Administrator
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Monday, 31 July 2006 |
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BEIJING, July 31 (InfoChina) – The Qualcom, which monopolizes world’s 3G technologies, announces that it will entrust China-based telecom equipment provider Semiconductor Manufacturing International Corp. (NYSE: SMI) to produce 3G chips in China, Beijing News reports on July 31.
According to Hou Mingjuan, spokeswoman of Qualcom China, this is the first time for the company to choose a Chinese OEM. Before this, the company has cooperated with Samsung and Teco in making 3G chips and China's CDMA mobile phone manufactures have to import the chips.
The cooperation is expected to lower the cost of 3G mobile phone manufacturing in China, but Qualcom says the cooperation is still in early stage and the cost-cutting effect is hard to evaluate right now.
SMIC will produce the chips in its Tianjin factory, concentrating on power source management chips area.
Qualcom dominates world’s 3G chips market, with most of the world’s CDMA2000 patents and a half of the WCDMA patents. Its high patent fees in the two major 3G technologies are widely scolded for the relatively expensive 3G chips. |
China Stock News