As 5G mobile services are launched in a growing number of countries, competition is heating up in the 5G communication chip market. Qualcomm is dominant in the global telecom chip market, but Samsung Electronics and other companies are seeking to expand their share of the market by sharpening their competitiveness.
Samsung Electronics is actively expanding 5G chip supply lines to Chinese smartphone manufacturers. The company is also strengthening R&D cooperation with Chinese companies.
Earlier in September, Samsung unveiled the Exynos 980, a 5G mobile processor that combines a modem chip and a mobile application processor (AP). The Exynos 980 is Samsung's first integrated 5G chip. Vivo, a major Chinese smartphone maker, is expected to apply Samsung products to its 5G smartphones in the future.
Samsung Electronics is planning to catch up with industry leader Qualcomm. The company regards integrated 5G chips as a key item in its efforts to rank first in the field of system semiconductors. Samsung Electronics strengthened graphics processing technology through recent cooperation with AMD, a move intended to sharpen the competitiveness of its communication chips.
The company’s rivals are also making moves to outdo competitors. Qualcomm laid out a plan to commercialize an integrated 5G chip this year at the IFA in Berlin, Germany in September. Huawei also unveiled an integrated 5G chip to be applied to its smartphones at the IFA and vowed to win competition with its rivals with its own 5G chip.
Industry analysts are paying much attention to what chips Chinese smartphone manufacturers use for their 5G smartphones. As Samsung is strengthening its telecom chip business capabilities and China is embroiled in a trade dispute with the United States, Chinese smartphone manufacturers are more likely to choose Samsung over U.S. maker Qualcomm, they say.