Note: The article was first published on TechNode China written by Evan Huang and translated by Zinan Zhang.

Huawei, a leading Chinese hardware manufacturer, made a notable return to the spotlight last year with its high-end Mate 60 series. Recently, rumors and leaks about the upcoming Huawei Mate 70 series have sparked significant consumer interest and anticipation in China. Reportedly, this new device is set to launch in mid-November. Given the information leaked so far, what key features can we expect?

Latest leaks and highlights

Recent leaks suggest that the Huawei Mate 70 series will, like last year, include four main versions: the Standard, Pro, Pro+, and the RS Ultimate Design. The Pro version is expected to be the highlight, offering a premium entry-level experience. Early glimpses of the Mate 70 Pro reveal a design that pays homage to the Mate 50 series, with a unified back color scheme and a triple-punch display on the front, likely enhanced by a quad-curved micro-edge design.

The new Kirin chipset is expected to deliver significant advancements in processing technology and performance. The Pro version will feature a BOE-supplied 2K display, approximately 6.8 inches in size, with 2160Hz PWM dimming and a 120Hz refresh rate. It will also be equipped with next-generation KUNLUN GLASS and reinforced with Xuanwu architecture, greatly improving resistance to drops, compression, and impact. Water resistance may also be upgraded to IP69 standards, adding further durability.

Popular blogger @厂长是关同学 shared a post on the Chinese social platform Weibo earlier in October saying, “If the rumors hold, the new Kirin chipset in the Huawei Mate 70 series will cost around RMB 1,100-1,300, marking a substantial investment. Other components—such as the screen, CMOS sensor, and power management chip—are also expected to be on the higher end of the price spectrum. Despite an estimated production cost nearly 30% above Apple’s 16 series, the Mate 70 series price won’t surpass Apple’s. The launch is slated for mid-next month (data for reference only).”

Additionally, blogger @智慧皮卡丘 leaked that the Huawei Mate 70 also features a flat-edge frame and side fingerprint power button, and the new Kirin chipset will be standard, along with 3D facial recognition. Although the battery capacity is thought to not exceed 6,000mAh, power optimization is still expected to be high. Regarding imaging, the main camera is expected to utilize the OV50K large sensor from China’s OmniVision.

HarmonyOS boosts Huawei’s hardware experience

On October 22, Huawei officially launched HarmonyOS NEXT, marking the third major mobile operating system globally alongside Apple’s iOS and Android. Unlike previous HarmonyOS versions, which relied on AOSP open-source code and compatibility with Android apps, HarmonyOS NEXT is entirely self-developed, bringing significant improvements in system smoothness, performance, and security, while enabling the Chinese tech giant to have full control over the OS.

At the launch event, Richard Yu, Executive Director and Chairman of the Board of Directors of Huawei’s Consumer BG, announced that HarmonyOS NEXT 5.0 delivers a 30% increase in smoothness, an additional 56 minutes of battery life, triple the connection speed, four times the device connectivity, and a 20% reduction in power consumption. Currently, there are over 15,000 native HarmonyOS apps and service modules, with updates being released almost daily. HarmonyOS has seen widespread adoption, with over 38 million enterprise applications in use nationwide in China and thousands of internal applications for businesses and government agencies going live.

HarmonyOS NEXT facilitates seamless connectivity across multiple devices, including smartphones, tablets, and in-car systems. Utilizing a new distributed soft bus, it achieves three times faster cross-device connections with lower power consumption, supporting simultaneous connections with up to four devices for features like cross-device scanning, photo library sharing, and clipboard sharing. These advancements are expected to drive Huawei hardware sales.

In conclusion

In summary, the Huawei Mate 70 series stands as the most eagerly awaited flagship phone of Q4 in China. From its design and internal configurations to advancements in imaging technology and its operating system, the device promises significant upgrades and breakthroughs. Particularly notable is the HarmonyOS NEXT, signaling a bold move toward ecosystem integration. Though Huawei has yet to reveal the full details of the new device, the hints so far are already building excitement.

On October 14, Chinese phone brand Vivo released its latest annual flagship series, the Vivo X200. The Vivo X200 series includes three models: the X200, X200 Pro, and X200 Pro mini, each equipped with top-notch cameras developed in partnership with Zeiss and powerful MediaTek Dimensity 9400 processors. The Vivo X200 Pro is available in blue, white, black, and titanium. TechNode was given a titanium X200 Pro to test for two weeks, and here are our detailed impressions.

Distinctive design with protruding camera module may affect comfort

The Vivo X200 Pro features an equal-depth four-curve flat screen design with a frosted AG glass back. The rear camera module includes a triple-camera setup, with Zeiss T* coating on the lenses to enhance anti-glare capabilities. It is equipped with a 6.78-inch curved OLED display, featuring a resolution of 2,800 x 1,260 and supporting an adaptive refresh rate ranging from 1 to 120Hz.

The device measures 162.36mm in height and 75.95mm in width, and thickness and weight vary slightly depending on the color. The blue, titanium, and white versions are 8.49mm thick and weigh 228g, while the black version is 8.20mm thick and weighs 223g. For users who hold their phones for extended periods, these weights may lead to some fatigue.

Notably, the rear camera protrudes from the phone body, which some users may feel makes it uncomfortable to hold. While this design improves the camera’s image quality, it compromises on comfort, and is especially noticeable during mobile gaming. If you prefer a comfortable grip, it’s recommended to use a phone case to reduce this discomfort and also protect the camera.

Stunning imaging capabilities

For its imaging system, the Vivo X200 Pro is the first to feature the jointly developed LYT-818 large CMOS sensor by Vivo and Sony, which combines with Vivo’s own algorithm to enhance the detail processing capabilities of the phone’s images. Notably, the 200MP telephoto lens, with its 1/1.4-inch large sensor and f/2.67 large aperture, supports CIPA 4.5-level stabilization. Whether wide-angle or telephoto shots, it performs with ease.

At the main sightseeing point on the Bund in Shanghai, where you can view the Oriental Pearl Tower, the Huangpu River is around 400 meters wide. Photo 1 captures the view of Lujiazui from the Bund across the river under normal shooting conditions, while Photos 2 and 3 show the details of the Shanghai International Convention Center and The Museum of Art Pudong magnified around 30 times. The incredible clarity is evident in these photos. If users attend a concert, the model can zoom in 100 times to easily capture clear photos of the performers on stage.

Here is a set of photos of Jing’an Temple in Shanghai taken on a cloudy day. We can see that the photographic effects are really impressive. 

The X200 Pro is equipped with multiple portrait modes at different focal lengths, including 85mm and 135mm. The 85mm focal length is suitable for capturing standard portraits, showcasing natural background blur and emphasizing the subject. The 135mm telephoto portrait mode further enhances spatial perspective and compression effects that bring the subject closer to the background. Below is a portrait photo taken on the streets of Shanghai using the 85mm focal length.

In night mode, the camera can achieve a high level of noise control. Here is a night view of a large screen on the Shanghai Bailian Building.

While flare is commonly seen in camera and smartphone photography, its occurrence during everyday use is rare and typically happens under specific lighting conditions. Although it wasn’t observed during our testing, some online users have reported flare issues after the phone’s release. 

Huang Tao, Vice President of Vivo, responded to this issue on Chinese social platform Weibo, explaining that the larger aperture and increased light intake may cause a flare in some cases. He assured users that an OTA software update would be rolled out soon to ease these concerns. And Vivo plans to offer custom accessory optimization solutions for those who need them.

MediaTek Dimensity 9400 chipset, smooth gaming and fast charging

The X200 Pro is equipped with the MediaTek Dimensity 9400 chipset, which is the world’s first second-gen 3nm all-large-core chip. In gaming tests with high-load mobile games like Genshin Impact, the phone maintained an average frame rate near 60 frames per second, with no frame drops, stuttering, or automatic brightness reduction issues.

The device features a 6,000mAh battery that easily meets daily usage needs. The phone supports 90W wired fast charging and 30W wireless charging, and according to tests, it can be fully charged in about one hour. The X200 Pro is priced between RMB 5,299 ($745) and RMB 6,799 ($956), depending on the storage configuration.

Conclusion

The Vivo X200 Pro is an ideal option for photography enthusiasts. While its protruding camera module design and slightly heavier weight may pose comfort challenges, the advanced camera features justify its premium price, positioning it as a strong contender in the flagship smartphone market.

Pros

• Distinctive design
• High-quality display
• Impressive camera system with a 200MP telephoto lens
• Powerful gaming performance
• Long battery life and fast charging

Cons

• Protruding camera module may cause discomfort
• Not a lightweight choice
• Camera flare concerns

Huawei last night introduced HarmonyOS NEXT, its self-developed mobile operating system and the first originating in China, along with new products including the nova 13 series smartphones, WATCH Ultimate Green Edition, and MatePad Pro 12.2-inch Golden Collection Edition.

The HarmonyOS ecosystem is now used by over one billion devices, Yu Chengdong, Chairman of Huawei’s Consumer BG, announced at the launch.

Why it matters: HarmonyOS NEXT has become the third most used mobile operating system in the world, after Android and iOS. This progress represents a significant achievement for China’s tech industry, reducing reliance on foreign operating systems for the nation’s smartphone users.

Details: HarmonyOS NEXT (HarmonyOS 5.0) is the largest upgrade to the HarmonyOS system since its debut in 2019. The number of native HarmonyOS applications and meta services now exceeds 15,000, according to Huawei.

• Yu stated that HarmonyOS NEXT has achieved full-stack self-development, including an OS kernel, file system, programming languages, compilers, programming frameworks, AI frameworks, and large models. This breakthrough in core operating system technology and autonomous control is the biggest difference between HarmonyOS NEXT and previous versions, he said.
• Currently, the phone models compatible with HarmonyOS NEXT include the Huawei Pura 70 series, Huawei Pocket 2 series, and the Huawei MatePad Pro 11-inch. Users can apply for a system upgrade on the Huawei app.
• The upcoming Mate70 series flagship phones will be the first to launch with the native HarmonyOS NEXT. However, the Mate70 series may feature a dual-framework system, supporting both HarmonyOS NEXT and an earlier HarmonyOS compatible with Android, industry analysis has predicted.

Context: The Huawei Mate70 series phones have already entered mass production, with a stock expectation of around 15 million units, which is roughly 20% higher than the Mate60 series, supply chain sources told local media outlet Jiemian.

On Monday, Chinese tech firm Vivo unveiled its new X200 series flagship smartphones, including the X200, X200 Pro, and X200 Pro Mini, at the National Aquatics Center in Beijing. Vivo also announced a joint lab with Arm and collaboration with MediaTek to make a second-generation 3nm Dimensity 9400 chipset for the devices. The premium model, the X200 Pro, boasts a 200 MP ZEISS APO (Apochromatic) telephoto camera with custom algorithms, a main camera with ZEISS T* Coating, and the Vivo x Sony LYT-818 sensor. 

Why it matters: The powerful 3nm Dimensity 9400 chipset and advanced imaging capabilities  position Vivo as a major player in the high-end smartphone market. The company’s latest flagship launch will intensify competition with its rivals in the China market such as Huawei, Apple, Xiaomi, and Oppo.

Details: At the launch event, Arm’s executive vice president Will Abbey and MediaTek’s senior vice president Xu Jingquan took to the stage together with Vivo’s vice president of products, Huang Tao, and Vivo’s chief operating officer, Hu Baishan, to unveil the new products.

• The Vivo X200 series is the world’s first smartphone to feature the MediaTek Dimensity 9400 flagship processor, built on TSMC’s 3nm process. The Dimensity 9400 offers a 35% improvement in single-core performance and a 28% improvement in multi-core performance compared to its predecessor, the Dimensity 9300, while reducing power consumption by 40% at the same performance level, said the company.
• The processor includes one Cortex-X925 ultra-core clocked at 3.62GHz, three Cortex-X4 ultra-cores clocked at 3.3GHz, and four Cortex-A720 large cores clocked at 2.4GHz. The GPU is the new Arm 12-core Immortalis G925, and the phones also feature the eighth-gen NPU 890.
• The main camera on the X200 Pro offers a ZEISS T* Coating and a 1/1.28-inch Vivo Sony LYT-818 sensor, manufactured using a 22nm process. With an f/1.57 aperture and optical precision calibration technology, it rivals 1-inch sensors in photo capture and excels in video recording, Vivo stated. The 200 MP ZEISS APO telephoto camera, enhanced by Vivo’s BlueImage algorithms, offers rich detail at 20x zoom.
• The X200 Pro also includes a Super Stage Mode with its 200 MP camera, enabling 100x zoom to capture performances up to 30x. Its Super Landscape Mode integrates features for capturing nightscapes and starry skies, as well as an HDR mode for effortless landscapes, according to Vivo.
• The X200 Pro is equipped with a 6,000 mAh battery featuring third-generation silicon anode technology and a semi-solid state battery design. In tests run by Vivo, the battery life from full charge to automatic shutdown was 13 hours and 15 minutes. This battery system enhances energy density and ensures reliable performance even in low-temperature conditions, down to -20 degrees Celsius.
• The X200 series also supports long-distance off-network communication, including one-to-one voice calls up to 2 km and SOS text broadcasting up to 4 km. 
• The Vivo X200 Pro is priced between RMB 5,299 ($748) and RMB 6,799 ($959), depending on storage. Currently, it is available for presale in the Chinese market, with overseas release dates yet to be determined.

Context: In the second quarter of 2024, Chinese smartphone shipments hit 71.58 million units, representing a year-on-year growth of 8.9%, according to market intelligence firm IDC. 

• During the quarter, Vivo held the largest market share in China at 18.5%, followed by Huawei at 18.1%. Oppo secured 15.7% of the market, while Honor and Xiaomi accounted for 14.5% and 14.0%, respectively.

The Vivo X200 series smartphone, which will be released on Oct. 14, is expected to feature its latest kilometer-long offline communication tech, a self-developed network-free provision that enables several kilometers of free communication for two or more users of the same device, Vivo’s Vice President of Branding,  Jia Jindong said on Monday.

Why it matters: The kilometer-level offline communication technology allows users to stay connected for free, without relying on a network. This walkie-talkie design could enhance connectivity in remote areas and during emergencies, offering a cost-effective solution for users. However, it may also pose a challenge for mobile operators if this function extends to other phone models or brands, as the operators charge customers call fees regardless.

Details: Vivo’s Vice President, Jia Jindong, revealed some of the phone specifications on Chinese X-like platform Weibo yesterday. 

• By using LoRa (Long Range) spread spectrum technology, Vivo X200 series achieve “cost-free communication” without network coverage, with a communication range of up to several kilometers, according to Jia. “Users may lose connection due to lack of network coverage when they hike a mountain or walk in remote areas. For these moderately challenging outdoor scenarios, Vivo’s offline communication is an enhanced option,” he said.
• The Vivo X200 series will enhance the predecessor X100 Ultra’s 200MP Zeiss APO (apochromatic lenses) with a new 135mm focal length for telephoto portraits, Jia mentioned. Building on the X100’s 24mm, 35mm, 50mm, 85mm, and 100mm focal lengths, this upgrade improves portrait-background compression.
• Along with the Zeiss partnership, Jia’s post also noted that the new joint lab established by Vivo and British semiconductor and software design company Arm makes Vivo the first smartphone brand in the industry to collaborate with Arm in this way.

Context: The Vivo X200 series will also be the first in the world to debut the MediaTek Dimensity 9400 chipset, the first 3nm chip in the Android ecosystem, built using TSMC’s 3nm process. The tech blogger Digital Chat Station disclosed that the maximum CPU clock speed of the Dimensity 9400 is 3.626GHz. MediaTek’s new flagship chipset is set to launch tomorrow, October 9.

• The global smartphone shipments increased 6.5% year-on-year to 285.4 million units in the second quarter of 2024, according to market intelligence firm IDC. In the second quarter, Samsung led with an 18.9% market share, followed by Apple at 15.8%, Xiaomi at 14.8%, Vivo at 9.1%, and Oppo at 9.0%.

Chinese tech firm DreamSmart on Wednesday launched a series of new products at its AI Ecosystem Launch Event, including the Meizu Lucky 08 AI smartphone, AR smart glasses StarV View and StarV Air2, the smart ring StarV Ring2, and the Z10 STARBUFF esports edition vehicle jointly created with Lynk & Co.

DreamSmart’s chief operating officer Liao Qinghong said during the event that the company will establish parallel brands, Star and Meizu, while fostering an ecosystem that supports the development of three categories: smartphones, smart glasses, and smart vehicles.

Why it matters: The launch signifies DreamSmart’s ambitious expansion into diverse technology sectors. By establishing distinct brands and a unified ecosystem, the company aims to integrate its three main product categories, driving tech advancements and potentially reshaping consumer experiences across multiple industries.

Details: DreamSmart is building an AI ecosystem that integrates hardware for different scenarios, comprising AI smartphones, smart glasses, and smart vehicles.

• The Meizu Lucky 08, priced around RMB 2,000 ($285), boasts over 100 AI features. To enhance user convenience with AI functionalities, the phone is equipped with an AI button on the side that offers one-click search, taxi calling, clocking out, video meetings, and other functions.
• As part of its launch event, DreamSmart unveiled what it called the world’s first mass-produced esports vehicle, the STARBUFF, which allows users to enjoy computer games from the back seat. For a smooth experience with AAA games, the vehicle’s system is built on the AMD V2000A automotive-grade system chip and the AMD RX6600M discrete graphics card. The car offers a 17-inch OLED screen for the rear seat, a 1TB solid-state drive, 5G connectivity, esports seating, and space for a keyboard and mouse.
• The newly-launched StarV Air2 are waveguide display glasses that let users see the outside world through transparent lenses while viewing display info at the same time. Equipped with DreamSmart’s self-developed StarVision imaging system, the smart glasses weigh 44 grams and support real-time translation into 13 languages, along with features for meeting recordings and minutes, according to the company.
• Another model, the StarV View AR smart glasses, offer an immersive 6-meter (188-inch) screen experience, says DreamSmart. Designed for nearsighted users, the glasses allow individual adjustments for each eye, ranging from 0 to 600 degrees.
• The StarV Ring2 smart ring supports high blood sugar risk assessment and enables connectivity across multiple devices, allowing users to control smart glasses, smartphones, and smart vehicles with the ring. The smart ring also offers features such as sleep stress monitoring, temperature and blood oxygen trend tracking, and heart rate monitoring, the company said.

Context: In February, DreamSmart announced its All in AI strategy and halted its work on traditional smartphones. The company highlighted its transition from a smartphone company to what it called an ecosystem group.

On the same day Apple launched the iPhone 16 series, Huawei unveiled its highly anticipated triple-fold smartphone Mate XT. The industry’s first mass-produced triple-fold device, it starts at 19,999 RMB ($2,810), making it the most expensive phone in Huawei’s history.

At the launch event, Yu Chengdong, chairman of Huawei’s Consumer Business Group, stated that the Mate XT is the world’s largest foldable phone as well as the world’s thinnest. During the presentation, Yu showcased the device in its three modes – single screen, dual screen, and triple screen – along with a range of application scenarios.

Why it matters: The concurrent product launches by Huawei and Apple every September have become an annual highlight in the tech industry. Before Huawei, companies such as Samsung, Transsion, and TCL had also showcased triple-fold designs. However, due to the challenges of mass production and uncertainties about commercial viability, none of them have brought a mass-produced model to the market.

Details: The Mate XT features a 10.2-inch screen and unfolds to a thickness of 3.6 mm. Huawei’s self-developed hinge system enables both inward and outward folding within the device, forming the foundation for the mass production of the triple-fold screen, according to the company.

• Compared to current foldable phones, triple-fold phones are better for data viewing and watching videos, according to Yu Chengdong. “When you’re on a plane or a train and need to review reports or PowerPoint presentations, you can open the Mate XT like a tablet for an immersive reading experience,” said Yu.
• To enhance its suitability for office scenarios, Huawei introduced a foldable touch keyboard designed to pair with the Mate XT. At the launch event, Yu demonstrated the keyboard by pulling it from his pocket, and showing how it can provide a PC-like experience when used with the Mate XT. The Mate XT includes three batteries, one of which is the world’s largest silicon anode battery with a 5,600mAh capacity, yet is only 1.9mm thick.
• The Mate XT offers a triple-camera system with a 50MP main sensor, a 12MP ultra-wide lens, and a 12MP telephoto lens. The company is yet to reveal details about the chip specifications.
• The triple-fold device is priced at RMB 19,999 ($2,810) for the 256GB version, RMB 21,999 ($3,092) for the 512GB version, and RMB 23,999 ($3,372) for the 1TB version. The high cost of triple-fold phones is due to their expensive manufacturing, but the company has said it aims to lower costs in the future through process improvements and better yield rates.

Context: On Tuesday, Apple unveiled the iPhone 16 series, which includes four models: iPhone 16, iPhone 16 Plus, iPhone 16 Pro, and iPhone 16 Pro Max. This series is Apple’s first AI-powered phone. Apple Intelligence will be launched next month and will be accessible across iPhone, iPad, and Mac platforms.

• Apple Intelligence will support American English at launch next month, with expansion to localized English in Australia, Canada, New Zealand, South Africa, and the UK by December. Support for Chinese, French, Japanese, and Spanish will be available next year.
• China’s smartphone market experienced 10% year-on-year growth in the second quarter, with shipments exceeding 70 million units, according to market analysis firm Canalys. In the second quarter, Vivo led with a 19% share, followed by Oppo at 17%, Huawei and Honor both at 16%, and Xiaomi with 15%.

On Wednesday, Huawei unveiled its brand new TruSense System for smart wearable devices at  the Innovative Wearable Technologies day, a highly anticipated event in Dongguan, Guangdong Province. This new system improves smartwatches and fitness trackers’ capacity to monitor and analyze certain physiological and  environmental data.

Zhang Wei, President of Huawei’s Consumer Business Group for smart wearables and health products, stated at the event that devices equipped with TruSense will be on the market from September.

Why it matters: Huawei’s latest software strengthens its position against rivals such as Apple and Xiaomi in the wearable market. By offering enhanced features and capabilities, Huawei seeks to differentiate itself in a crowded market.

The details: To address health aware consumers, Huawei has integrated single-point monitoring technologies into a multi-dimensional sensing system named the Huawei TruSense System, or 玄玑 (Xuan Ji) in Chinese. “Xuan” in Chinese refers to a mysterious deep color, while “Ji” is used to describe ancient astronomical instruments used to observe celestial phenomena.

• The TruSense System is the foundation of Huawei’s health monitoring technology, and is as essential to the functioning of its sports wearables as SoC (System-on-Chip) is to smartphones and image sensors are to cameras. It offers a more accurate, faster, flexible, open, iterable, and all-rounded health monitoring experience for customers, the company said at the launch event.
• The TruSense System can assess a user’s emotional state and stress levels by utilizing heart rate data and an autonomic nervous sequence decomposition algorithm, the company added. Building on sustained investment in optics, electronics, and materials research, the new system has expanded its detection range to span over 60 health indicators.
• Currently, Huawei has 11 years’ experience in the smart wearable field, with over 150 million products shipped and more than 520 million registered users on its health app, according to Huawei. “The TruSense System is a major breakthrough in Huawei’s sports and health monitoring technology, and we are committed to helping users establish a positive and scientific lifestyle through innovative technology,” said Zhang Wei.
• Huawei has collaborated with global professional institutions on more than 250 health research projects, with more than 14 million users participating in health research, including risk assessments for endocrine blood sugar and ovarian health.
• Huawei invited leading experts from the sports and health fields to the event, including Wang Jiguang, President of the Chinese Hypertension League, Professor Xu Xin from the School of Medicine at Zhejiang University, and Professor Luis Sardinha, Dean of the Faculty of Human Kinetics at the University of Lisbon. They engaged in in-depth discussions on the future of smart wearable devices in areas such as blood pressure management, chronic disease prevention, and standards for sports health monitoring.

Context: The global shipments of wearable devices increased by 8.8% year-on-year in the first quarter of 2024, reaching 113.1 million units, according to the latest data from the IDC Worldwide Quarterly Wearable Device Tracker. The top five brands are Apple (18.2%), China’s Xiaomi (10.5%) and Huawei (9.6%), South Korea’s Samsung (9.3%), and India’s boAt (5.4%).

Huawei on Monday launched its first foldable phone in the Nova series, the Huawei Nova Flip, one of the few foldable phones on the market targeting young consumers.

To showcase its new flip phone, Huawei partnered with Chinese video-sharing platform Bilibili for a launch titled Super Science Night: New Scene. The event featured performances from popular celebrities, including Jackson Yee of TFBOYS, pop singer Lexie Liu, and Fei Qinyuan, a member of idol group SNH48, presenting a fusion of technology and pop culture geared towards the younger consumer.

Why it matters: The collaboration between Huawei Nova Flip and Bilibili merged the product launch with the youth-oriented appeal of a popular video platform that has built its success on ACG (anime, comic, game) culture, increasing the Nova Flip’s visibility and appeal to younger audiences.

Details: The Nova Flip is 6.88mm thin when unfolded, comes with HarmonyOS AI, and a 50MP rear camera with hover-selfie capability, the launch event showed. Geekbench screenshots suggest it might be equipped with the HiSilicon Kirin 8000 chip.

• The 195g device features a 6.94-inch 120Hz LTPO internal screen and a 2.14-inch 60Hz OLED cover screen, along with a 4400mAh battery that supports 66W fast charging. The cover screen supports HarmonyOS AI features such as a digital clock, animated pet lock-screen themes, navigation, music control, and message previews.
• The light-green Nova Flip, presented by Huawei’s global celebrity spokesperson Jackson Yee in both the event and promotional posters, displays a bold and distinctive style that may appeal particularly to young people.
• Besides the primary green color, the Huawei Nova Flip comes in a variety of other shades, including pink, white, and black. 
• Huawei also released a mini bag with a metal chain to hold the phone, allowing users to carry the phone like a small handbag. The mini bag is priced at RMB 499 ($70), while the flip phone starts at RMB 5,288 ($740).

Context: On April 25, the latest quarterly tracking report from market research firm IDC revealed that the Chinese foldable phone market continued growing rapidly with shipments reaching 1.86 million units in the first quarter of 2024. The period saw an 83% year-on-year increase, with Huawei leading the domestic foldable market with a 44.1% share.

• The Huawei Nova series is known for its trendy designs and value-for-money features, whereas other lines such as the Huawei Mate series focus on high-end flagship phones with cutting-edge technology and superior camera systems.

Chinese tech giant Huawei opened the Huawei Developer Conference (HDC) 2024 in the city of Dongguan in southern China on June 21, by launching the new Beta version HarmonyOS NEXT, an all-scenario operating system for developers. The HarmonyOS ecosystem covers a diverse range of products including smartphones, smart wearables, tablets, headphones, smart driving vehicles, and smart home solutions.

“HarmonyOS NEXT is a fully self-developed, independently controllable operating system originating from China,” said Yu Chengdong, Huawei’s Consumer business group chair, at the event.

Why it matters: HarmonyOS NEXT is entirely independent of Google’s Android system. The kernel of HarmonyOS NEXT, the most critical part of the operating system, has cut its ties with  the Linux system altogether, the company professed.

Details: HarmonyOS NEXT Beta version has been promoted to developers since June 21 and will be released to consumers in August, according to Huawei. 

• Yu announced that the upcoming flagship smartphone Huawei Mate70 series will be the first device to come with HarmonyOS NEXT pre-installed in the third quarter, while the firm’s other smart devices are expected to come loaded with HarmonyOS NEXT version in the fourth quarter.
• HarmonyOS, released in August 2019, has undergone four generations of development. Currently, the Harmony ecosystem includes over 900 million devices, with 2.54 million developers actively contributing to its development, Huawei claimed. Additionally, the monthly volume of API (Application Programming Interface) calls for application development has reached 82.7 billion, the company said.
• HarmonyOS NEXT needs to strengthen its native app ecosystem due to the discontinuation of support for Android applications. HarmonyOS native applications have entered a full-scale sprint phase, with over 1,500 apps launched and 5,000 apps under development. 

Context: Huawei developed its own operating system, HarmonyOS, due to US sanctions restricting its access to Google’s Android that took hold in 2019. This move aimed to ensure independence and provide a viable alternative for its global smartphone market.

• In the first quarter of 2024, Huawei’s HarmonyOS surpassed Apple’s iOS, becoming the second largest operating system in the Chinese market after the Android system, according to market research firm Counterpoint Research. HarmonyOS’s market share in China has risen from 8% in the first quarter of 2023 to 17% in the same period of 2024, while iOS’s share decreased from 20% to 16%, the report said.

Shanghai-based chip foundry Semiconductor Manufacturing International Corporation (SMIC) on Thursday unveiled its first quarter financial results, revealing that the state-owned company achieved a revenue of $1.75 billion, representing a 19.7% year-on-year increase. This result marks the first time that SMIC surpassed both United Microelectronics Corporation (UMC) and GlobalFoundries in quarterly revenue, with the two Taiwan-based firms reporting revenues of $1.71 billion and $1.549 billion respectively for the same period.

The ranking does not include IDM (Integrated Device Manufacturer) companies such as Intel and Samsung.

Why it matters: Amid US sanctions on Chinese chip development, SMIC’s growth signals China’s efforts to strengthen its domestic semiconductor capabilities and reduce reliance on foreign suppliers.

Details: Its first quarter financial results place SMIC second among the world’s wafer foundries, albeit with a considerable gap to TSMC, which reported a revenue of $18.262 billion for the same period.

• In the first quarter, SMIC shipped 1.79 million units of 8-inch wafers, a 7% increase compared to the previous quarter. The company’s capacity utilization rate reached 80.8%, up by 4% quarter-on-quarter.
• Revenue distribution across chip-related business segments is as follows: smartphones account for 31.2%, computers and tablets for 17.5%, consumer electronics for 30.9%, IoT (Internet of Things) and wearables for 13.2%, and industrial and automotive for 7.2%. 
• Revenue from China makes up 81.6% of the firm’s total, while the US contributes 14.9%, and the EMEA (Europe, Middle East, and Africa) region accounts for 3.5%.
• However, SMIC’s net profit for the quarter plummeted by 68.9% compared to the previous year, to $71.8 million. The semiconductor industry as a whole witnessed a substantial decline in profits in early 2024 due to product price drops and inventory backlog, according to local media outlet Jiemian. SMIC told Jiemian that this net profit decline was primarily due to shifts in product assortment, depreciation, and diminished investment returns.
• SMIC CEO Zhao Haijun disclosed that the company received urgent orders from customers in the smartphone and computer sectors in the first quarter, the same Jiemian report said. Efforts are underway to coordinate orders from lower-priority customers for delayed processing, and the 12nm chip production line is almost at full capacity, Zhao said.

Context: Thanks to the AI-related needs of Nvidia and AMD, orders of TSMC’s advanced packaging capacity, including Chip-on-Wafer-on-Substrate (CoWoS) and System-on-Integrated-Chip (SoIC), have been fully booked for 2024 and 2025, according to an Economic Daily News report from last week. TSMC predicts a compound annual growth rate of 50% for AI chips over the next five years. By 2028, AI chip orders are expected to contribute over 20% to the company’s total revenue.

On Tuesday, MediaTek held the MediaTek Dimensity Developer Conference (MDDC) 2024 in Shenzhen, where the Taiwan-based semiconductor company unveiled its latest flagship 5G chipset, the Dimensity 9300+. With a theme of “AI Empowers Everything,” MDDC 2024 delved into the applications and advances in artificial intelligence technology across various domains, and the possibilities it brings to terminal devices.

Why it matters: MediaTek introduced the Dimensity 9300+ less than two months after the launch of Qualcomm’s Snapdragon 8s Gen 3. Amid slow growth in the smartphone industry, MediaTek is aggressively competing for Qualcomm’s market share of mobile chipsets. 

Details: The Dimensity 9300+ chipset and generative AI were the main highlights at MDDC 2024.

• The Dimensity 9300+ has adopted TSMC’s third-generation 4nm process technology, according to MediaTek. The new chip boasts big-core CPU architecture, housing an octa-core CPU comprising four Cortex-X4 ultra-large cores clocked at up to 3.4 GHz, and four Cortex-A720 large cores operating at 2.0 GHz.
• MediaTek claims that the full big-core CPU ensures low power consumption across varying application loads and enables smartphones to deliver sustained high performance over extended periods by combining high speed with energy efficiency.
• The Dimensity 9300+ supports on-device LoRA (Low-Rank Adaptation) Fusion and NeuroPilot LoRA Fusion 2.0 technology that allows developers to quickly introduce new generative AI applications with text, voice, imagery, and music, the company said. This translates to smartphones equipped with the Dimensity 9300+ chip offering enhanced AI functionalities.
• The flagship processor integrates a 2nd-gen hardware ray-tracing engine with an Arm Immortalis-G720 GPU, delivering 60 frames per second (FPS) ray-tracing and console-grade global illumination effects for gamers, according to the official website. MediaTek HyperEngine technologies further enhance the gaming experience, according to the company, with MediaTek Adaptive Gaming Technology optimizing power efficiency for longer battery life. Furthermore, HyperEngine’s Network Observation System improves dual-network concurrency and offers up to 10% power savings and 25% cellular data savings.
• During the event, MediaTek unveiled the Dimensity AI Pioneer Program for global developers, collaborating with industry partners such as Alibaba Cloud, Baichuan Intelligence, Transsion, Oppo, Honor, Vivo, and Xiaomi. The program aims to offer resources, technical support, and business opportunities for global developers to create innovative generative AI experiences on Dimensity-powered devices.
• At the same time, MediaTek partnered with Alibaba Cloud, Baichuan Intelligence, Huya, Kugou Music, Oppo, Tencent AI Lab, and Vivo to jointly release a Generative AI Smartphone Industry White Paper. The white paper defines Generative AI smartphones as devices utilizing large-scale, pre-trained generative AI models to achieve multi-modal generation, context awareness, and evolving human-like capabilities.
• The white paper signals a strong integration trend in generative AI for smartphones and explores the AI strategies of various chip manufacturers, phone makers, large model developers, and developers in the generative AI ecosystem. Industry analysis firm Counterpoint forecasts rapid growth for generative AI phones in the coming years, with a global user base of around one billion expected by 2027.

Context: In the fourth quarter of 2023, MediaTek maintained its lead with a 36% share of the global smartphone chipset market, followed by Qualcomm at 23% and Apple at 20%, according to data provided by Counterpoint‘s Global Smartphone AP-SoC Shipments & Forecast Tracker by Model.

• On March 18, California-based chip firm Qualcomm launched the Snapdragon 8s Gen 3, the company’s latest flagship chipset, equipped with several on-device AI capabilities. The new 4nm chipset arrives as a more affordable version of the top-of-the-line Snapdragon 8 Gen 3 chip launched last October.

On Thursday, Huawei unveiled a letter on the Chinese X-like social media platform Weibo to announce the Pura 70 Series Pioneer Program, a scheme for people to purchase devices from its latest mobile phone series without holding a launch event. The new range was launched with minimal marketing, in a similar approach to the one the Chinese tech giant took when launching the Mate 60 series last August. The Pura 70 Pro/Ultra models went on sale in China on Thursday, while the Standard/Pro+ models will be available on April 22.

Huawei’s flagship lineup is currently categorized into the Mate and Pura series. The Mate line focuses on high-end flagship devices and targets business users, while the Pura range leans towards imaging capabilities and aesthetic design.

Why it matters: Huawei intentionally chose April 18 to launch the Pura 70 series, as it marks the 12th anniversary of the launch of Huawei’s first Pura series device, the Ascend P1. The latest Pura series smartphones are equipped with Huawei’s self-developed Kirin chip, an effort to counteract US chip sanctions.

Details: Similar to the Mate 60 series, Huawei’s Pura 70 series hit the market without a launch event. The first batch of Pura 70 series products sold out within minutes on Huawei’s e-commerce platform. A number of tech bloggers have managed to acquire the Pura Pro and Pura Ultra models first hand for phone performance tests, but Huawei has not publicly disclosed the specific chip details of the Pura 70 smartphone series.

• The tech blogger Digital Chat Station revealed that the processors in the Pro and Ultra models are both identified as the Kirin 9010. The Kirin 9010 processor achieved a single-core score of 1,442 and a multi-core score of 4,471 on Geekbench, a cross-platform benchmarking tool used to measure and compare the performance of CPUs and GPUs across various computing devices. For comparison, the iPhone 12 Pro obtained a single-core score of 2,101 and a multi-core score of 4,936 on Geekbench.
• The Kirin 9010 adopts the same 2+6+4 architecture design as the Kirin 9000s (Mate 60 series), with two cores clocked at 2.30GHz, six cores clocked at 2.18GHz, and four small cores clocked at 1.55GHz. It seems to be a slight upgrade over the Kirin 9000s, the blogger said.
• The Pura 70 series features a distinctive triangular camera module on the rear, along with Huawei’s self-developed HarmonyOS 4.2 operating system. The premium Ultra model supports BeiDou satellite network functions, including text messages, image messages, and satellite calls. 
• The Ultra model also boasts a mightier camera setup with a 1-inch main sensor with retractable lens and variable aperture. Its camera system offers a 50MP 1-inch primary sensor, a 40MP ultra-wide sensor, and a 50MP macro telephoto shooter.
• In terms of pricing, the Ultra model comes in two storage variants: 16GB + 512GB priced at RMB 9,999 ($1,382), and 16GB + 1TB priced at RMB 10,999 ($1,520). The Pro model is available in three versions: 12GB + 256GB priced at RMB 6,499 ($898), 12GB + 512GB priced at RMB 6,999 ($967), and 12GB + 1TB priced at RMB 7,999 ($1,105). 
• Currently, the Pura 70 series phones are limited to sale in the Chinese market. The market intelligence firm TechInsights predicts that Huawei’s smartphone shipments in China will exceed 50 million units in 2024, with its market share increasing from 12% in 2023 to 19% in 2024. The Pura 70 series is expected to ship over 10 million units in 2024, positioning it as a major competitor to the iPhone 15 and 16 series, according to TechInsights.

Context: The Huawei P series was rebranded as the Huawei Pura range on Monday, with the Pura 70 series becoming the first device under the new name. Huawei did not explain the meaning of Pura. However, “Pura” in Spanish translates to “pure” or “clean”, and it can also mean “genuine” or “true” in certain contexts.

On Thursday evening, Apple CEO Tim Cook attended the grand opening of the Apple Shanghai Jing’an store and engaged with a crowd of Apple fans who had flocked to the downtown location. The retail store is the second-largest Apple Store worldwide and the largest in Asia. The Jing’an store’s opening was part of a two-day visit to Shanghai from Cook, which comes amid falling iPhone sales in China. 

Why it matters: Cook’s presence at the opening of the Shanghai store was intended to demonstrate the brand’s commitment to the China market.  The country also plays a crucial role in Apple’s supply chain and manufacturing operations.

Details: During his two days in Shanghai, Apple CEO Cook shared various PR activities on the Twitter-like social media platform Weibo, where “Tim Cook encounters actor Zheng Kai” trended as a hot topic on Wednesday. 

• Cook wrote on his Weibo post, “Nonghao Shanghai! [Nonghao is hello in Shanghainese] Spent the morning walking the Bund with Zheng Kai and enjoying a classic Shanghai breakfast. I’m always so happy to be back in this remarkable city.”
• Cook shared another photo on Weibo on Wednesday afternoon showing him being briefed on gaming products by Papergames staff and accompanied by Papergames CEO Yao Runhao. Known for mobile hits such as dress-up role-playing game Shining Nikki and female-centered romance game Mr. Love: Queen’s Choice, the company is a major developer on Apple’s App Store. 
• Later, Cook met with BYD CEO Wang Chuanfu at Apple’s Shanghai headquarters. During the visit, Apple suppliers BYD Electronics, Lens Technology, and Everwin Precision Technology exhibited advanced manufacturing technologies and manufactured components for Apple products. “BYD, Lens, and Everwin are great examples of companies who are pushing the boundaries of what’s possible every day and we’re excited for the opportunities ahead,” Cook said on Weibo.
• On Thursday morning, Cook visited Shanghai Jiao Tong University’s Xuhui campus to communicate with student programmers. He then posted about meeting winners of the App Contest and Swift Student Challenge, highlighting their use of coding to address challenges and preserve traditional culture. The Swift Student Challenge from Apple is an annual event that invites student developers to showcase their coding skills by utilizing Swift programming. The Swift Student Challenge 2024 introduces a new category to honor 50 outstanding winners who submit exceptional works, according to Apple.
• On Thursday evening, Cook opened the Shanghai Apple Jing’an store, as a crowd of customers gathered in front of the retail space, eager to be among the first to enter. With over 30 years of history in China, Apple has created over five million job opportunities through direct employment, supply chain business, and iOS app related businesses, according to data provided by the company to China Economic Weekly.

Context: In 2023, Apple achieved its highest-ever market share of 17.3% and secured the top spot in the Chinese smartphone market for the first time, according to market intelligence firm IDC. The report revealed that China’s smartphone shipments totaled 271.3 million units in 2023, a 5.0% year-on-year decline compared to 2022, marking the lowest volume in a decade due to sluggish economic recovery and weak consumer sentiment.

• However, in the first six weeks of 2024, China witnessed double-digit declines in smartphone sales for Apple, Oppo, and Vivo, according to Counterpoint Research. During these six weeks, Apple’s iPhone sales in China declined by 24% year-on-year, ranking fourth among Chinese smartphone suppliers.

Situated in Barcelona, the Mobile World Congress (MWC) 2024 saw Chinese tech companies such as Lenovo and Tecno presenting their latest products from February 26 to 29.

Why it matters: The Mobile World Congress is one of the largest gatherings in the mobile technology sector, attracting industry leaders, professionals, and enthusiasts from around the world. Chinese tech companies often use the event as an opportunity to showcase their new innovations, products, and technologies. 

Details: Below are some of the most compelling new products spotlighted at the four-day exhibition by Lenovo and Tecno, two of the main Chinese firms in attendance.

• Chinese PC giant Lenovo and American electronics manufacturer Motorola co-showcased a concept wrap phone with a flexible screen that users can bend to wear on their wrist. The prototype phone features AI scene recognition capability, which adjusts screen size, recommends applications based on different scenarios and phone bending, and supports automatic phone wallpaper changes according to the user’s outfits.

• Lenovo also introduced the ThinkBook Transparent Display Laptop Concept, the world’s first laptop with a 17.3-inch Micro-LED transparent display. The device features a borderless screen, transparent keyboard area, and a seemingly floating touchpad design. By utilizing AI technology, transparent screens can integrate physical objects with digital information, allowing devices to naturally blend into their surroundings. The display provides a transparency of up to 55% when its pixels are turned off and set to black. As the pixels light up, the transparency gradually decreases and the display appears as an opaque white surface with a peak brightness of 1,000 nits.

• Chinese phone brand Tecno, a subsidiary of Transsion, unveiled an AI-enhanced quadruped robot dog, the Dynamic 1. The dog is inspired by the German shepherd and is able to climb stairs, bow, and extend its paw for handshakes, similar to a real dog. With four microphones and AI algorithms in its head, the robot dog recognizes audio commands for user interaction akin to traditional pets. Tecno envisions its utility in entertainment, assistance, education, and training, declaring it the ideal companion of the future. 

• The Tecno Dynamic 1 features an 8-core ARM CPU powering its AI system, HyperSense Fusion, which corrects its movements during operation. It also includes an Intel RealSense S430 depth camera and dual optical infrared sensors for obstacle recognition and fall recovery.

Context: MWC 2024 hosted around 2,400 exhibitors and 1,100 speakers, with nearly 300 Chinese companies in attendance, according to Chinese state media Xinhua News Agency. 

• Themed around Future First, this year’s MWC focused on the integration of AI across devices and networks, advances in 5G and 6G technologies, and the improvement of connectivity. GSMA, the event organizer, anticipated about 95,000 attendees from various parts of the globe at the Barcelona venue this year.

On Thursday, Huawei launched the Huawei Pocket 2, a sleek flip foldable phone seemingly targeted at a young, predominantly female demographic, hitting the shelves after a 16-month gap since the previous generation. The Pocket 2 stands out as the industry’s first foldable flagship to support messaging via China’s Beidou satellite, facilitating communication in regions lacking ground network signal. The device also represents Huawei’s first foldable device equipped with its self-developed Kirin chipset.

Why it matters: Foldable smartphones, an emerging product range in the smartphone industry, have huge market potential in the Chinese market compared to traditional models – although overall phone shipments in China saw a decline in 2023, the foldable category experienced a sharp rise in sales.

Details: Alongside two-way satellite messaging through the Beidou satellite, Huawei claims the Pocket 2 is the world’s first flip foldable smartphone with four cameras on its cover and featuring a self-developed rocket-steel material water-drop hinge.

• The Pocket 2 is equipped with Huawei’s Kirin 9000S chip, a 7nm processor also featured in the company’s latest flagship phones. Paired with 12GB of RAM, it offers storage options ranging from 256GB to 1TB.
• The Pocket 2 boasts a Xuanwu water-drop hinge, which increases its flatness by 62%, and a double-arm lever gear that enhances support force by 41%, according to the company. Huawei states that the rocket-steel design improves drop resistance by 112%.
• Huawei has equipped the interior with a 6.94-inch foldable OLED screen, while the cover features a 1.15-inch circular screen positioned next to the camera island. The 6.94-inch OLED screen offers a resolution of 2,690 x 1,136 pixels and a variable refresh rate from 1Hz to 120Hz, delivering a peak brightness of 2,200 nits.
• The imaging system includes a 50MP main camera (with f/1.6 aperture, OIS), a 12MP ultra-wide macro lens (with f/2.2 aperture), an 8MP periscope telephoto camera (with 3x optical zoom, f/2.4 aperture), and a hyperspectral camera that can detect ultraviolet intensity to provide suggestions on sunscreen protection.
• The Huawei Pocket 2 is available in four color variants: gray, white, purple, and black. The flip phone starts from RMB 7,499 ($1,042) for the standard 256GB model, while the 512GB and 1TB models cost RMB 7,999 ($1,112) and RMB 8,999 ($1,251) respectively.

Context: Chinese consumers are increasingly inclined to try foldable smartphones as related technologies mature and prices become more affordable. 

• In 2023, foldable smartphone shipments in China reached around 7 million units, reflecting a year-on-year growth of 114.5%, according to market intelligence firm IDC. Huawei took the top spot in the domestic foldable market last year with a market share of 37.4%, while Oppo secured second place with an 18.3% market share.

On Feb.18, Wang Hua, Xiaomi’s public relations manager, declared on the Twitter-like social media platform Weibo that the company does not intend to implement any mass layoffs but is focused on routine personnel adjustments aligned with annual performance evaluations. Wang’s statement followed reports that the company was considering substantial layoffs by the end of February, providing an N+1 compensation package without negotiation. 

In China, N+1 compensation is a common severance compensation standard, where N represents the number of years the laid-off employee has worked for the company. For example, if an employee with five years of tenure is terminated, they would receive a severance package equivalent to six months’ salary.

Why it matters: The economic slowdown has led to decreased demand in the smartphone industry, which in turn has raised the specter of layoffs within the sector. 

Details: On Feb. 18, the first working day of the Chinese Year of the Dragon, Xiaomi PR manager Wang Hua denied rumors of mass layoffs on Weibo and shared a photo of a red envelope, a traditional Chinese gift that contains cash and symbolizes good fortune.

• A Xiaomi employee anonymously claimed on Feb.6 that the tech company was planning a large-scale layoff on Feb. 29, with a compensation of N+1, according to local media outlet Jiwei. The employee criticized Xiaomi’s lack of social responsibility, claiming the move could deprive employees of their year-end bonuses, which are expected to be issued on March 5.
• “On the first day back to work,” said Wang Hua via the Weibo post, “I confirmed from multiple departments that there are no plans for any layoffs. There are only normal personnel adjustments based on annual performance evaluations.” Some employees spread rumors of layoffs to cover up their shortcomings, as they do not want to admit to their poor performance, he added in a comment under the post.
• An internal Xiaomi employee informed a Jiwei reporter that the current restructuring does not mean a large-scale layoff, but falls within the regular scope of annual personnel-optimization efforts, impacting a small number of employees.

Context: On Feb. 18, Xiaomi CEO Lei Jun announced the commencement of operations for the firm’s Beijing Changping Smart Factory, which will specialize in producing Xiaomi’s flagship smartphones. It boasts an annual production capacity exceeding tens of millions of units, making it the company’s first large-scale self-owned facility.

• Shipment in China’s smartphone market hit approximately 271 million units in 2023, a year-on-year decline of 5.0% and the lowest shipment volume in nearly 10 years, according to market intelligence firm IDC. Chinese phone brands Oppo, Vivo, and Xiaomi ranked third, fourth, and fifth, respectively.

Chinese AR (augmented reality) glasses manufacturer XREAL has recently secured a new round of strategic financing valued at $60 million, bringing its total funding to $300 million, according to an exclusive report by Chinese media outlet 36Kr. The report asserted that XREAL’s current valuation has surpassed $1 billion, as indicated by industry analysts.

Why it matters: As a major player in the global AR device sector, XREAL’s devices are considered potential competitors to Apple’s Vision Pro and Meta’s Quest 3. This strategic financing empowers XREAL to pursue vital growth initiatives, such as expanding its AR glasses production.

Details: The new financing, which is dedicated to product R&D (research and development) and the expansion of the firm’s optical production base, will enable XREAL’s AR glasses production to reach two million units per year by 2025, the 36Kr report said.

• XREAL has not disclosed the specific investors behind the new $60 million financing. Previous major investors in XREAL have included Alibaba, Kuaishou, NIO Capital, Yunfeng Capital, Sequoia China, Gentle Monster, Hillhouse Group, Hongtai Aplus, CICCcapital, Shanghai GP Capital, Shunwei Capital, CPE Asset Management, China Growth Capital, and iQiyi.
• XREAL’s Founder and CEO, Xu Chi, has declared that the company aims to deliver wearable augmented reality displays to global audiences, as AR has revolutionized user experiences in gaming, movies, TV, in-car entertainment, displays, and work.
• From Jan. 9 to Jan. 12, XREAL exhibited its latest XREAL Air 2 Ultra glasses during the 2024 CES (Consumer Electronics Show) in Las Vegas, featuring six degrees of freedom (6DoF) via dual 3D environment sensors with computer vision capabilities. 
• The global release of the Air 2 Ultra glasses is scheduled for March, with a starting price of $699, and pre-orders are already available. Despite the increased cost compared to the previous Air headset, which was priced below 500 dollars, the Air 2 Ultra glasses still present a more budget-friendly option than Apple’s Vision Pro, which is priced at $3,499.

Context: The XREAL Air series of products are compatible with a variety of mainstream gaming and streaming entertainment devices, including Microsoft Xbox, Sony PlayStation, Nintendo Switch, Valve Steam Deck, ASUS ROG Ally, iOS, Android, Windows, and Mac.

• On Jan. 4, XREAL announced a total shipment of 350,000 AR glasses since its establishment in 2017. The company claimed to currently hold a 45% share of the global AR market, a statement that came after market intelligence firm IDC confirmed XREAL secured a 51% market share in the global AR segment during the third quarter of 2023.

On Monday, Oppo launched its Find X7 and Find X7 Ultra flagship smartphones in China, emphasizing their innovative camera features. The Find X7 Ultra stands out as the world’s first device to feature dual periscope zoom cameras with a 1-inch Sony LYT-900 sensor, and claims to have the largest telephoto sensor ever integrated in a smartphone. With the Find X7 Ultra, Oppo also becomes only the second domestic brand after Huawei to offer a satellite phone function.

Why it matters: Oppo is hoping to capitalize on consumer excitement for new technology at the dawn of 2024, seeking a competitive edge by introducing hi-spec innovations at a time when China’s mobile phone market is increasingly saturated.

Details: The Find X7 Ultra debuts Oppo’s quad main camera and advanced 1-inch Sony LYT-900 sensor, combining breakthroughs in camera hardware with its HyperTone camera system and pro-grade Hasselblad tuning.

• The Find X7 Ultra packs in four 50MP main cameras, including two equipped with a periscope zoom lens, bridging the zoom gap between optical focal lengths. The 50MP 3x periscope zoom camera features a 1/1.56” Sony IMX890 sensor, an f/2.6 aperture, and a 65mm focal length. This sensor is approximately three times the size of cameras found in major competitors’ phone systems, with Oppo claiming it as the largest telephoto sensor in any smartphone currently on the market.
• The wide camera features an advanced second-generation Sony LYT-900 1-inch sensor, touted as having improved power efficiency compared to its predecessor. With a customized lens with an f/1.8 aperture and optical image stabilization (OIS), it also promises a 50% reduction in reflection, all at a versatile 23mm optical focal length.
• When users need to zoom out, the ultra-wide camera comes into play with its 50MP Sony LYT-600 sensor. This camera delivers expansive and detailed shots at a focal distance of as near as 4cm, thanks to its large size focal length and fast f/2.0 aperture, according to Oppo.
• The Find X7 Ultra also includes software additions like the HyperTone Image Engine, giving users advanced computational photography options and features for high-quality photos.
• The flagship is equipped with Qualcomm’s Snapdragon 8 Gen 3 processor, featuring a large 5,000mAh battery capable of fast 100W wired charging and 50W wireless charging. Its 6.82-inch display offers a 1440p resolution, a maximum refresh rate of 120Hz, and a peak brightness reaching 4500 nits for HDR content.
• The Find X7 Ultra will be available in three colors: black, blue, and brown. Currently, the phone remains exclusive to the Chinese market, with no release planned for Europe or the US. Prices start at RMB 5,999 ($845) for a model with 12GB of RAM and 256GB of storage, going up to RMB 6,999 ($986) for 16GB of RAM and 512GB of storage.

Context: In the third quarter of 2023, the global smartphone market fell 1% year-on-year, to 299.8 million units sold, according to research firm Counterpoint. Today’s top five global phone brands are Samsung (with a 20% market share), Apple (16%), Oppo (14%), Xiaomi (14%), and Vivo (7%).

Xiaomi on Tuesday released a statement refuting an apparent claim made by senior Huawei executive Yu Chengdong that Xiaomi’s dragon bone hinge technology for its foldable phones is a direct copy of Huawei’s dual rotating water drop hinge. Yu, the CEO of Huawei’s consumer department, made these comments during a company event last week; Xiaomi has said the accusation is “seriously inconsistent with the facts.”

Why it matters: One of the key elements of foldable phones lies in their unique hinge design, which directly influences the phone’s folding mechanism and screen creases. The controversy between Huawei and Xiaomi, two of China’s biggest phone brands, reflects intensifying competition in the foldable phone market.     

Details: In the statement, Xiaomi posted detailed comparisons, including the application dates, publication dates, and technical features of relevant patents. Both the design concept and mechanical structure of their dragon bone hinge are completely different from Huawei’s dual rotating water drop hinge, according to the statement, which was posted to the company’s account on the Twitter-like Weibo platform.

• “Some companies directly copy our technology and then claim it as their own invention. The concept of the dragon bone hinge is fundamentally non-existent, as they’ve transformed our double rotating water drop hinge into a dragon bone hinge,” said Yu during an annual Huawei event on Dec.10. “Once competitors make modifications, this technology becomes their own,” he added.
• While he didn’t explicitly name the rival phone brand, Yu’s remarks were widely interpreted as an attack on Xiaomi, which launched its new generation of foldable flagship, the Xiaomi MIX Fold 3, in August and is the only phone brand on the market to use what it terms a dragon bone hinge.
• According to Xiaomi’s statement, the dragon bone hinge was patented on September 18, 2020, and received patent authorization on January 5, 2021. Huawei’s dual-rotating water drop hinge was only publicly disclosed on June 18, 2021, though it was patented on December 13, 2019. 
• Xiaomi’s dragon bone hinge features a “three-level rod, five-component, seven-low-friction design,” the statement continued, while Huawei’s dual rotating water drop hinge is described as a “two-level rod, three-component, four-low-friction design.” 
• Furthermore, Huawei’s current three-level rod patent was applied for on October 29, 2021, and was publicly disclosed on May 5, 2023, but it has not yet entered mass production, according to Xiaomi.
• In the concluding part of the statement, Xiaomi emphasized that Yu Chengdong should adhere to “the basic principles of science” and refrain from misleading the public.

Context: Research firm TrendForce‘s report indicates that the anticipated shipment of foldable smartphones in 2023 is around 18.3 million units, with a year-on-year increase of 43%. Huawei’s estimated shipment of foldable smartphones this year is expected to reach 2.5 million units, according to the same report.

• The Xiaomi MIX Fold 3 set a new record for Xiaomi upon its release, with sales increasing 2.25 times compared to the previous generation, according to the company’s second quarter financial report.
• In the third quarter of 2023, sales of foldable smartphones in the Chinese market reached 1.98 million units, representing a year-on-year increase of 175%, according to CINNO Research. In terms of brand ranking, Huawei occupied the top spot with a market share of 28.6%, while Xiaomi was in sixth place with a market share of 8.7%.

A recent report by Taiwanese media outlet DigiTimes suggests that Chinese panel manufacturer BOE is facing challenges in expanding its OLED (organic light-emitting diodes) supply for Apple’s iPhone 15 models, primarily due to light leakage issues. 

Why it matters: If BOE fails to address the light leakage problem, there is a high possibility that they may lose potential orders for the iPhone 15 and iPhone 16 from Apple.

Details: The current yield rate of BOE’s OLED panels for the iPhone 15 has dropped to 30% on the back of the issue, causing a decrease in production output, according to the DigiTimes report. 

• BOE has been selected to supply OLED panels for the iPhone 15 and iPhone 15 Plus. However, the supplier encountered a problem with light leakage, specifically in the panels designed for the standard models. The issue revolves around the Dynamic Island on the OLED display, where the hole punch and the pill-shaped cutout housing the TrueDepth camera sensor and FaceID are located.
• Given the light leakage issue and potential impact on iPhone sales, BOE may face challenges in expanding orders from Apple, which in turn would impact its revenue. According to industry analysis, BOE was expected to supply 5 million to 15 million panels for the iPhone 15 this year. However, due to lower production yields, the actual supply may be limited to a range of 2 million to 3 million panels.
• As Apple shifts its focus to the next-generation iPhone 16 series, avoiding light leakage is becoming more challenging, especially with larger panels. The iPhone 16 and 16 Plus are expected to feature OLED panels similar to the iPhone 15 and 15 Plus, while the Pro series may sport larger sizes, according to US media outlet Wccftech. The iPhone 16 Pro is anticipated to come with a 6.3-inch display, larger than the 6.1-inch display on the iPhone 15 Pro.

Context: Samsung also manufactures OLED panels for the iPhone 15 lineup, holding a dominant 91% share of the supply from June to August this year, according to DigiTimes. If the issue of light leakage persists, Samsung’s greater efficiency would become a significant concern for BOE in the short term.

• In terms of the foldable panel market, Samsung is anticipated to uphold its leading position during the third and fourth quarters of this year, commanding a 74% market share, according to Korean media outlet Business Korea. While this represents an increase from the second quarter’s 63%, it marks a decline of 17% from the 91% share it held during the same period last year. 
• BOE, which previously held a 4% market share in the foldable panel market during the third and fourth quarters of 2022, is projected to surge to 18% in the same period this year. This growth can be attributed to its supply to Chinese foldable smartphone manufacturers such as Huawei, Honor, and Oppo.

Chinese mobile phone company Honor issued an internal announcement on Wednesday stating that the former Huawei sub-brand plans to optimize its equity structure and attract diversified capital through an initial public offering (IPO), as reported by local media outlet Icsmart. Honor has not announced a timeframe or a location for the upcoming listing.

Why it matters: The announcement comes three years after Huawei was effectively forced to sell Honor in November 2020 to help the sub-brand bypass the restrictions imposed upon Huawei by US sanctions. Bought by a state-owned enterprise in Shenzhen, Honor has since emerged as a leading phone brand in the Chinese market.

Details: As part of its preparations for the IPO, Honor has made adjustments to its board of directors: Wu Hui will serve as the new chairperson, while the former chair Wan Biao becomes vice chairperson.

• Following Xiaomi and Transsion, Honor may become the third domestic phone company to go public, according to Jiemian. Xiaomi is listed on the Hong Kong stock exchange and currently holds a market capitalization of HKD 377.8 billion ($48.87 billion), while Transsion’s market capitalization is valued at RMB 95.6 billion ($13.36 billion). 
• Ever since Honor’s spin off from Huawei, there has been speculation in the industry about a possible listing for the handset maker, including the possibility of a backdoor listing through Transsion.
• Honor resumed allocation of shares around June of this year, primarily targeting distribution partners at the municipal level in each province, according to the aforementioned report from Jiemian. Additionally, Honor has initiated an employee stock allocation program, with high expectations for the company’s listing among its staff.
• At the end of 2022, Honor completed another round of strategic financing, adding six new shareholders, with leading display-panel industry player BOE among them.
• The newly appointed chair, Wu Hui, previously served in the Shenzhen municipal committee office, before later being transferred to work in the Hubei provincial government and the municipal government in Xianning, a city in Hubei. In April 2021, Wu Hui returned to Shenzhen and took on the role of chairman of Shenzhen Environmental Water Group.
• Vice chair Wan Biao was once a key figure in Huawei’s consumer business department. He joined Huawei in 1996 and held various positions such as president of Huawei’s wireless product line, president of its terminal company, and COO of its consumer business department. In November 2020, Wan Biao joined Honor and became its chairperson.

Context: In the third quarter of 2023, Honor secured the top spot in the domestic smartphone market with a shipment share of 19.3%, according to research firm IDC. 

• During July to September of this year, Honor released three foldable devices, namely the Magic V2, V Purse, and Magic Vs2, aiming to establish a strong presence in the high-end phone segment. 
• In the third quarter of 2023, the Chinese foldable smartphone market continued its rapid growth trend, reaching a shipment volume of 1.96 million units, an increase of 90.4% year-on-year, according to the same report from IDC. Honor captured a market share of 15.1%, ranking fourth in this segment.

Oppo launched its latest high-end foldable phone, the Find N3, on Oct. 19, highlighting advances in screen, imaging, security, and system interaction. The 12GB+512GB variant is priced at RMB 9,999 ($1,392), while the collection edition with 16GB+1TB storage costs RMB 12,999 ($1,810). The new device comes in three colors: green, gold, and black. Our team was given a fortnight to review a black 12GB+512GB model.

The Find N3 is a stylish device, albeit slightly weighty in the hand, with a dual high-resolution display, and a processor that plays to its visual prowess. The Snapdragon 8 Gen 2 processor ensures a steady performance, placing it among the top foldable smartphones currently available. 

Mature leathery design

The leather case with a discernible grain offers users a comfortable grip and a pleasant feel. In terms of dimensions, when folded, the device feels hefty both in the hand and pocket compared with other non-foldable devices’ lightweight profiles. However, for a foldable device, the Find N3 surprises with its relatively lightweight, coming in at approximately 239 grams. The device boasts a thin profile, measuring a mere 5.8mm when unfolded and 11.7mm when closed.

In terms of overall appearance, the Find N3 leans towards the classic, giving it a business look. This is an aesthetic geared somewhat towards older generations.

LTPO technology and durable hinges

The Find N3 unfolds to a 7.82-inch screen with a resolution of 2,440 x 2,268 pixels, and the outer cover screen measures 6.31 inches with a resolution of 2,484 x 1,116 pixels. LTPO (low-temperature polycrystalline oxide) technology makes a smooth 1-120Hz dynamic refresh rate possible for fluid scrolling and gameplay, with up to 2,800 nits peak brightness.

Both screens are covered in toughened glass, improving drop resistance and strength. In addition to IPX4 splash resistance, the Find N3 is the first phone to be independently tested to withstand one million folds by TÜV Rheinland, according to Oppo. The phone’s crease is not visible unless you look at it from a certain angle.

Enhanced imaging performance

The Find N3’s camera system is branded by Hasselblad and sets new benchmarks in its category. It features two selfie cameras, with a 20MP camera inside and a 32MP camera on the cover screen. On the back, there is a 48MP LYTIA-T808 sensor from Sony, which is a 1/1.43″ sensor equipped with dual-layer transistor technology. This technology ensures great light sensitivity and ultimately leads to improved image quality.

The device’s day and night time photography capabilities stand out within the foldable phone category, as evidenced by the following images. In portrait mode, photos have a great sense of contrast, even in low light.

Snapdragon 8 Gen 2 powers high-performance gaming

The Find N3 features the Snapdragon 8 Gen 2 with 16GB of LPDDR5X RAM and 512GB. Qualcomm unveiled the Snapdragon 8 Gen 3 at its Snapdragon Summit on Oct. 24 but as no foldable phone currently on the market features the new processor yet, the N3 is the most powerful in its category. Our two-hour test of the mobile game Honor of Kings revealed stable performance without any overheating. Stereo speakers also enhance gameplay.

Users can play the same game on two different screen sizes: unfolded and folded. Although the display size and games have been adjusted to some extent, the gaming experience may feel quite different to what users are used to when the phone is unfolded. Gaming enthusiasts be warned that, folded, it also takes some time to get used to the phone’s thickness.

High-capacity battery 

The Find N3 is equipped with a high-capacity 4,850mAh battery. For reference, the iPhone 15 Pro features a battery rated at 3,274mAh. Our practical tests have shown that the new Oppo phone’s battery life can support a full day’s use even under moderate or high-intensity usage. The phone also supports 67W fast charging technology and can be fully charged in around an hour.

Privacy protection and office functions

The Find N3 offers multiple privacy protection functions, including a security chip with national encryption certification, file encryption technology, and end-to-end cloud transmission encryption. The device is equipped with a button on the side, allowing users to easily switch to “VIP” mode, which disables the camera, microphone, and location permissions in one go. 

On the software interaction front, the Find N3 improves office efficiency by enabling users to directly access files made in Apple’s office trio Keynote, Pages, and Numbers, as well as CAD engineering drawings. This breaks down a barrier between Android and Apple, enabling seamless file sharing.

Conclusion

The Oppo Find N3 performs well in terms of chipset performance, screen quality, camera capabilities, and battery life, setting a new benchmark in the foldable smartphone category. It is just as well that the Find N3 is suitable for business professionals, as its relatively high price excludes many other consumer groups.

Pros

• Thin and lightweight entrant in the foldable category
• Leathery design for a firm grip
• LPTO screen with 120Hz adaptive refresh rate
• Great camera performance for a foldable phone
• Large battery and 67W fast charging technology
• Self-developed security chip

Cons

• Slightly heavy for long-time use and carrying in the pocket 
• Gaming on the device takes some getting used to
• No wireless charging support
• Expensive

Xiaomi Group on Thursday unveiled its new operating system, the Xiaomi HyperOS, and its new flagship smartphone Xiaomi 14 series. CEO Lei Jun said the company’s strategy had moved beyond “smartphone connections to AIoT (Artificial Intelligence of Things)”, and now entailed having the “phone, home, and vehicle all within an ecosystem.”

Why it matters: The Xiaomi 14 smartphone series showcases the Xiaomi HyperOS, an Android operating system that uses Xiaomi’s self-developed Vela system that enables the phone to connect with other AIoT devices. The lineup is touted by Xiaomi as the first flagship smartphone driven by Qualcomm’s latest processor Snapdragon 8 Gen 3, unveiled on Wednesday.

Details: In the next two years, Xiaomi HyperOS will replace its MIUI operating system across every Xiaomi smart device, as the company seeks to build a comprehensive ecosystem.

• Xiaomi plans to invest RMB 100 billion ($13.66 billion) in research and development (R&D) over the next five years, Lei Jun revealed at the launch event. Xiaomi also revealed that in 2022 it had invested RMB 16.2 billion ($2.21 billion), or 0.53% of its national R&D expenditure. 
• Xiaomi HyperOS is a cross-platform operating system that has been in development for seven years, involving 5,000 engineers, according to the company. Aiming to create a “people-vehicle-home” interactive ecosystem, Xiaomi has integrated its self-developed Vela system with a modified Linux system.
• The Xiaomi 14 series comprises the Xiaomi 14 and Xiaomi 14 Pro, both carrying the latest Qualcomm Snapdragon 8 Gen 3 chipset, as well as Xiaomi’s own Loop LiquidCool technology for heat dissipation. Both models feature Leica Summilux optical rear lenses.
• The latest Snapdragon 8 Gen 3, built using TSMC’s cutting-edge 4nm processor, is designed for AI applications and gaming, and comes with enhanced audio and camera features. The Gen 3 offers a notable improvement on its predecessor, being 30% faster and 20% more energy-efficient. Additionally, the chipset supports LPDDR5x memory at speeds up to 4,800 MHz and can accommodate up to 24 GB of RAM.
• Xiaomi has opted for a smaller sensor for the 14 Pro, introducing the Light Hunter 900 coupled with a custom Leica Summilux lens. Despite being approximately 44% smaller than last year’s 13 Pro 1-inch sensor, the new setup is up to 80% brighter, according to Xiaomi.
• Depending on storage requirements, a new Xiaomi 14 will cost from RMB 3,999 ($546) to RMB 4,999 ($683), with the pro version costing between RMB 4,999 ($683) and RMB 5,999 ($820).

Context: At the launch event, Lei also mentioned Xiaomi’s commitment to environmental protection and social responsibility, reiterating a pledge made in August to achieve carbon neutrality and to switch to 100% renewable energy by 2040. 

• According to intelligence firm Counterpoint, Xiaomi ranked fifth place in the Chinese phone market in the second quarter of 2023 with a 14% market share.

Chinese phone maker Oppo released its new generation foldable the Find N3 on Thursday, combining a lightweight folding design with flagship imaging capabilities for the first time. 

Why it matters: Foldable phones may offer flexible displays and portability, but their camera performance has long been a concern for customers comparing them to conventional models. The Oppo Find N3 has ushered in a “new era of foldable imaging”, the company claimed at the launch event.

Details: The camera setup on the Oppo Find N3 features Hasselblad branding and is looking to set a new standard in the foldable category. 

• On the rear, it incorporates Sony’s cutting-edge 48MP LYTIA-T808 pixel-stacked sensor, which is a 1/1.43″ unit equipped with dual-layer transistor technology. Essentially, this sensor boasts a redesigned pixel architecture that enhances light sensitivity, leading to better image quality.
• On the front, the Find N3 offers two selfie cameras: a 20MP camera inside and a remarkable 32MP camera on the cover screen. The device also includes a 48MP 1/2″ sensor paired with a 14mm f/2.2 ultrawide lens with autofocus. In terms of the zoom camera, it features a 64MP 1/2″ sensor with a 3x 70mm f/2.6 stabilized periscope lens, enabling hybrid zoom capabilities of up to 6x or 145mm.
• Under the hood, the Oppo Find N3 operates on the cutting-edge Snapdragon 8 Gen 2 flagship processor, coupled with a substantial 16GB of LPDDR5X RAM and 512GB of storage. It packs a 4,805mAh battery that supports 67W fast charging, achieving a full charge in 42 minutes, according to Oppo.
• The model follows the trend of compact, wide book-style foldable smartphones. On its exterior, it features a 6.31-inch AMOLED display with a resolution of 2484×1116 pixels and a variable refresh rate ranging from 10 to 120 Hz. The screen adopts a 20:9 aspect ratio and delivers a peak brightness of up to 2,800 nits. When unfolded, the Find N3 reveals a larger 7.82-inch display with a resolution of 2440×2268 pixels and a dynamic refresh rate varying from 1 to 120 Hz, along with the same maximum brightness level.
• The Find N3 boasts another distinctive feature in its self-developed Flexion Hinge. This hinge has undergone extensive testing of 1,000,000 folds, the company says, demonstrating the enduring durability and reliability of the foldable hinge over an extended period.
• The standard model of 12GB+512GB storage is priced at RMB 9,999 ($1,366), while the premium edition of 16GB+1TB is priced at RMB 12,999 ($1,776). It comes in four colors: red, black, gold, and green.

Contexts: In the second quarter of 2023, the global market for foldable smartphones witnessed a 10% year-on-year increase, reaching a total of 2.1 million units, as reported by Counterpoint. This growth stands in sharp contrast to the overall global smartphone market, which experienced a significant 9% year-on-year decline in shipments during the same period. 

• Notably, the Chinese foldable smartphone market saw an impressive surge of 64% year-on-year, totaling 1.2 million units. As a result, China now dominates the global foldable smartphone market, holding a substantial 58.6% share.
• On August 29, Oppo unveiled the Find N3 Flip in China, marking it as the world’s first clamshell foldable smartphone, equipped with a trio of cameras on its cover.

Apple is set to become TSMC’s largest customer for the N3E process, with plans to integrate the upgraded 3nm chip technology into its forthcoming iPhone 16 models next year, as revealed by DigiTimes on October 13. The report also mentions that the sales of 3nm chips is expected to account for 4% to 6% of TSMC’s 2023 revenue, amounting to a total value of $3.4 billion.

Why it matters: The development of advanced chips incurs significant costs, particularly in initial stages where 3nm process technology is still maturing and yield rates are low. While most companies cannot afford the high manufacturing costs of TSMC’s 3nm chips, Apple stands out with the capability to drive TSMC’s advanced chip technology forward.

Details: TSMC aims to promote mass production of the second generation of 3nm chips (N3E process) in 2024, with the iPhone 16 series slated to be the first smartphone using N3E technology, according to the exclusive DigiTimes report.

• TSMC’s second generation 3nm node, N3E, offers improved affordability and higher yield rate compared to its predecessor, N3, featured in the A17 Pro chip of Apple’s iPhone 15 Pro models launched in September 2023. The N3E process is specifically designed to enhance chip performance and reduce power consumption in devices.
• TSMC has initiated large-scale production of N3E, with plans to replace the N3 entirely with the upgraded version by 2024, according to insider information from DigiTimes. All major chip manufacturers, except Samsung, are set to adopt the second generation N3E. TSMC has secured orders from various clients, with Apple being the largest among them.
• TSMC is anticipated to gain 4% to 6% of its total revenues in 2023 from 3nm manufacturing, primarily due to substantial orders from Apple for N3 chips powering the iPhone 15 Pro models. Apple’s orders alone are projected to account for up to $3.4 billion in sales for TSMC this year.
• Jeff Pu, an analyst covering companies in Apple’s supply chain, claims that all four iPhone 16 models will feature A18-branded chips. The A17 Pro processor in the iPhone 15 Pro models is a transitional design, and the upcoming iPhone 16 models will all incorporate A18 chips, leveraging TSMC’s N3E technology, he said.

Contexts: In July, TSMC faced efficiency challenges with its new 3nm manufacturing process, achieving a yield rate of only 55%, well below the expected standard. Due to this low yield, Apple opted to pay for qualified wafer batches instead of entering into a fixed rate agreement with TSMC.

• TSMC is expected to further enhance the transistor density of the N3 family with N3P following N3E, according to TSMC. N3P, an advanced process node, will empower chip designers to enhance performance by 5% without increasing leakage, or alternatively, achieve a 5% to 10% reduction in power consumption while maintaining the same speed.

The Indian financial enforcement agency Enforcement Directorate (ED) has arrested four executives involved in the smartphone industry, including a Chinese citizen working at Vivo India, on charges related to illegal remittances, Reuters reported on Tuesday.

Why it matters: Since the border conflict between China and India in June 2020, Indian authorities have increasingly targeted Chinese companies, particularly smartphone manufacturers. The recent arrests, coupled with previous actions such as surprise raids and freezing of funds, indicate a gradual escalation of restrictions on Chinese businesses in India.

Details: Vivo responded to the arrests by expressing deep concern and stating that it will take all available legal measures to address the matter, according to the report. The company said in a statement on Tuesday that it firmly abides by the law at all times.

• Earlier on the same day, two sources told Reuters that four employees from Vivo had been arrested. However, during a court hearing, it was revealed that only one Vivo employee, identified as Guanwen Kuang, a Chinese national, had been arrested. Additional information regarding the investigation remains unclear. The ED’s counsel, Manish Jain, requested a ten-day custody period for the arrested individuals, but the judge granted only three days.
• On Wednesday, the foreign ministry of China stated that it was closely monitoring the alleged money laundering case involving Vivo in India, Reuters reported. The ministry also expressed China’s hope for India to provide a fair, transparent, and unbiased business environment for Chinese companies.
• On July 5, 2022, the Indian ED announced in a statement that it had conducted surprise inspections at Vivo India, covering 23 affiliated companies and 48 business locations. During the search operation, employees of Vivo India, including some Chinese citizens, did not cooperate with the search procedure and attempted to remove the digital devices found by the search team, according to the ED.
• In the statement, the ED mentioned a company related to Vivo India called GPICPL (Grand Prospects International Communication Pvt. Ltd.), which was registered and established in India in 2014 by three Chinese citizens named Zhengshen Ou, Bin Lou, and Zhang Jie. The ED accuses the shareholders of GPICPL of using forged identification documents and addresses during the establishment of the company. After its establishment, Bin Lou registered approximately 18 companies across various states in India, it is claimed.
• GPICPL allegedly transferred a significant amount of funds to Vivo India, according to ED. Vivo India then allegedly transferred approximately 50% of its local sales revenue ($7.87 billion) to overseas destinations, primarily mainland China. The ED states that these transfers were made to create substantial losses for the registered company of Vivo India, in order to avoid taxation in India.
• The ED accuses Vivo of violating India’s Prevention of Money Laundering Act (PMLA). As a result, the authority has frozen 119 bank accounts belonging to Vivo in India, with a total value of approximately RMB 390 million ($53 million). 
• On July 13, 2022, the Delhi High Court in India allowed the unfreezing of Vivo’s bank accounts, provided that Vivo provided a guarantee of RMB 800 million ($110 million) to the banks, according to Icsmart. The court also instructed Vivo to maintain a balance of 2.5 billion rupees ($30 million) in the accounts.

Context: In July 2023, the Indian government requested Chinese mobile phone manufacturers to induct Indian equity partners in their local operations. The companies, including Xiaomi, Oppo, and Vivo, have also been asked to appoint Indian executives in key roles such as chief executive officer, chief operating officer, chief financial officer, and chief technical officer.

• In July 2023, the Indian Ministry of Finance told the Indian parliament that major Chinese smartphone manufacturers, such as Xiaomi, Vivo, and Oppo, had evaded tariffs and illegally transferred at least 80 billion rupees ($980 million) out of India.

Huawei has obtained a smartphone microscope-camera technology patent, with the lens magnifying the photographed object from 20 to 400 times by a minimum distance of approximately 5 millimeters and the phone able to analyze the image for bacteria, according to a recently published report by the United States Patent and Trademark Office (USPTO). 

Why it matters: As competition in the phone market continues to intensify, Huawei has been striving to capture the attention and loyalty of consumers by introducing new features, and will be hoping that its microscope-camera can give it a competitive edge.

Details: At present, Huawei has not announced whether the microscope-camera patented technology will be used in the next generation of its flagship phones, but the patent has already provided details of the microscope lens and how it could be used.

• The advanced feature utilizes two cameras: one regular camera for capturing images and another micro-camera for analyzing hygiene. In the provided screenshot, the phone captures an image that includes an apple and a hand. When put into micro mode, the phone will use voice, text, or other prompts to describe the health status of the object and provide suggestions for maintaining hygiene.

• Huawei’s patent also outlined several use cases for the micro-camera, including food safety assurance, kitchen utensil maintenance, personal hygiene assessment, children’s toys inspections, and pet hygiene monitoring. For example, users could utilize the micro-camera at home to detect bacteria on a vegetable’s surface or to monitor the cleanliness of kitchen utensils and appliances, such as coffee machines and microwaves. 
• Huawei submitted this camera patent application in 2021, according to the USPTO file. The patent description specifically highlights the identification of bacterial quantities in captured images and the provision of hygiene recommendations as particular concerns, especially as the patent was filed during the height of the Covid-19 pandemic.
• In 2021, Oppo introduced the Find X3 Pro, which is capable of magnifying subjects by a maximum of 60 times. But such a function is limited to macro photography instead of microscopic images.

Context: Over 350 companies have obtained licenses for Huawei’s patents through patent pools. Under these licenses, Huawei’s licensing revenue amounted to $560 million in 2022.

• In September, Huawei and Xiaomi announced a global patent cross-licensing agreement that covers multiple communications technologies including 5G.
• In August, Huawei launched the Mate 60 series with satellite call technology, which allows users to make or receive calls without the use of traditional terrestrial signals.

Chinese phone maker Honor on Tuesday released its Honor V Purse, a smartphone designed to resemble a handbag. Using optimized hinges and batteries, the new Honor V Purse is the slimmest foldable phone on the market, with a body measuring 8.6mm in its folded state and 4.3m when unfolded.

Why it matters: Three years on from its forced split with Huawei, Honor continues to try and establish its own brand identity and differentiate itself from other Chinese smartphone makers. Meanwhile, the competition for foldable smartphones is steadily increasing as more manufacturers enter this niche market; in recent weeks, major Chinese players Oppo and Huawei have introduced their own foldable devices, namely the Oppo Find N3 Flip and the Huawei Mate X5. Honor’s “handbag” design may help it stand out in an increasingly competitive market.

Details: While the Honor V Purse’s design is certainly eye-catching, its record-breakingly thin body has meant compromises have been made on performance. 

• The V Purse is powered by the Snapdragon 778G. Qualcomm released this mid-range chipset in May 2021 and updated it to the Snapdragon 7s Gen 2 on Monday. The phone’s use of an older generation of chips means that the V Purse is unlikely to be the first choice of those seeking high-performance gaming capabilities.
• In its folded state, the phone measures 156.5 x 74.7 x 8.6mm and weighs 214g. For comparison, the iPhone 15 Pro Max is 159.9 x 76.7 x 8.3mm and 221g. 
• The device offers a 7.71-inch 2K OLED display with a peak brightness of 1,600 nits,  2,160Hz high frequency PWM dimming, and a 90Hz refresh rate. The silicon-carbon batteries provide a capacity of 4,500mAh, which can last for around eight hours of regular usage.
• Designed to be worn like a handbag, the phone comes with a strap or chain and can be customized with different wallpapers on its outer screen. Honor is also selling a leather phone case to complete the purse feel.
• The V Purse comes in three color options: gold, blue, and black. The 16GB RAM smartphone provides two storage variants, 256GB and 512GB, which are priced at RMB 5,999 ($822) and RMB 6,999 ($959) respectively.
• At the product launch, Honor’s CEO Zhao Ming presented a set of data for foldable phones showing that global shipments of the devices exceeded nine million units in 2021, accounting for 4% of the high-end phone market. Shipments of foldable phones are predicted to exceed 100 million units in 2027, and make up 39% of high-end phone sales by that time, according to the data presented by Zhao. 
• Zhao also refuted recent reports that Honor is set to return to the Huawei fold. Zhao labeled Honor’s former parent company “a respected competitor” and said that competition between the two brands was a positive for the industry.

Context: In August, market intelligence firm IDC released a report that indicates the foldable phone market in China has experienced rapid growth, albeit from a low base. In the first half of 2023, 2.27 million foldable phones were shipped, a year-on-year increase of 102%.

• In the second quarter of 2023, the shipment of foldable phones in China reached 1.26 million units, an increase of 173% year-on-year. The leading five brands were Huawei (with a 43% market share), Vivo (19.7%), Oppo (15.9%), Samsung (8.9%), and Honor (7.2%).

Chinese telecoms giant Huawei is set to complete a month of high-profile statement-making moves with its autumn product launch on September 25, with the company confirming the event on Chinese microblogging platform Weibo on Thursday. The date marks the anniversary of the return to China of Sabrina Meng (Meng Wanzhou), Huawei’s chief financial officer, who was under house arrest in Canada for three years due to an extradition request from the US, where she faced fraud charges.

The announcement comes after Huawei’s much-hyped surprise launch of pre-sales for its Mate 60 Pro phone, during the visit to China of US Secretary of Commerce Gina Raimondo. The phone features a self-developed Kirin 9000S chip that uses 7nm technology despite US sanctions aimed at limiting China’s chip-developing capabilities. 

Why it matters: Huawei is hoping to re-establish itself in the mobile phone market after three years of US restrictions. The autumn launch also pits the company against two major Chinese phone manufacturers, Xiaomi and Oppo. 

Details: The launch of the new Mate series means that Huawei, Oppo, and Xiaomi have now all updated their flagship phones ahead of November 11, a major shopping festival in China. 

• Oppo launched its latest foldable offering the Find N3 Flip on August 29, the day Huawei started pre-sales of its Mate 60 Pro without warning. The following day, trending topics on Weibo were dominated by discussion around whether the Huawei Mate 60 Pro was 5G-capable or not. Huawei unveiled the Mate 60 Pro+ and Mate X5 foldable on September 8, coinciding with the official sales release of the Oppo Find N3 Flip.
• Some industry analysts have speculated that Huawei picked these dates for maximum marketing value. It was not the first time that Huawei appears to have picked a strategic date. On August 23, several industry sources said Huawei planned to hold a product launch event on September 12, the same day as Apple’s latest product launch.
• Huawei may have invested heavily in promoting its brand and products on Weibo over the last two weeks. Various hashtags related to Huawei products have featured prominently on the platform’s trending topic list, for instance #HuaweiMate60 (1.5 billions views and 238,000 discussions), #HuaweiMatex5 (600 million views and 40,000 discussions), and #HuaweiProductLaunch (200 million views and 29,000 discussions). Discussion figures are a combination of  posts, likes, comments, and forwards. 
• Xiaomi has been discreetly preparing to release its annual flagship Xiaomi 14 series at the same time. The device will be the first Android phone powered by Snapdragon 8 Gen 3 on the global market. On Wednesday, sources told IThome that Xiaomi will release its Xiaomi 14 series in early November, with products positioned in a similar manner to the iPhone 15 Pro/Pro Max. Orders placed with online and physical stores have increased by 60% compared with the same period last year, the IThome report added.
• There has been no official announcement regarding products Huawei will showcase at its upcoming launch event, though there has been speculation that the firm may introduce the Mate 60 series and Mate X5 foldable. The centerpiece of the event will be the unveiling of the Kirin 9000S 5G processor, according to local media outlet IThome.

Contexts: Huawei has enjoyed a wave of nationalistic support in China, with backing for its new products from numerous official channels and state media accounts on social media. 

• On Tuesday, Martin Yang, an analyst from US-based financial firm Oppenheimer, said that Huawei’s new flagship phones may lead to a decrease in iPhone shipments in 2024 by 10 million units.
• On Thursday, Huawei increased its 2023 mobile phone shipment target to at least 40 million units, according to industry sources.

On Tuesday, Huawei launched pre-sales of its Mate 60 Pro flagship phone on its official website without any advance publicity and two weeks before the official launch event, catching the domestic smartphone industry off guard and triggering heated online discussions. Currently, consumers can directly purchase one of a limited batch of Mate 60 Pro models with 12GB+521 GB storage, priced at RMB 6,999 ($960). This is the first time in Huawei’s history that the company has started the sale of the annual flagship before the product launch event and was reportedly in response to online leaks in advance of the device’s official unveiling in mid-September. 

Huawei did not disclose any specific details about the processor, leaving many Chinese citizens curious about the rumored return of its 5G connectivity. Currently, as far as the multi-party test results are concerned, the peak network speed of the Mate 60 Pro meets 5G network speed standards.

Why it matters: In 2019, the US government imposed a trade ban on Huawei, citing national security concerns. This move barred the company from purchasing advanced chips and using Google services for its new smartphones, causing Huawei’s smartphone sales to plummet. However, the Mate 60 Pro model, which reportedly incorporates a self-developed 5G processor, could pave the way for Huawei to recapture some of its lost share of the smartphone market.

Details: On Tuesday, the total number of Huawei Mate series mobile phones shipped worldwide reached 100 million units, according to a post from Huawei’s Weibo account. The company said that to celebrate this milestone, it was launching the Huawei Mate 60 Pro Pioneer Program, giving customers the chance to try out the latest flagship device in advance.

• Following the official release, thought to be taking place on Sept. 12, consumers will have the option to purchase the Mate 60 Pro either in physical stores or online on Vmall. Many Chinese tech bloggers have already tested the new device firsthand, confirming that its internet speed can reach up to 5,00 Mbps, similar to the speed of the iPhone 14 Pro.
• The software benchmark platform AnTuTu identified the Huawei Mate 60 Pro processor as the Kirin 9000s, Huawei’s self-developed chipset. The Kirin 9000s is designed with a 12-core configuration using a 2+6+4 architecture. It consists of two A34 cores, six customized A78AE cores, and four A510 cores. The highest clock speed it can achieve is 2.62GHz. Notably, it obtained an AnTuTu benchmark score of 699,783, surpassing the iPhone 12 Pro’s score of 683,146. For comparison, the AnTuTu benchmark score for the iPhone 14 Pro is 935,157 for overall performance.
• The new model’s CPU performance outperformed the Snapdragon 888, although it did not quite match up to the Snapdragon 8 Gen 1 and Snapdragon 8+, according to the same report from AnTuTu.
• In another noteworthy feature, the Mate 60 Pro offers support for satellite calls and messaging, albeit likely limited to China. The device uses China’s Tiantong-1 satellite system for its satellite calling feature, enabling users to make phone calls without relying on conventional terrestrial signals. 
• The Huawei Mate 60 Pro also features a 6.82-inch OLED screen with a screen resolution of FHD+ 2720 x 1260 pixels. It is equipped with a triple rear camera system, comprising a 50MP main camera with an adjustable aperture (ranging from f/1.4 to f/4.0), a 48MP 3.5x telephoto camera (with f/3.0 aperture and macro mode), and a 12MP ultrawide lens.

Context: In the second quarter, the top five smartphone brands in the global market were Samsung with a 20% market share, followed by Apple at 17%, Xiaomi at 12%, Oppo at 10%, and Vivo at 8%, according to Counterpoint.

In June, news emerged that Huawei will potentially come back into the 5G smartphone space by the end of 2023. This information apparently was provided to research firms anonymously from “industry sources including Huawei’s suppliers”. Huawei would not comment on the news, and neither would SMIC, the fab Huawei is using.

But what would a 5G phone using SMIC N+1 7nm process look like? Could Huawei reach its 2019 peak again? Who would buy such a phone? Is there any hope for Huawei’s handset future?

The past

In the not-so-distant past, Huawei handsets were the second best-selling brand in the market. In 2019, Huawei handsets accounted for roughly 15.6% of global handset sales, beating Apple but falling just short of Samsung. This amounted to nearly 241 million Huawei phones being sold that year.

Most of these phones – not all, but definitely the high-end phones – used Huawei’s own Kirin application processor chips. They were 5G enabled, ran Android, were fabricated at TSMC on the latest process nodes, and very rarely got anything but positive reviews. At the time, Huawei and HiSilicon had access to the latest EDA tools from Synopsys and Cadence, the latest IP from Arm among many many others, and full access to the Google ecosystem for the export market.

The present

Since 2019, Huawei and HiSilicon have lost access to all these suppliers to varying degrees. No access to properly supported EDA tools and foreign fabs has meant it has moved flagship phones over to Qualcomm as it can no longer manufacture its Kirin AP. Restrictions have also meant its phones are now limited to 4G as it is not allowed to buy 5G-enabled chips and is not able to produce them either. Using Qualcomm chips still means Huawei sells capable phones like the Mate 50, but it is the lack of Google services that means its products are now difficult to recommend in Western markets, even if they do take nice pictures of the moon. 

Even in China, where Google services do not exist, Huawei’s phone sales plummeted in 2020 and 2021, with the brand dropping out of China’s top five. But now, in 2023, Huawei’s sales have increased by 76% year-on-year in Q2 bringing the brand into joint fifth place with Xiaomi at around 13% of the China market. In a market where all other brands (other than Apple) are losing sales, Huawei is somehow managing to increase its own at the expense of BBK, its previous subsidiary Honor, and Xiaomi. 

Why anyone would buy a worse phone at the same or more expensive price can only be down to marketing and a sense of national pride, as although its phones are good, so are Oppo’s and Vivo’s – and they have 5G. Whatever it may be, Huawei has obviously done a great job at reviving its phone brand in the last year within China. Maybe aftermarket 5G enabling Huawei smartphone cases have helped.

The future

So let’s say the rumors are true. Huawei will have its 5G phone by the end of the year using its own chip. Unlike TSMC EUV 7nm, SMIC has only been able to achieve its 7nm through multi-patterning, basically doing multiple lithographic exposures to get the desired resolution. I expect SMIC’s approach will result in low yields and have limited capacity, meaning the resulting chips could potentially be more expensive. This could be compounded by the fact that Huawei handset APs are usually for internal use, not to be sold to other phone brands, so there is limited scale compared to Qualcomm or MediaTek. One could envision Huawei allowing other brands to use it to help SMIC scale up, but how would its performance compare to Qualcomm and MediaTek? Would other brands even want to buy it if it cost more and performed worse?

This is clearly very strategic for China, and would be a big win, but it puts SMIC in a difficult position. Historically it has always kept its head down, but announcing such a feat could put it in the spotlight for further sanctions and equipment it needs to expand its mature node capacity.

Perhaps the chip isn’t the key factor to Huawei’s future global success. I feel it will certainly become a successful brand in China. China-designed chips, China-manufactured chips, and a China-made OS are all very potent selling points in the market. From a global perspective,  it would still have a worse chip, even compared to other Chinese brands, but more importantly, no Google services, which is a killer for most of the rest of the world.

This will be a win for Huawei and for China, but Huawei won’t become the Huawei of 2019 any time soon. In my experience, HiSilicon has always had a great chip design team, but now apparently using its own EDA tools – and I suspect still some Western tools (supported or not) – along with a new process at SMIC rather than TSMC, means this chip won’t be world beating and potentially not commercially viable unless yields and scale are improved. For now, this will be a domestic play.

Huawei achieved sales revenue of RMB 310.9 billion ($43 billion) in the first half of 2023, with a year-on-year increase of 3.1%, according to its H1 business results announced on August 11. During the first half of this year, the Chinese telecom giant’s net profit rate reached 15%, in contrast to the mere 5% achieved in the same period last year. Huawei attributed the rising profits to its enhanced management, improved operational efficiency, strategic sales adjustments, and product optimization. The company launched the flagship phones P60 series, Mate60 series, and foldable MateX3 in H1.

Notably, Huawei’s revenue from its consumer business (terminal devices) in the first half of 2023 increased by 2.2% year-on-year, reversing the downward trend observed since 2021. 

Why it matters: Huawei’s phone business has experienced a relatively tumultuous trajectory in recent years, primarily due to the stringent chip sanctions imposed by the US since 2019. According to company data, in the first half of 2021 and 2022, the revenue growth of Huawei’s consumer business was -47% and -25.4%, respectively. While the 2.2% increase in consumer business revenue signals a turnaround for Huawei, the growth is still relatively modest. The figures come at a time when Huawei has been trying to regain its market share in the mobile phone business, while simultaneously exploring new directions and growth prospects for other business departments.

Details: Sabrina Meng, the rotating chairperson of Huawei, described the company’s business performance in the first half of the year as “stable”, according to Beijing Business Today. Huawei’s business structure comprises five key components, which include its ICT (Information and Communications Technology) infrastructure business, terminal devices, digital energy, cloud services, and the newly added smart vehicle segment.

• In the first half of 2023, the ICT infrastructure business led Huawei’s positive results with a revenue of RMB 167.2 billion ($23.12 billion). The firm’s terminal business generated revenue totaling RMB 103.5 billion ($14.31 billion), while the cloud services and digital energy services garnered RMB 24.1 billion ($3.33 billion) and RMB 24.2 billion ($3.35 billion), respectively. However, Huawei’s car business, which was established in 2019, only achieved a relatively modest revenue of RMB 1 billion ($140 million).
• Next year, Huawei will launch a comprehensive range of commercial 5.5G network equipment aimed at facilitating the commercial deployment of 5.5G technology, the company revealed at the Mobile World Congress Shanghai 2023 in June.
• Huawei did not disclose the detailed shipment figures for its smartphones. According to a July report by IDC, Huawei has reclaimed its position among China’s top five smartphone brands in terms of revenue, with a year-on-year rise of 76% in domestic sales in the second quarter of 2023. Huawei’s return to prominence can be attributed to the impressive sales performance of its P60 series and foldable Mate X3 model, according to the report.
• Launched on August 4, Huawei’s self-developed operating system HarmonyOS 4 saw over one million downloads in three days, according to the company. The HarmonyOS ecosystem currently includes more than 700 million connected smart devices, said Richard Yu,  the CEO of Huawei’s consumer department. 
• In July, Huawei announced the launch of its Pangu Models 3.0 along with AI cloud services. This offering comprises a set of pre-trained models that can be quickly customized for various businesses. Currently, Pangu models are being used across multiple sectors, such as finance, manufacturing, pharmaceutical R&D, coal mining, and railways.
• Aito, the car brand co-developed by  Huawei and Cyrus, saw sales decline significantly, according to its latest results. Despite recording monthly sales of 12,000 units last October, according to Beijing Business Today,  this figure plummeted to fewer than 3,000 units in February and March. 

Context: Huawei has maintained its substantial investment in R&D as it strives for a new growth point. In 2022, the company’s R&D expenditure was approximately RMB 161.5 billion ($22.33 billion), accounting for 25.1% of the company’s annual revenue, according to its 2022 annual report.

Xiaomi is spinning off a premium smartphone brand it created for users in India as an independent company, a company executive announced on Friday.

Why it matters: The Beijing-based smartphone maker began its multi-brand strategy in 2018 in a bid to target different user segments and drive growth for its biggest business. Smartphones accounted for 60% of the company’s revenue in the third quarter.

• Xiaomi sub-brands also include gaming phone Black Shark, budget phone brand Redmi, and Meitu, a smartphone brand it licensed from a selfie app maker.
• The Poco brand has produced just one phone, the Rs 20,999 (around $295.6) Poco F1, which debuted in 2018 with the aim to take on high-end players in India such as Samsung, Huawei, and Apple.
• Xiaomi is the biggest smartphone vendor in the country holding market share of roughly 26% as of the third quarter of 2019. Redmi phones are its most popular offerings in India.

Details: Xiaomi global vice president Manu Kumar Jain said in a tweet that Poco had “grown into its own identity” and will become independent from Xiaomi.

• “Poco F1 was an incredibly popular phone. We feel the time is right to let Poco operate on its own,” he said.
• Details of the split have not been disclosed. Xiaomi did not immediately reply to TechNode’s inquiries on Sunday.
• The Poco brand had a team of more than 300 employees working on research and development in Xiaomi’s Shenzhen headquarters, according to a VentureBeat report in 2018 citing company executives.
• The Poco team borrows resources from its parent whenever it deems fit and leverages Xiaomi’s logistics and services infrastructure, the report said.

Xiaomi’s Q3 growth slows amid dwindling smartphone sales, Huawei competition

Context: Xiaomi reported in November the company’s slowest-ever quarterly revenue growth since its July 2018 listing on the Hong Kong stock exchange. It has decelerated in the face of aggressive competition from rival Huawei in China’s saturated smartphone market over the past few quarters.

• The company’s revenue in the third quarter rose to RMB 53.7 billion (around $7.8 billion) from RMB 50.9 billion the same period the year before, a 5.5% year-on-year increase.
• The world’s fourth-largest smartphone maker split off its Redmi smartphone line in January 2019 in a bid to present Xiaomi as a premium brand.

Chinese smartphone maker Xiaomi is building a “smart plant” in Beijing to manufacture its flagship handsets, company chairman Lei Jun said at an event on Thursday, with production to begin at the end of December.

Why it matters: The manufacturing plant is a first for Xiaomi, the fourth-largest smartphone maker in the world.

• The announcement comes on the heels of a $21 billion state-backed fund the government established on Monday to boost the country’s manufacturing industry.
• Xiaomi currently depends on original equipment manufacturers (OEMs) such as BYD and Foxconn to produce the millions of handsets it sells every year.

Details: The plant will be capable of producing 1 million smartphones during the initial operation phase, Lei said at the World 5G Conference in Beijing, which the company later said would last one year.

• The so-called “smart plant“ will utilize technologies such as autonomous production lines, 5G-powered robots, big data, and cloud services to increase productivity, Lei said.
• The plant will be able to produce 60 smartphones per minute, and will cover 187,000 square meters, Lei added, an area equivalent to around 35 American football fields.
• The company shipped some 122.6 million smartphones last year, meaning that devices produced by its in-house plant will only produce a small fraction of its smartphone output.

Context: In March, Xiaomi announced its cooperation with Shenzhen-based OEM BYD to mass-produce the Mi 9, the company’s flagship handset launched in February.

• In a 2014 interview with Chinese media outlet Caixin, Lei stated that Xiaomi would not build its own manufacturing plant because the company was focused on smartphone research and development (R & D).
• “Why don’t we let the best manufacturing plants work with us?… I don’t think R & D-oriented companies could do well in manufacturing, nor do I think manufacturing-oriented companies could do well in R & D,” (our translation) Lei said.