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On January 20th, PSMC officially announced that it would sell the entire P5 factory in Taiwan's Tongluo factory to Micron for $1.8 billion (currently about 12.601 billion RMB). The Tongluo factory has been in operation for less than 2 years, with an investment of over 300 billion New Taiwan dollars (approximately 66.06 billion yuan), and has the ability to produce 50000 12 inch wafers per month, supporting three process nodes: 55nm, 40nm, and 28nm. It is also equipped with a 300mm wafer fab cleanroom with an area of approximately 300000 square feet, which is a highly controllable production environment required for high-end chip production. Source: Economic Daily According to the information disclosed by both parties, the transaction is expected to be completed in the second half of 2026. At that time, Micron will gradually introduce DRAM production lines. The first phase of the project is expected to be officially put into operation in the second half of 2027, and its production capacity contribution will be equivalent to more than 10% of Micron's global production capacity in the fourth quarter of 2026. Meanwhile, PSMC will transfer its production line from the Tongluo factory to another factory located in Hsinchu City, and Samsung will also assist PSMC in improving its existing niche DRAM process technology at the Hsinchu P3 factory.   PSMC assures its OEM customers that selling factories will not affect their normal operations, and also states that it will gradually phase out low profit products in the future, reduce its dependence on mature process outsourcing business, and accelerate the development of new products for artificial intelligence applications.   PSMC hopes to build a more robust financial foundation in the semiconductor industry with significant cyclical fluctuations. Seize the window period of global memory market recovery, combine advanced packaging technologies such as 3D wafer stacking and intermediate layers with new material solutions, and gradually enter the key links of AI related supply chains. In addition, last Friday, Micron officially broke ground in central New York State, preparing to build a $100 billion wafer fab.

Texas Instruments (TI) has laid off its MCU team in China (marketing and applications were retained, while R&D was abandoned) and moved its entire MCU product line to India.   It is said that all team members have been reassigned to other product lines, nominally with their positions and salaries remaining unchanged.   The company gave employees two choices: accept the reassignment to other product lines or voluntarily resign. This move is rather cunning, indicating that the company had no intention of going through a layoff process and would not offer any compensation to employees who voluntarily resign.   Reports indicate that TI's MCU R&D team in China mainly focused on the MSP430 product line, a series of 16-bit ultra-low-power, low-cost MCUs that TI launched to the market in 1996. Now, some team members have been laid off, while others have been merged into the LED DRIVER chip team. The domestic MCU industry is now engaged in a fierce "talent war." Fang Jing, chief electronics analyst at Minsheng Securities, stated that TI's MCU team was once one of the best-performing localized product lines, based in the Chinese market, specializing in localized customized development, and with very fast customer response. However, starting in early 2018, TI's MCU business began to decline, with the market gradually being taken over by emerging domestic MCU manufacturers, squeezing its survival space. "This team was mainly based in Shanghai, and the pandemic made operations even more difficult, so they simply withdrew," he said. He believes that although some employees could choose to transfer to other teams, the transition from digital to analog is significant, so "it was more of a stopgap measure for TI, as they didn't want to pay severance." He added, "The rise of domestic MCUs is accelerating, putting pressure on overseas leaders. This comprehensive layoff will likely further promote the substitution of domestic MCUs." Data shows that in 2020, Texas Instruments' general-purpose MCU market share was around 7%, far less than the top five companies such as Renesas Electronics, NXP, Infineon, STMicroelectronics, and Microchip Technology, while domestic MCU manufacturers have made rapid progress in this field in recent years.   Fang Jing, chief electronics analyst at Minsheng Securities, stated that TI's MCU team used to be one of the best-performing localized product lines, based in the Chinese market, specializing in localized customized development, and responding very quickly to customers. However, starting in early 2018, its business began to decline, with the market gradually being taken over by emerging domestic MCU manufacturers, squeezing its survival space. Furthermore, this team is primarily based in Shanghai, making operations even more difficult during the pandemic.   He believes that this complete layoff will further promote the substitution of domestically produced MCUs, and TI's withdrawal is just a trend; he expects more similar events to follow.

Nittobo, a Japanese company that originated in the textile industry, has ventured into the research and development of T-Glass, a key material for AI chip packaging. This material is crucial for the stable operation of high-end chips. Nittobo monopolizes 90% of the global high-end fiberglass cloth market, with no competitors in the T-Glass field. With the explosive growth in AI demand, the material is in short supply, creating a supply gap. This "cloth-selling company" has thus secured a crucial link in the global AI chip industry. Today, let's learn about Nittobo:   I. A Century of Transformation: From Textile Mill to AI Material Giant Nittobo's history can be traced back to a textile company founded in 1898. Officially established in 1923, it is one of Japan's oldest silk textile companies. In its early years, it relied on surplus electricity from irrigation canals built by the Meiji government, generating electricity while simultaneously producing textiles, focusing solely on textile-related products until 1963. 1969 was a crucial turning point. With the rise of computer and chip technology, the company targeted market demand and ventured into the field of glass cloth for printed circuit boards. After decades of dedicated development, Nittobo has transformed from a traditional textile factory into a leading supplier of core AI materials, achieving a remarkable industrial upgrade.   II. Flagship Product T-Glass: The "Stable Cornerstone" of AI Chips Nittobo's core competitiveness stems from its T-Glass material, launched in 1984. Simply put, T-Glass is a high-performance glass fiber cloth, characterized by its high strength and minimal expansion under heat. Initially used in composite materials, it was later found to be particularly suitable for the electronics field—AI servers and high-end smartphone chip packaging substrates all rely on it. Chips generate heat during operation, and ordinary materials are prone to deformation and warping, while T-Glass effectively solves this problem, ensuring high-speed computing and long-term stable operation of chips, making it a key material for high-end chip packaging.   III. Market Monopoly: The "Hidden Hegemon" of High-End Global Glass Fiber Cloth In the high-end glass fiber cloth sector, Nittobo holds a near-monopoly. With only a handful of manufacturers worldwide capable of producing high-end NE glass fiber yarn, Nittobo alone controls 90% of the global high-end glass fiber cloth market share. Especially T-Glass, specifically designed for high-end ABF substrates, is unmatched by Nittobauer in this field. With the explosive growth in demand for AI servers, T-Glass is in short supply, even causing a shortage in BT substrates used in mobile phone chips. Goldman Sachs predicts a double-digit percentage shortage of T-Glass for BT substrates in the coming quarters.   IV. Industry Impact: The "Pricing Power Controller" Behind the Price Hike As an industry leader, Nittobauer's moves directly impact the global supply chain. In June 2025, Nittobauer announced a 20% price increase for glass fiber starting in August, triggering a chain reaction across the industry. This is driven by the explosive growth in AI demand—a single AI server requires 5-8 times more high-end glass fiber cloth than a regular server, while overseas manufacturers like Nittobauer have adopted a conservative approach to capacity expansion, leading to supply shortages. Currently, global demand for low-dielectric electronic cloth continues to rise, and Nittobauer's production capacity and pricing strategy directly affect the costs and supply cycles of downstream industries such as PCB and chip packaging.

Samsung Exynos 2600 Heavy Release: 2nm 1、 On Friday, Samsung Electronics dropped a bombshell in the mobile semiconductor industry and officially announced the complete details of the industry's first 2-nanometer process smartphone application processor, Exynos 2600. This chip, which carries Samsung's top semiconductor strength, not only marks the official entry of mobile chips into the 2nm new era, but also relies on the surround gate (GAA) architecture as the cornerstone, in terms of performance AI、 Disruptive breakthroughs have been achieved in the four dimensions of imaging and heat dissipation, redefining the technological ceiling of flagship mobile computing cores. As the "super brain" of smartphones, the Exynos 2600 is built by Samsung's LSI department, with precision manufacturing of the GAA architecture guaranteed by the OEM factory, which will directly empower the Galaxy S26 series flagship models to be released early next year. The 10 core CPU configuration based on the latest Arm architecture is luxurious: led by one 3.8GHz Cortex-C1 Ultra super core, paired with three 3.25GHz Cortex-C1 Pro performance cores and six 2.75GHz Cortex-C1 Pro energy efficiency cores, forming a golden combination of "ultra-high performance+balanced energy efficiency", with overall computing performance skyrocketing by 39% compared to the previous generation. Significant improvement in AI and graphics performance: the integration of a 32K MAC NPU AI engine doubles the performance of generative AI workloads; With the support of Samsung Xclipse 960 GPU, the graphics performance has skyrocketed by 100% compared to Exynos 2500. Coupled with Kinetic Reality technology, ray tracing performance has been improved by 50%. Exynos Neural Super Sampling frame generation technology enables game smoothness to exceed 300%, achieving a console level experience. Full imaging capability: single camera supports up to 320 million pixel CMOS and 108MP@30fps Continuous shooting, dual camera 64MP+32MP to meet professional needs; Top display and encoding/decoding capabilities, supporting 4K/ WQUXGA@120Hz High refresh rate, 8K codec, integrated full format codec covering audio and video scenes. The core highlight is that the Exynos 2600 has implanted a heat dissipation path module (HPB) in a mobile SoC for the first time, using high dielectric constant materials to reduce thermal resistance by up to 16%, solving the pain point of high-end chip heat dissipation. At the same time, as the first 2nm GAA smartphone chip, it is the first to support hybrid quantum encryption to ensure security, and will become the foundation platform for future Exynos chips, laying a technological advantage. 2、 Samsung's mobile phone strategy: Half of the S26 models are equipped with Exynos 2600 for mass production, which is not only a technological breakthrough, but also a heavyweight signal for Samsung to revive its self-developed mobile processor strategy. According to a previous report by the Korea Economic Daily, Samsung plans to equip about half of its Galaxy S26 series models with this chip, which is a radical counterattack measure after its self-developed chip suffered setbacks. According to the plan, the entire Galaxy S26 series (including Ultra version) in the Korean and European markets will be equipped with Exynos 2600, while Qualcomm Snapdragon will still be used in the US, Japan, and China markets. This balanced distribution means that Samsung has deployed Exynos chips on a large scale in its flagship Galaxy series for the first time since 2021, marking a comprehensive return to its self-developed strategy. Looking back at history, Samsung's flagship Galaxy used Exynos chips before 2015, but switched to Qualcomm in 2016. The heat dissipation issue and low yield of the 2022 Galaxy S22 series Exynos chip have dampened consumer confidence and accelerated the transition. Since last year, Samsung has launched a self-developed comeback: the Galaxy S24 Basic/Plus version is equipped with Exynos 2400, and the subsequent Galaxy Z Flip7 (sold only in Korea) is equipped with Exynos 2500, gradually rebuilding trust. The mass production and large-scale adoption of Exynos 2600 is a crucial step for Samsung's return to self-developed technology. This reflects its confidence in its semiconductor capabilities and is also an important measure to restructure the mobile chip market landscape. With its first mover advantage in 2nm technology, Samsung is attempting to regain the voice of high-end mobile chips and reverse its passive situation. As the Galaxy S26 approaches, this direct confrontation with Qualcomm will become the biggest highlight of the high-end mobile phone market in 2025.

"It’s bad, and it’s getting worse right now."   SSDs will continue to rise, with the upward trend running through the entire year of 2026. According to TomsHardware, Cameron Crandell, SSD Business Manager at Kingston Data Centers, warns that the shortage of NAND Flash may worsen within 30 days, directly driving up SSD prices. He also predicts that memory and SSD prices will rise throughout 2026. Crandell, who has 29 years of experience in Kingston, said that the storage price increase this time is "unprecedented". He suggested that consumers with storage upgrade needs should take immediate action and not wait and see. The industry points out that NAND Flash, which accounts for 90% of the material cost of traditional SSDs, has price fluctuations as the core influencing factor of terminal prices.   Since the beginning of this year, NAND Flash has skyrocketed, and cost pressure has been transmitted to the end market. Enterprise grade SSDs have entered a stage where both quantity and price have risen. The latest survey by global market research firm TrendForce Consulting shows that the overall atmosphere of the storage market in the fourth quarter of 2024 has shifted from "recovery" to "material grabbing". The core reason is that after experiencing previous market cycle fluctuations, NAND Flash suppliers generally adopt a cautious strategy for capacity expansion, resulting in a much lower growth rate of enterprise SSD capacity than the market demand growth rate.   The outbreak of the AI industry is the key driving force behind the supply-demand imbalance in the storage market. For core buyers such as cloud service providers (CSPs), an active inventory reserve plan has been launched recently to avoid delays in the costly AI server construction schedule due to SSD shortages. In this supply-demand pattern, Jibang Consulting predicts that the average contract price of enterprise SSDs in the fourth quarter will achieve a quarterly increase of over 25%, and the overall revenue of related industries is expected to reach a historical high. It is worth noting that the price surge in the storage market is not limited to the SSD field. According to media reports, driven indirectly by the demand for AI, the price of traditional HDD (mechanical hard disk) has also increased. Industry insiders point out that the current storage shortage has surpassed the scope of a single NAND Flash chip and evolved into a comprehensive impact on all available storage devices in the market. The entire storage industry is facing a global supply-demand imbalance challenge.

US senators recently proposed the "Safe and Feasible Chip Export Act", requiring the US Department of Commerce to completely suspend the issuance of advanced artificial intelligence chip export licenses to countries such as China and Russia within the next 30 months. Recently, Republican Senator Pete Ricketts and Democratic Senator Chris Coons jointly proposed the "Safe and Feasible Chip Export Act", which requires the US Department of Commerce to completely suspend the issuance of advanced artificial intelligence chip export licenses to countries such as China and Russia in the next 30 months, and explicitly include Nvidia H200 chips and new chips based on the Blackwell architecture in strict control. As a key computing carrier supporting large-scale artificial intelligence model training, the closure of the export channels for the above-mentioned products is widely regarded by international observers as an important policy tool for the US government to suppress the upgrading of China's artificial intelligence industry from the source of technology supply.   The "Congressional Supervision Clause" set up in the bill has more institutional features, stipulating that after the 30 month policy implementation period expires, any rule adjustments made by the Ministry of Commerce must be reported to Congress 30 days in advance. This will strengthen the institutional rigidity of the export control of chips to China. The joint proposal by senators from both parties essentially forms legislative constraints on the executive branch's policy easing tendency, continuing the evolving characteristics of the US chip control policy towards China, which alternates between looseness and tightness. This policy dynamic can be traced back to early 2025, when Nvidia's customized H20 chip for the Chinese market was included in the regulatory list. After a brief policy adjustment, the regulatory system is now further strengthened through legislative procedures. Facing the chip export control policy, AMD CEO Su Zifeng announced on December 4th local time that some of AMD's MI 308 chips have obtained permission to be exported to China and are ready to pay a 15% tax to the US government when shipped. Previously, AMD had estimated that the US government's export restrictions on MI 308 chips would result in a loss of approximately $800 million. NVIDIA continues to be at the forefront of opposition. Huang Renxun has repeatedly emphasized publicly that "the Chinese market cannot accept technology products with limited performance", and through quantitative analysis, pointed out that the continuous export restrictions have caused the company to lose $15 billion in revenue in China. If the new law takes effect, it is expected that the revenue in the Chinese market will return to zero in the next two quarters. And just one day before the proposal of the Safe and Feasible Chip Export Act, Nvidia successfully lobbied Congress to suspend the GAIN AI Act. This core argument, which emphasizes that "artificial intelligence technology is different from nuclear weapons and should promote global technology sharing," emphasizes the important supporting role of technology circulation in the US job market and industrial ecology. However, this business oriented policy proposition has not gained widespread recognition.   Republican Congressman John F. Kennedy of the United States Senate Banking Committee publicly questioned the objectivity of his proposed policies, arguing that his views overly focused on corporate commercial interests; Hardliners, represented by Steve Bannon, advocate for strict measures similar to the Cold War era nuclear technology control. From a global perspective, this chip regulation game is essentially a strategic competition for technological dominance, but it may result in a "lose lose" situation. The restricted flow of technology will slow down the pace of global artificial intelligence technology innovation, while supply chain fragmentation will drive up industry operating costs. At a critical stage of the development of artificial intelligence technology, seeking a balance between maintaining national security and promoting global technological cooperation tests the strategic decision-making wisdom of China and the United States. The ultimate direction of this game will have a profound impact on the future global technological development pattern and international economic order.

Global semiconductor giant Samsung Electronics recently announced a major organizational restructuring, disbanding its high bandwidth memory (HBM) special development team that had only been established for one year, and integrating the team's personnel and overall business into the design team of the DRAM (Dynamic Random Access Memory) development department. Adjustment details: Smooth transition of personnel and business. According to multiple media reports, this adjustment marks Samsung's HBM business returning from an independent "special attack team" model to the mainstream research and development system of storage chips. Samsung Electronics stated that this move aims to optimize resource allocation, enhance synergies between HBM and core DRAM products, and improve overall operational efficiency and competitiveness.   Samsung Electronics urgently established an independent HBM development team in July 2024. At that time, Samsung was clearly lagging behind its main competitor SK Hynix in the rapidly growing HBM market, and the establishment of this team was seen as a key measure to concentrate resources and accelerate technological catch-up. HBM is a core component in the field of artificial intelligence (AI) servers and high-performance computing, and market demand has exploded with the AI wave. According to the adjustment plan, all members of the original HBM development team will be transferred to the design team under the DRAM development department. Son Young soo, the Vice President (EVP) who previously led the HBM team, has been appointed as the head of this design team and will continue to lead the original team in advancing the research and development of the next generation of HBM products.   Despite the change in team organization, the core research and development tasks, including the development of cutting-edge technologies such as HBM4 and HBM4E, will remain continuous. Industry analysis indicates that this restructuring reflects a change in Samsung's assessment of the development stage of its HBM technology. After more than a year of concentrated research and development, Samsung believes that its HBM technology has gained core competitiveness and no longer needs to "make up for shortcomings" in the form of an independent team. Instead, it is shifting towards deeper integration with basic DRAM technology to strengthen long-term technological advantages. This move is also interpreted as Samsung having full confidence in the upcoming next-generation HBM products, such as HBM4. Market impact: Consolidating position and catching up with market share. Market data shows that in the second quarter of this year, Samsung's market share in the global HBM market fell to 17%, ranking third, far behind SK Hynix, which holds 62% market share. However, with Samsung's HBM3E successfully entering Nvidia's supply chain and all HBM4 product orders sold out, the company is optimistic about its market performance next year. Samsung's Executive Vice President of Storage Business, Kim Jae joon, revealed during a recent earnings conference: 'Compared to this year, we have significantly increased our HBM production capacity for next year, but customer demand still exceeds supply.'. The company expects that as the supply scale of HBM4 gradually expands, its market share will steadily rebound from next year. Market research firm TrendForce predicts that Samsung's market share in the global HBM market is expected to exceed 30% by 2026. It is worth noting that this organizational adjustment coincides with the global storage market entering a super cycle. According to supply chain sources, the price of DDR5 16Gb chips increased by as much as 102% in October, while Counterpoint Research predicts that by the second quarter of 2026, memory module prices will rise by 50% compared to the current level. While consolidating the traditional DRAM market, Samsung continues to lay out its high-end HBM product line, demonstrating its dual track strategy of "bread and the future".   At present, Samsung has a strong foundation in DRAM production capacity and order fulfillment. In the HBM field, its HBM3E product has achieved mass production and been delivered to customers such as Nvidia and AMD, and orders for the next generation HBM4 have also been sold out. Although Samsung ranked third in global HBM market share in the second quarter of this year, behind SK Hynix and Micron, market research firm TrendForce predicts that with the expansion of HBM4 supply, Samsung's market share is expected to exceed 30% by 2026. This organizational adjustment is Samsung's strategic layout to more effectively integrate internal resources, seize market opportunities, and achieve market share growth. The Korean Economic Daily reported that Samsung's HBM4 product is rapidly expanding its market share and benefiting from a 56% annual increase in standard DRAM prices, resulting in a significant increase in overall storage revenue; In addition to the rebound in storage prices, the price of NAND Flash has also rebounded, which will help improve the overall gross profit structure. It is reported that Samsung Electronics plans to complete the organizational restructuring this week and is expected to hold a global strategic meeting in early December to review next year's business plans.

On October 28, 2025, Skyworks Solutions and Qorvo jointly announced the final merger agreement. This transaction, completed in the form of "cash+stock," will create a new giant in the RF industry with a total value of up to $22 billion (including corporate debt) and annual sales of approximately $7.7 billion. After the merger, the new company is expected to save over $500 million in operating costs annually and will continue to be listed on NASDAQ under the name Skyworks Solutions, Inc., with the stock code SWKS remaining unchanged. Image: Skyworks and Qorvo merger announcement The announcement shook the industry. These two companies, which have been deeply rooted in the RF front-end field for more than 20 years and have long occupied the top two global market shares, have finally merged. According to Yole's statistics, although Qualcomm and Broadcom have larger sales volumes from an overall revenue perspective, their business models have particularities: Qualcomm's advantages largely rely on the bundled sales of its mobile platform, while Broadcom's business is highly concentrated in Apple, and a large part of its revenue comes from the Wi Fi/Bluetooth module systems it provides for Apple phones. In contrast, Skyworks and Qorvo have always maintained an absolute leading advantage in the open market, especially in the Chinese market, and are regarded as the true Top 2 in the RF field. Figure: Distribution of RF front-end market In fact, the integration of the RF industry is not a new phenomenon. Looking back at the development history of the industry, multiple major mergers and acquisitions have already reshaped the market landscape: In 2015, RFMD merged with Triquint to form Qorvo; In 2016, II-VI Company (later renamed Coherent), a manufacturer of optoelectronic and semiconductor components, completed its acquisition of Anadigics, and Anadigics withdrew from the historical stage. In addition to the integration between these top manufacturers, the RF industry has also undergone multiple cross-border mergers and acquisitions: In 2001, TriQuint strengthened its core technology in the field of RF filters by acquiring Sawtek; In 2009, passive component supplier TDK integrated with Epcos, and in 2017, it was incorporated into RF360, a company established by Qualcomm. In 2015, Skyworks acquired Panasonic's filter solutions business; Although mergers and acquisitions are commonplace in the RF industry, the merger of Skyworks and Qorvo still brings unprecedented impact, mainly reflected in three fundamental changes: Strategic motivation shift: Unlike the previous "strong alliance" aimed at strengthening competitiveness, this merger is a strategic contraction between the two leading companies, marking the industry's shift from expansion thinking to efficiency priority; The supply chain has a profound impact: as a major supplier of RF solutions for Chinese mobile phone manufacturers, especially flagship models, Skyworks and Qorvo originally formed a balanced pattern of mutual backup. The merger of the two will profoundly affect the stability and bargaining power of China's mobile phone supply chain; Technological development path reconstruction: In the past two decades, the RF industry has basically followed the development path of "Skyworks and Qorvo technology leading", "adoption by Chinese mobile phone manufacturers", and "follow-up by Chinese RF enterprises". This merger will break this established order and force the industrial chain to seek new development logic. Why did Skyworks and Qorvo, two RF giants, choose to turn at this moment? How will the merger affect the future direction of China's RF industry? This article will attempt to conduct in-depth analysis around these issues. The formation of order in the RF front-end industry The RF front-end industry in which Skyworks and Qorvo operate is an essential core component of wireless communication devices. The RF front-end is located before the transceiver and mainly consists of four modules: power amplifier (PA), low noise amplifier (LNA), filter, and switch. Every wireless terminal cannot do without these key components.   Figure: Functional composition of RF front-end According to market research institutions such as Yole, the global RF front-end market size is expected to reach approximately 15.4 billion US dollars by 2025, equivalent to over 100 billion yuan in Chinese yuan. This is one of the few sub sectors in the semiconductor industry with a scale exceeding 100 billion yuan, and the market capacity is huge. Despite the large market size, the industry has a strong sense of order. Both the technical roadmap and product solutions exhibit highly unified characteristics. This feature is closely related to the application scenarios of RF front-end. Its core customers are mobile phone manufacturers, and the global mobile phone market has an annual shipment volume of over one billion units, with a large and highly stable scale. RF performance directly affects the communication experience of end users. Currently, mobile phone brands are highly concentrated, including Apple, Samsung, as well as a few giants in China such as Vivo, Huawei, Honor, Xiaomi, OPPO, etc., each with an annual shipment volume of tens of millions or even hundreds of millions of units. In this context, the reliability and performance of the RF front-end, as the core chip of the terminal, cannot be compromised. Another notable feature of the mobile phone market is rapid iteration. As a consumer electronics product, mobile phones are frequently updated, and the continuous evolution of communication technology from 2G to 5G, as well as the advancement of 6G in the future, require continuous upgrades of RF front-end to adapt to new protocol standards. In such an industrial environment, the evolution model of "platform driven definition and certification" has emerged and gradually become the mainstream solution in the market. To coordinate the technological evolution between mobile phone manufacturers and RF solutions, SoC platform manufacturer MediaTek (MTK) has taken the lead in introducing the "third-party definition" mechanism. MediaTek collaborates with RF front-end suppliers to define standard solutions based on customer needs and its own platform planning. After determining the plan, the RF manufacturer and platform provider will synchronize their development work to provide complete chip and RF solutions for end customers who choose the MediaTek platform. Figure: Ecological conduction path diagram of RF front-end solution This path seems to achieve a win-win situation for RF manufacturers, platform manufacturers, and terminal manufacturers, but the platform's selection of RF suppliers becomes particularly crucial in the initial stage. Leading manufacturers can lay out designs in advance, launch products first, solve problems in a timely manner, and can be included in official reference designs for collaborative promotion. However, once mobile phone manufacturers adopt a reference design for development, it is often difficult to invest additional resources to replace the solution in the future. For a long time, the first batch of cooperative RF manufacturers selected by platforms such as MediaTek have been limited to American and Japanese manufacturers such as Skyworks and Qorvo, and domestic manufacturers have been excluded. This means that domestic manufacturers can only seek limited opportunities for adaptation and replacement after their solutions have matured and become commercially available, posing significant challenges for the development and introduction of domestic products. Simultaneous homogeneous development has become a key bottleneck that has long constrained the development of domestic RF enterprises. The above is the basic pattern of the current RF industry order. However, the formation of any order is not a one-day effort. Looking back at the development history of the global RF front-end over the past forty years, its order evolution can be roughly divided into three stages: Initial stage: Maintaining order through technological barriers (1985-2012) Mid stage: Maintaining order through integration of design capabilities and solutions (2013-2022) Recent stage: Maintaining order through market business strategies (since 2023) The three stages and the changes in revenue of the two companies are shown in the following figure. Figure: The correspondence between the three stages of RF order formation and Skyworks and Qorvo revenue 1. Initial stage: Maintaining order through technological barriers (1985-2012) In the era of rapid development of wireless communication technology, many emerging companies have emerged with innovative technologies and market opportunities. However, enterprises that can survive and achieve long-term development in fierce competition not only need to master advanced technology, but also need to launch products that meet market demand at critical moments. Anadigics, Triquint, RFMD, Skyworks, and Avago were among the top performers, ranking among the top 5 in the GaAs PA market at the time. Figure: 2008 Global GaAs PA Supplier Ranking Anadigics was founded in 1985, initially focusing on power amplifiers in cable television (CATV) systems. With the rise of the mobile communication market, the company quickly turned to this field and launched a series of high-performance PA products based on its existing technological accumulation. Its highlight lies in the high-efficiency and high-performance amplifiers, especially the HELP ™ Energy saving technology. Anadigics adopts indium gallium phosphide (InGaP) material and HBT structure, and further introduces BiFET process, which is described in the technical paper "InGaP Plus ™:  Advanced GaAs BiFET Technology systematically describes the progressiveness of this composite process. Image: Anadigic's BiFEM process and HELPTM technology for improving PA performance Triquint was also founded in 1985, spun off from Tektronix, inheriting its profound accumulation in compound semiconductor processes such as indium phosphide (InP) and gallium arsenide (GaAs). Since its establishment, the company has established a development path centered on advanced technology, and has established significant advantages in fields such as GaAs and GaN, becoming an important supplier of military RF microwave devices in the United States. Triquint has also proactively deployed gallium nitride (GaN) technology and participated in relevant projects of the US Defense Advanced Research Projects Agency (DARPA), building a solid technological barrier for defense and base station applications. Unlike Anadigics, Triquint not only focuses on active circuits, but also actively integrates passive devices, expanding its business to the entire RF front-end by mastering surface acoustic wave (SAW) and bulk acoustic wave (BAW) filter technologies. The world's first PAMiD (power amplifier module and integrated duplexer) module, launched in 2003, became an important milestone in the development of RF modularity. Figure: (a) Triquint's module product TQM71312 launched in 2003 (b) Triquint's explanation of its module products RFMD was founded in 1991, coinciding with the global promotion of the GSM standard. The company focuses on RF microdevices and decisively chooses the GaAs HBT process route. The advantages of this technology in terms of linearity, efficiency, and power density have quickly made it the mainstream choice for mobile PA in the 2G to 4G era. RFMD achieved a virtuous cycle of technological leadership and scale expansion by binding with mainstream mobile phone brands such as Motorola and Nokia, and relying on its own IDM model. In contrast, AnaDigics, which used GaAs MESFET technology in the early days, gradually lost competitiveness in the consumer electronics market in terms of cost and ease of use due to the negative voltage supply required for the devices. Despite the later shift towards HBT technology, RFMD has taken the lead with its first mover advantage and large-scale production capacity, and MESFET technology has gradually withdrawn from the mainstream civilian PA market. Skyworks was established in 2002 through the merger of Alpha Industries and Conexant Systems' wireless division. The merger brings significant technological and business synergies: Alpha's accumulation in semiconductor processes, combined with Conexant's expertise in wireless systems, gives Skyworks the ability to define system level RF solutions. The company clearly focused on the RF field and decisively withdrew from the baseband business in 2006, concentrating resources on deepening GaAs HBT technology and modular integration. By continuously optimizing processes and driving architectural innovation, Skyworks not only pushes the performance of GaAs HBT devices to new heights, but also combines them with system level packaging technology to launch a series of highly integrated front-end modules, laying the foundation for the evolution of 4G/5G terminal RF architecture. The development path of Avago is also representative. Its predecessor was Agilent Semiconductor Division, which operated independently after being acquired by private equity funds in 2005. The company focuses on III-V compound semiconductor technologies such as GaAs and has developed differentiated advantages in devices such as FBAR filters. Through a series of precise mergers and acquisitions and technological integration, Broadcom eventually became a global semiconductor giant, and its development process reflects the dual drive of technological depth and strategic mergers and acquisitions. The above five companies, with their respective focus and breakthroughs in key technologies such as processes, modularization, system integration, or filters, have jointly occupied about 66% of the global GaAs market share by 2008, laying the foundation for a relatively stable market pattern in the following two decades. During this period, a number of RF startups emerged in both China and the United States. On the Chinese side, RDA、 A large number of RF startups such as Weijie Chuangxin, Huizhi Microelectronics, Zhongpu Microelectronics, Hantianxia, Haoxin, Guomin Feixiang, and Zhengyuan Microelectronics have been established one after another, attempting to replicate the successful path of American enterprises. However, due to its relatively late start compared to American companies and immature industrial chain, it has not yet had a substantial impact on leading enterprises. Start up companies such as Amalfi, RFaxis, SiGe, Cavendish have also emerged in the United States, most of which were acquired by existing giants between 2010 and 2020. The innovative technologies of these startups are absorbed and integrated, further strengthening the technological barriers of large enterprises. Image: A US startup RF company acquired by a giant Overall, during this stage, the top five companies in the industry have led and maintained the early formation of the global RF front-end order by building and continuously strengthening their technological advantages. 2. Mid term stage: Maintain order by integrating design capabilities and solutions (2013-2022) With the increasing maturity of compound semiconductor (GaAs HBT) foundries (such as WIN Semiconductors) and the accelerated diffusion of RF technology, the solutions launched by Chinese manufacturers are gradually reaching a "usable" level. In the face of this challenge, the response of international manufacturers such as Skyworks and Qorvo is to build a deeper competitive system: with continuous design technology innovation as the cornerstone, platform reference design as the core carrier, high integration modules (such as PAMid/L-PAMid) as barriers, and strategic mergers and acquisitions to supplement key capabilities. 1）. The cornerstone of order: the continuous leadership of RF design technology At this stage, the core competitive strategy of international manufacturers has shifted from the gap in technology to achieving sustained leadership through design and technological innovation. Faced with the gradual diffusion of process technology, enterprises such as Skyworks and Qorvo have not only consolidated their performance advantages but also laid a solid foundation for the subsequent construction of platform ecology and module barriers through systematic innovation in core design aspects such as circuit architecture, packaging forms, and power supply systems. Specifically, the application of a series of key technologies in the RF front-end of mobile terminals collectively supports this leading position. Specifically, it includes: Flipchip packaging achieves a dual improvement in RF performance and integration potential by replacing traditional Wirebond; The introduction of advanced circuit architectures such as Push pull and Doherty optimizes the linearity and efficiency of power amplifiers; Envelope tracking (ET) technology improves power efficiency at the system level;

"Omdia reported today that the market size of cloud infrastructure services in Chinese Mainland will reach US $12.4 billion in the second quarter of 2025, the first quarterly year-on-year growth rate of more than 20% since the beginning of 2024 (specific proportion is 21%). ” Omdia reported today that the market size of cloud infrastructure services in Chinese Mainland reached US $12.4 billion in the second quarter of 2025, the first quarterly year-on-year growth rate of more than 20% since the beginning of 2024 (specific proportion is 21%).   In terms of market share, Alibaba Cloud, Huawei Cloud, and Tencent Cloud have market shares of 34%, 17%, and 10% respectively in Q2 2025, with the remaining 39% shared by other service providers.   Overall, the exceptionally strong demand for AI played a key role in the rebound of Q2 growth. The demand for enterprise AI is shifting from basic model calling to application scenarios that better meet business needs, including early exploration of industry-specific models and AI agent/agent applications.

The revenue and upcoming sales of chip giant Nvidia have exceeded Wall Street's expectations, easing investors' concerns about market turbulence caused by massive spending in the field of artificial intelligence (AI). The company's quarterly financial report released on Wednesday showed that revenue surged 62% to $57 billion in the three months ending in October, mainly due to the increasing demand for its chips in artificial intelligence data centers. The sales of this department increased by 66%, exceeding $51 billion. Reaching $51.2 billion, easily exceeding analysts' previous expectations of $49.09 billion, a 25% increase from the previous quarter and a 66% increase from the same period last year. The remaining $6.8 billion in revenue comes from Nvidia's gaming business ($4.2 billion), followed by sales in the professional visualization and automotive sectors. According to the Generally Accepted Accounting Principles (GAAP) in the United States, the company's net profit was $32 billion, a year-on-year increase of 65%. Both revenue and profit exceeded Wall Street's expectations.   Nvidia stated that most of the growth was driven by initial sales of its GB300 chips. The network business, even components that can work together like a computer with dozens of GPUs, contributed $8.2 billion in sales to data centers. Nvidia Chief Financial Officer Colette Kress stated in a statement that the company's best-selling chip series is now the Blackwell Ultra, which is the second generation version of the company's Blackwell chips. In a statement to shareholders, Nvidia Chief Financial Officer Colette Kress pointed out that the accelerated development of computing power, powerful AI models, and the rise of intelligent agent applications have driven the growth of the company's data center business. Kress stated during the company's third quarter earnings conference call that last quarter, the company announced an AI factory and infrastructure project with a total of 5 million GPUs. Kress said, "This demand covers all markets, including cloud service providers, sovereign states, modern construction enterprises, and supercomputing centers, and includes multiple iconic construction projects Blackwell Ultra GPU was released in March, offering a variety of configuration options and performing particularly strongly. It has now become the leading product within the company. According to the company, previous versions of the Blackwell architecture have also maintained strong demand. Nvidia stated that it expects sales for this quarter to be around $65 billion, compared to analysts' previous expectations of $61.66 billion. The company stated that its net profit for this quarter increased by 65% to $31.91 billion, or $1.30 per share, compared to $19.31 billion, or 78 cents per share, in the same period last year. Nvidia is the world's most valuable company and is seen as a barometer of the prosperity of artificial intelligence. The performance of this chip manufacturer may affect market sentiment. CEO Huang Renxun stated in a statement that the sales of his artificial intelligence Blackwell system "far exceeded expectations" and that "cloud GPUs (graphics processing units) are sold out". Huang Renxun stated in the company's third quarter financial report that "Blackwell's sales far exceeded expectations, and the cloud GPU has also been sold out. The demand for computing continues to accelerate exponentially in terms of training and reasoning. We have entered a virtuous cycle of artificial intelligence. The artificial intelligence ecosystem is rapidly expanding - with more new foundational model builders emerging, more AI startups covering more industries and countries. Artificial intelligence is ubiquitous and capable of anything. ” "There are many opinions about the artificial intelligence foam. But from our perspective, what we see is quite different," he said in a conference call with analysts. We have performed excellently in all stages of artificial intelligence He has stated that people's willingness to pay for artificial intelligence tools indicates that the technology is "profitable," even though most tech companies are now reinvesting the money they make in new infrastructure. Due to growing concerns about overvaluation of artificial intelligence stocks, the quarterly report of this chip manufacturer has attracted more attention on Wall Street than ever before. Due to concerns about the return on investment in artificial intelligence, the S&P 500 index fell for four consecutive days before Wednesday. Before Nvidia released its performance, people had high expectations for its performance. LPL Financial's Chief Technology Strategist Adam Turnquist stated that the question is not whether the company will exceed expectations, but rather how much it will exceed. Despite artificial intelligence valuation dominating the headlines, Nvidia continues to conduct its business in an elegant manner, "said Matt Blitzman, a senior stock analyst at Hargreaves Lance. He said that the valuation of certain areas in the field of artificial intelligence "needs to take a breath, but Nvidia does not belong to this category". Huang Renxun previously stated that he expects artificial intelligence chip orders to reach $500 billion by next year. Investors are paying attention to when the company expects to achieve these revenues and how to fulfill these orders. Nvidia Chief Financial Officer Colette Kress told analysts that the company "may" take on more orders than the $500 billion already announced. During the earnings conference call, she also creatively listed the highlights of recent financial reports from chip manufacturer partners, emphasizing that artificial intelligence is bringing returns to the company. For example, she mentioned that Meta's artificial intelligence recommendation system allows users to "spend more time on apps like Facebook and Threads"; Anthropic recently announced that it expects its annual revenue to reach $7 billion this year; Salesforce's engineering team has improved efficiency by 30% since using artificial intelligence for coding. She also cited a series of examples of corporate clients. But she also expressed disappointment with regulatory restrictions that hinder the company from exporting chips to China, saying that the United States "must win the support of every developer, including Chinese developers". Kress stated on the earnings conference call, "Due to geopolitical issues and increasingly fierce competition in the Chinese market, we were unable to secure large purchase orders this quarter. Although we are disappointed with the current situation that is hindering our ability to export more competitive data center computing products to China, we are committed to continuing to communicate with the governments of the United States and China, and will continue to advocate for enhancing the United States' competitiveness globally Tech giants are increasing their investment in artificial intelligence, competing to profit from the boom that has driven stock prices to historic highs. The financial reports released by Meta, Alphabet, and Microsoft last month once again confirmed that these companies have invested huge amounts of money in various aspects from data centers to chips. Sundar Pichai, CEO of Alphabet, the parent company of Google, also stated that although the growth of AI investment is an "extraordinary moment," there are also some "irrational" factors in the current AI boom. His remarks were made at a time when other industry leaders were issuing warnings. The chips produced by NVIDIA are crucial for artificial intelligence data centers, as it has entered into a series of deals with key players in the field of artificial intelligence such as OpenAI, Anthropic, and xAI, with NVIDIA being at the core of these deals. These transactions have attracted much attention due to their cyclical nature, as mutual investments between artificial intelligence companies are increasing. These agreements include Nvidia investing $100 billion in OpenAI (the company behind ChatGPT).

The expansion of global investment in artificial intelligence (AI) has exacerbated the shortage of semiconductor DRAM, and price negotiations, previously conducted monthly or quarterly, are now shifting towards long-term supply contracts of six months or longer. Demand-side companies are also actively responding to six-month contracts as a severe DRAM supply shortage is expected to continue driving up prices next year. The market is even beginning to discuss supply contracts for 2027, as securing supply next year is becoming increasingly difficult.   On November 17th, a semiconductor industry insider explained, "The DRAM market has shifted to a long-term contract-driven market," adding, "The purchasing demand generated by this situation is stronger than the supercycle market of 2017." DRAM serves as temporary data storage, enabling central processing units (CPUs) and graphics processing units (GPUs) to process information quickly.   With the emergence of large language model (LLM) AI such as ChatGPT, the role of GPUs is becoming increasingly prominent. To support these models, memory semiconductors, including high-bandwidth memory (HBM) that employs multi-layered stacked DRAM, are facing supply shortages. A prime example is that major US tech companies, including NVIDIA, the world's largest AI semiconductor company, have secured HBM chips from SK Hynix and Samsung Electronics through long-term annual contracts.   However, recently, not only is there a shortage of HBM memory, but general-purpose DRAM is also facing supply shortages. This is because with OpenAI and Meta announcing AI infrastructure investment plans worth hundreds of billions of won, and with major companies and governments worldwide building data centers for their AI research, demand for general-purpose DRAM, including Double Data Rate (DDR), Graphics (G) DDR, and Low Power (LP) DDR, has surged. While general-purpose DRAM has lower performance than HBM, it is crucial for AI inference and computing.   According to industry insiders, DRAM demand is growing significantly, primarily concentrated in US and Chinese companies. In particular, Samsung Electronics and SK Hynix are reportedly signing six-month contracts with major demanders for supplies next year.   Typically, semiconductor DRAM supply contracts are signed monthly, with a fixed price each month, and then the product price is adjusted according to market prices. However, starting in the second half of this year, with the surge in semiconductor DRAM demand, contract cycles are shifting from quarterly contracts to six-month or longer supply contracts. This is because demanders are not only willing to offer prices higher than market rates, but also want to sign supply guarantee contracts for at least six months.   In fact, DRAM market sales are declining rapidly. Samsung Electronics' semiconductor division (DS) had finished goods inventory assets of 3.404 trillion won at the end of the third quarter, a 14.6% decrease (580.4 billion won) from the previous quarter. SK Hynix's inventory is also declining. The company's finished goods inventory assets in the third quarter of this year were 2.152 trillion won, a decrease of 368.9 billion won from the end of last year.   Due to the DRAM shortage, market discussions have even extended to supply contracts for 2027. SK Hynix has already secured all DRAM supply contracts for next year and is currently negotiating supply for 2027. With SK Hynix's DRAM sold out, demanders, including major global technology companies, are turning to Samsung Electronics. However, Samsung Electronics has already signed supply contracts for most of next year's production. With surging demand, Samsung Electronics is even discussing plans to raise DRAM supply prices by more than 40%.   Industry insiders predict that the super-cyclical performance of Samsung Electronics and SK Hynix will continue until at least 2027 as the DRAM market shifts towards long-term supply contracts. When manufacturers have more long-term supply contracts, production planning, including production costs and distribution, will become easier, and profits will increase accordingly. One industry insider explained, "Prices have risen again because semiconductor contracts that were originally signed monthly or quarterly are now renewed semi-annually." He added, "By 2027, long-term supply contract prices will be higher than current levels, further enhancing profitability." Distributors Unprecedentedly Mandate Bundling of Memory and Motherboards   According to Taiwan's *Economic Daily News*, a severe global shortage of DRAM memory has led some Taiwanese distributors to impose unprecedented bundling requirements on buyers. The report states that some channels now require customers to purchase motherboards and DRAM memory modules in a 1:1 ratio, or risk being unable to purchase memory at all.   This allocation control method is reportedly unprecedented in the DRAM industry. Distributors appear to be using the high demand for memory modules to boost motherboard sales, a strategy more common in the tight-supply consumer electronics market than in the hardware sector. ASUS, Gigabyte, MSI, and Chinese motherboard manufacturer Chaintech are reportedly direct beneficiaries of this practice.   Taipei-based financial analyst Dan Nystedt, known for translating and tracking Taiwanese tech industry media, relayed this news in a post on X, noting that the bundled sales policy "triggered a surge in motherboard sales."   Ultimately, this all reflects the rapid changes in the memory market since the beginning of the year. DRAM contract prices are currently up approximately 170% year-over-year, primarily driven by demand from AI server manufacturers. TrendForce recently raised its Q4 DRAM market growth forecast to 18%-23% quarter-over-quarter.   On the client side, mini-PC maker Minisforum recently increased prices for pre-installed configurations that include both DRAM and SSDs, while keeping prices for basic SKUs unchanged. The company explicitly stated that this move was due to a "significant increase" in its overall costs.   While the bundled sales strategy described in Taiwanese media currently appears to be limited to the Taiwanese market, it illustrates that the distribution of DRAM throughout the supply chain is tightening.   The report also notes that downstream buyers may face new hurdles as hyperscale data center and smartphone manufacturers continue to capture the majority of available capacity. Morgan Stanley Downgrades Ratings for Major OEMs   The continued DRAM memory shortage and price doubling or even more in recent weeks pose a significant challenge to potential PC assemblers and could lead to sustained price increases for computers and electronic devices for at least the next few years. According to X posts by @juklanosreeve (Jukan), Morgan Stanley market analysts believe even large manufacturers and integrators will be impacted, and have even downgraded their stock investment recommendations for some companies.   For reference, Morgan Stanley uses three ratings for stock performance forecasts: OW (Overweight, or Good), EW (Neutral, or Neutral), and UW (Underweight). Dell's rating was reportedly downgraded significantly from OW to UW, while HP, ASUS, and Pegatron were downgraded from EW to OW.   Other OEMs like Acer and Compal, already manufacturers of ultrawide devices, have also seen their target prices lowered by approximately 20% by Morgan Stanley. Dell faces harsher forecasts than other companies because it sells a large volume of servers, which typically consume significant amounts of memory.   In another chart, Microsoft estimates that memory costs account for 40% of the bill of materials (BOM) for high-end servers. General-purpose servers far fare similarly at 30%. Standard PCs and “AI” PCs (whatever the definition of “AI” today) account for 20% and 15% of the BOM, respectively.   If you're wondering why Apple is still rated OW, Jukan suggests that the Cupertino giant made large purchases before the full-blown DRAM shortage and also had a long-term agreement with Kioxia, presumably for which Kioxia produced some of its DRAM.   Given Apple's past experience in handling such crises and its consistent proactive approach, Jukan's speculation may not be unfounded. It's not hard to predict that even if prices for Macs, iPads, and iPhones rise, the increase will likely be small, and ample supply will remain in the short term.   Morgan Stanley seems to believe that original equipment manufacturers (OEMs/ODMs) are likely to absorb some of the DRAM costs themselves, thus reducing profit margins, rather than passing all the costs on to customers. This perhaps best illustrates just how serious the crisis truly is.

On November 11, semiconductor giant AMD announced the completion of its acquisition of MK1, an American AI inference startup. This deal marks AMD's further expansion in the AI field, aiming to enhance its capabilities in high-speed inference and enterprise-grade AI software stacks.     According to reports, MK1 is led by Paul Merolla, co-founder of Neuralink, whose team possesses deep technical expertise in AI inference technology. Merolla previously assisted in leading chip design efforts at Neuralink and developed algorithms capable of decoding brain activity. Other members of MK1 also come from renowned companies such as Neuralink, Meta, Tesla, and Apple. MK1's Flywheel technology is optimized for AMD hardware and currently processes over 1 trillion tokens daily.   Merolla stated that joining AMD is the right next step for MK1's technology and mission, as AMD's resources and platform will enable MK1 to achieve larger-scale deployment and development. MK1's technology is closely integrated with the memory architecture of AMD Instinct GPUs, delivering precise, cost-effective, and fully traceable inference capabilities.   This acquisition is one of the key initiatives for AMD to advance its broader AI strategy. Recently, AMD has been active in the AI field, continuously enhancing its software capabilities through multiple acquisitions. In August of last year, AMD spent $4.9 billion to acquire server manufacturer ZT Systems, accelerating the development of rack-level systems based on Instinct GPUs. In October of this year, AMD sold ZT Systems' manufacturing division to Sanmina for $3 billion, while retaining its design and support teams.   In addition, AMD has also invested $36 million in several other acquisitions this year, including the purchase of silicon photonics chip startup Enosemi, the employee team of Canadian AI inference chip startup Untether AI, and compiler startup Brium.   According to the latest financial report, AMD's revenue in the third quarter reached $9.25 billion, up 36% year-on-year, with a net profit of $1.2 billion, up 61% year-on-year. The company forecasts a mid-point revenue of $9.6 billion for the fourth quarter, exceeding market expectations. AMD also mentioned its collaboration with OpenAI for 600 gigawatts of computing power, with the deployment of the first 100 gigawatts of AMD Instinct MI450 GPUs set to begin in the second half of 2026. CEO Lisa Su revealed that AMD expects sufficient supply capacity in 2027 and 2028, with AI business revenue projected to reach tens of billions of dollars in 2027.   So far this year, AMD's stock price has doubled, reaching $243.98 per share, with a total market capitalization of $397.2 billion. AMD's sustained investment and strategic positioning in the AI sector are delivering significant market returns and growth potential.