As per a report from Bloomberg citing sources, Finnish telecommunications company Nokia is said to be having discussions on potential options for selling its mobile network business, of which is estimated to be valued at around USD 10 billion.

The sources cited in the report indicated that Nokia has been discussing various options for handling its mobile network assets with advisors. Its mobile network division has been facing tough competition from larger rivals like Huawei in recent years. Possible scenarios under consideration by Nokia include partial or full sale, spin-off, or merger with a competitor.

Sources further reveal that Samsung has shown preliminary interest in acquiring part of Nokia’s mobile network assets to expand its presence in radio networks, which connect user phones to telecommunications infrastructure. Additionally, any asset sale by a competitor naturally attracts interest from rivals.

Regarding the rumor, a Samsung representative declined to comment, while a Nokia spokesperson stated that the company is committed to the success of its mobile network business, which holds high strategic importance for the company.

In a statement released after publication, Nokia stated to Bloomberg that it has “nothing to announce” and mentioned that there is “no related insider project.”

Nokia, which was once the world’s top mobile phone supplier, eventually sold its mobile phone business after losing market share to Apple and Samsung. Since then, the company has shifted its focus to producing equipment for communication networks, including the hardware that transmits signals for mobile devices.

During the early phase of the 5G upgrade, demand from telecom service providers in the mobile communications market was strong.

However, this demand has begun to decline, reportedly due to delays in network upgrades, especially in Europe. This further suggests that Nokia may need to seek new business opportunities to reduce its reliance on the telecom network deployment market.

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(Photo credit: Nokia)

According to a report on the official website of the Shanghai Qingpu District’s Government on August 11th, the exterior construction and interior decoration of Huawei’s Xicen apartment project in Shanghai have been completed, and the project has entered its final stages.

The apartments are expected to be finished by the end of September this year. Once completed, the project will provide over 6,000 housing units for the influx of Huawei research talent moving to Qingpu (Shanghai). This further hints that Huawei’s largest global R&D center is getting closer to being fully operational.

The project, which started construction in December 2023, will provide ample accommodation for employees serving in the eight parks at Huawei’s Lianqiu Lake R&D Center. Once completed, it will house over 15,000 people.

Reportedly, the Huawei Lianqiu Lake R&D Center in Shanghai’s Qingpu District, was completed on July 9. It covers an area of 2,400 acres, with a total building area of 2.06 million square meters and an investment exceeding CNY 10 billion.

The center is mainly used for research, office space, and supporting facilities, including R&D offices, laboratories, conference halls, cafeterias, and data centers.

This research center, per a previous report from EE Times China, is designed with 40,000 offices and is expected to gradually attract about 35,000 Huawei R&D talents.

The focus will be on R&D, product design, and sales in areas such as 5G chips, wireless, and the Internet of Things (IoT). By the end of this year, it is anticipated that 10,000 personnel will have joined the new R&D center, primarily consisting of employees from other Huawei R&D centers and newly hired research and development talent.

Regarding Huawei’s substantial investment in building this research center, tech media outlet “Tom’s Hardware” highlighted on July 14th that amid the US-China semiconductor rivalry and various US sanctions against Huawei, the company must bolster its research and development efforts. Consolidating multiple research centers allows Huawei to streamline operations and facilitate easier collaboration among different departments.

The report states that this flagship project showcases Huawei’s investment commitment in future technologies. The new R&D Center is even said to be larger in scale than the combined size of Apple Park and Microsoft’s Redmond Campus headquarters in Seattle.

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• [News] Patent War Begins – Huawei and MediaTek Go after Each Other for Patent Infringement

(Photo credit: Huawei)

Recently, it was reported that Huawei filed a patent infringement lawsuit against MediaTek in a Chinese local court. According to a report from TechNews, in response, MediaTek and its subsidiaries, HFI Innovation and MTK Wireless, have initiated countermeasures by filing a lawsuit against Huawei in a UK court, accusing Huawei of patent infringement.

MediaTek has stated that the case against Huawei is now in the judicial process and has declined to comment further. On the other hand, Huawei has not publicly responded to the matter.

A report from Chinese media outlet YiCai further cited sources, revealing that the dispute between MediaTek and Huawei over patent fees has been continuing for two to three years, yet the two parties are still unable to reach an agreement due to pricing issues.

On July 18, a report from Nikkei indicated that Huawei had filed a patent infringement lawsuit against MediaTek in a Chinese local court, drawing industry attention. On July 19, MediaTek issued an announcement stating that the lawsuit has no significant impact on the company, that it has entered the judicial process, and that the company will not comment further.

Industry sources cited by TechNews further suggest that Huawei’s lawsuit against MediaTek for patent infringement likely involves 5G (and possibly 4G, 3G, etc.) cellular network mobile communication technology. Reportedly, the reason for the lawsuit is that Huawei proposed a corresponding fee to MediaTek based on terminal patent licensing prices, but MediaTek considered the price too high, leading to the impasse.

Notably, both Huawei and MediaTek hold a large number of related patents. As of the end of 2022, Huawei possessed over 120,000 validly authorized patents worldwide. According to another report from YiCai, it owns 20% of the world’s 5G and Wi-Fi 6 patents, 10% of 4G patents, and 15% of NB-IoT and LTE-M patents.

As for MediaTek, it held over 13,000 patents globally by the end of 2022, with 1,200 patents granted in that year alone. These figures only include granted patents, excluding pending applications. Additionally, MediaTek ranks first among Taiwanese companies in the number of global patents for 5G, Wi-Fi, and HEVC/VVC technologies.

Industry sources cited by the Commercial Times also note that in recent years, China’s technological capabilities have significantly improved, and companies have been actively applying for patents domestically and internationally. With the support of the Chinese government, they have also started to frequently engage in patent litigation. Last year, Chinese courts received 5,062 technical intellectual property and monopoly cases.

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(Photo credit: MediaTek)

According to a report from UDN, China’s largest semiconductor packaging and testing company, JCET, has completed the planning and verification work for the first phase of the “JCET Microelectronics Wafer-level Microsystems Integration High-end Manufacturing Project.”

The project will soon be completed and put into production. Once operational, it will have an annual production capacity of 6 billion high-end advanced packaging chips, providing one-stop services from collaborative packaging design to chip production for 5G, artificial intelligence, and other applications.

As per WeChat account DRAMeXchange citing sources, the project is a major industrial initiative in Jiangsu Province, China, with a total investment of CNY 10 billion. Upon completion of the first phase, the project will have an annual production capacity of 6 billion high-end advanced packaging chips.

The project will focus on leading-edge high-performance packaging technologies, such as 2.5D/3D high-density wafer-level packaging. JCET Microelectronics commenced construction of its new plant in the eastern part of Jiangyin City on July 29, 2022, with the project expected to be completed and put into production between June and July 2024.

At the groundbreaking ceremony in 2022, JCET CEO Zheng Li stated that this project will represent the highest production technology level and largest single-investment smart manufacturing project in China’s integrated circuit packaging and testing and chip manufacturing industry. Thus, it will support end applications such as 5G, artificial intelligence, the Internet of Things, and automotive electronics, covering key strategic customers worldwide.

This project, per Li, will further enhance JCET’s global market competitiveness in the chip manufacturing sector, aiming to achieve a higher industrial position in the global integrated circuit industry.

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(Photo credit: JCET Group)

Qualcomm was fined NTD 23.4 billion by Taiwan’s Fair Trade Commission in 2017 for antitrust violations. Both parties reached a settlement the following year, which sparked some official discontent. However, a report from Korean media outlet The Elec has pointed out that this move ultimately contributed to Taiwan’s long-term industrial growth.

Under the settlement in the subsequent year, Qualcomm reportedly committed to investing USD 700 million in Taiwan over the next five years. This included establishing operational and manufacturing facilities, testing centers, and other investments, with the plan set to conclude by the end of 2023.

Qualcomm was accused of leveraging modem chip patents to force companies into unfavorable licensing agreements, resulting in fines in Taiwan, China (2015), South Korea (2016), and the EU (2018). Taiwan initially imposed a fine of NTD 23.4 billion on Qualcomm but later reduced it, instead requiring Qualcomm to commit to investing USD 700 million over the next five years to promote local industries such as 5G.

The report points out that, at that time, Taiwan lagged behind the US, China, Japan, and South Korea in 5G development, necessitating this compromise. The reports suggest that this decision, which now appears to be correct, was not intended to boost the 5G industry but to pivot towards the semiconductor sector. Over the past five years, industry dynamics have rapidly shifted focus to the semiconductor sector, with Qualcomm channeling substantial funds into Taiwan’s chip packaging industry.

Taiwanese officials reportedly stated that Qualcomm has successfully implemented its industrial investment plan over the past five years while maintaining a strong relationship with Taiwan. All aspects of the promised investment have been fulfilled, with the investment amount exceeding USD 1.4 billion, far surpassing the initial commitment of USD 700 million—effectively doubling Qualcomm’s investment amount.

Reports further indicate that Siliconware Precision Industries (SPIL) has confirmed Qualcomm’s purchase of 500 pieces of equipment dedicated to handling Qualcomm’s backend demands. Additionally, a South Korean packaging company informed TheElec that they lost Qualcomm orders to Taiwanese competitors over the past few years. In essence, Taiwan’s government initiative has also benefited the local packaging industry, despite this not being the original intention.

While SPIL’s performance was weak during the global chip market downturn last year, its revenue steadily grew from 2018 to 2022. Qualcomm not only provides equipment and orders to SPIL but also deploys engineers directly at SPIL’s plants to ensure proper chip packaging.

Qualcomm continues to entrust its high-end chip packaging orders to Amkor’s Incheon plant. However, the report suggests that Qualcomm’s close partnership with Taiwanese packaging companies may lead to more opportunities.

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(Photo credit: Qualcomm)