Xiaomi, Oppo to make use of Qualcomm’s latest cell phone chips

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FILE PHOTO: Xiaomi branding is seen on a service bag at a UK launch occasion in London, Britain, November eight, 2018. Information/Toby Melville

(Information) – Two fast-growing Chinese language telephone manufacturers stated on Tuesday that they may undertake Qualcomm Inc’s (QCOM.O) latest 5G chip of their flagship units early subsequent yr.

Xiaomi Corp (1810.HK) and Oppo stated they may use Qualcomm’s Snapdragon 865 chip in units they plan to launch within the first quarter of subsequent yr. The businesses deliberate to announce the information at a Qualcomm convention being held in Hawaii.

Xiaomi and Oppo, each based mostly in China, had been the fourth and fifth greatest smartphone sellers on the planet within the third quarter, in line with analysis agency IDC. They’ve additionally develop into main Qualcomm clients, with each Xiaomi and Oppo’s mother or father group every accounting for greater than 10% of Qualcomm’s $24.2 billion in income in its most up-to-date fiscal yr. Qualcomm’s different main clients are Apple Inc (AAPL.O) and Samsung Electronics Co Ltd (005930.KS).

Qualcomm deliberate to reveal the complete particulars of its latest cell phone processors on the occasion in Hawaii. The chip will embody options for synthetic intelligence duties equivalent to figuring out objects in pictures saved on smartphones, in addition to a modem for connecting to 5G networks, that are rolling out this yr and subsequent and are anticipated to be a lot sooner than present 4G networks.

Qualcomm additionally stated that its Snapdragon 765 chip, which is priced decrease than its 865 chip and is commonly present in midpriced handsets, will embody 5G connectivity in an effort to popularize the know-how on lower-priced telephones.

Along with promoting the computing chips and modems for cellphones, Qualcomm has additionally been attempting to influence telephone makers to make use of extra of its different elements, equivalent to antenna chips for connecting to 5G networks. To additional that effort, Qualcomm on Tuesday introduced it could begin promoting “modules” containing plenty of totally different chips to telephone makers.

The modules are supposed to scale back the period of time it takes telephone manufacturers to design a brand new gadget as a result of Qualcomm can have already carried out a lot of the engineering work and testing.

Qualcomm additionally stated that it had labored with Verizon Communications Inc (VZ.N) and Vodafone Group (VOD.L) to certify that the modules will work on their service networks. Testing telephones to make sure they may work on totally different service networks is among the costliest and most time-consuming parts of bringing new telephones to market, and Qualcomm stated it’s hoping to chop down on the time and expense concerned for telephone makers that use its chips.

Reporting by Stephen Nellis in San Francisco; modifying by Jonathan Oatis