The first is the RF chip, which is the chip that emits the frequency of radio devices, its frequency corresponds to different waveforms, for example listening to the radio, which uses over 100 MHz, and wireless internet Wifi has 2.4G and 5.8G, where 5.8G is commonly known as 5G Wifi, and the operators’ 3G, 4G, and 5G are not frequencies, but refer to the third, fourth, and fifth generations, the RF chip is, a chip that transmits different radio frequencies, with major suppliers being Broadcom, Qualcomm, Verizon, and Skyworks, and in Japan, Murata, while in China, notable companies include ZTE Microelectronics, Weir Shares, and Unisoc.
The second is the baseband chip, which packages the data to be transmitted through the baseband by the CPU, and sends it out via the RF chip. When receiving information, the RF chip receives the radio signals transmitted by others, and then the baseband converts these radio signals into data, which is processed by the CPU. Currently, the main suppliers of baseband chips are Qualcomm, Samsung, MediaTek, and Intel, with the best baseband manufacturers in China being HiSilicon and Unisoc. This shows that baseband and RF chips generally appear together, and nowadays, basebands are mostly integrated into the CPU. In the mobile device sector, companies that do not produce baseband chips will lose competitiveness, for example, when smartphones first emerged, companies like NVIDIA, Texas Instruments, Marvell, and STMicroelectronics were well-known for their chips, but they exited the mobile chip market because they did not produce basebands. Currently, the companies producing mobile chips are mostly those that integrate baseband and CPU together (IPhone 16E just released C1 baseband). From the current situation, both baseband and RF can be independently resolved.
The third is the display, which is divided into LCD and LED, with a total market size of approximately 140 billion USD. Currently, in mainland China, LCD has captured over 2/3 of the market, while South Korea has completely shut down its LCD production lines. In terms of LED, China has already captured half of the market share, with BOE and Huaxing Optoelectronics being the best manufacturers.
The fourth is the image sensor, with Sony being a strong player in CMOS technology, while the main suppliers in mainland China are GalaxyCore, SmartSens, and the acquired Omnivision, which is a subsidiary of Weir Shares. Both displays and image sensors are rectangular, and their size is represented by the length of their diagonal, while the display’s aspect ratio can be calculated based on its resolution, and using the Pythagorean theorem, the length and width can be derived. The image sensor’s size can be calculated based on its pixel count and aspect ratio, with each inch being 2.54 centimeters, but for image sensors, one inch is not 2.54 centimeters, but rather 1.6 centimeters.
The fifth is the MCU, DAC, and analog power supply, which are relatively low in value, generally priced at a few dollars, and manufactured using processes from over 40 to 8-90 nanometers, indicating production technology from over a decade ago. Due to China’s strong production capabilities in consumer electronics and machinery equipment, there is a strong push to use domestic chips for RF, baseband, displays, image sensors, and other peripheral chips, and currently, many large foreign manufacturers of MCUs are laying off employees, while the peripheral chips and devices are generally not problematic, and can be independently resolved.
Next, we will summarize the next section Conclusion