The Financial Times published a report in which they told China-based tech giant Huawei intends to create its own chipset factory in Shanghai, China. According to the tech giant, the new chipsets are expected to act as Huawei’s best solution to the US ban and continue in the hardware business.
Apart from this chipset, according to the factory, they are also going to construct parts for its telecom hardware business. It should be noted that Huawei has not observed much success in keeping the telecom infrastructure in the US. However, the new factory can let it bypass the ban.
The new factory is reportedly going to run by the Shanghai IC R & D Center, a Huawei partner. Meanwhile, the factory is supposedly an experiment until it begins manufacturing products for use-end products.
Moreover, Huawei intends to begin manufacturing 45nm chipsets, accompanied by 28nm in 2021 and 20nm chipsets in 2022. However, it would not be a perfect progress speed for Huawei. And likely to push it behind its competitors in the telecom market, it will certainly be an investment for long-term survival.
Nevertheless, these chips are possibly good for IOT devices and 5G network hardware, it would not be as perfect as the tech giant’s smartphone business. At the same time, the company has been functioning on discovering a market outside China ever since the US ban.
Although a couple of tech giants have expressed an interest in selling parts to Huawei for the chipset, the ban keeps the company from purchasing parts for 5G business.
Additionally, the China-based smartphone maker introduced its Mate 40 flagship smartphone lineup in China. And the spotlight of it was Huawei’s first-ever 5nm-based Kirin 9000 processor.