Huawei launch sends message about the future of the Asian mobile phone market. See what could change in the industry.
According to a teardown report by analytics firm TechInsights, Huawei and major Chinese chipmaker SMIC have developed next-generation 7-nanometer processors to power the latest smartphones. The Huawei Mate 60 Pro is powered by the new Kirin 9000s chip made by SMIC, according to the TechInsights report shared with Reuters on Monday.
Huawei recently began selling the Mate 60 Pro. Specs include satellite calling capabilities, but the company did not specify the processing power of the chips inside. The processor is the first to use SMIC's 7-nanometer technology, a sign that the Chinese government is making some progress in its efforts to build a domestic chip ecosystem. The two companies involved, Huawei and SMIC, did not immediately respond to Reuters' request for comment.
Homemade processor
Device buyers in China have posted teardown videos and shared speed tests on social media, suggesting the Mate 60 Pro could offer faster download speeds than high-end 5G phones.
But what is the reason for higher speed? Well, according to experts, smaller lithography processes bring transistors closer together, allowing more transistors to be placed in the same space, improving performance. In addition, the smaller the distance between transistors, the greater the energy efficiency.
The 7nm process itself isn’t impressive. For example, the chips used in Apple and Samsung smartphones are already 4nm and could reach 3nm in the coming years. That’s why the Mate 60 Pro’s chip is behind schedule at this point. The key here is that Huawei is prohibited from using technology from American companies. The takeaway is that Chinese companies have produced 7nm chips using their own technology. That said, analysts see Asian countries moving toward building a domestic semiconductor ecosystem.
Relationship with the USA
The launch of the device sent Chinese social media users and state media into a frenzy, with some linking it to a visit by US Commerce Secretary Gina Raimondo.
That's because restrictions imposed by the U.S. government have limited Huawei's access to technology used by most global manufacturers. But the company is making progress anyway. For those who don't know, the U.S. actions against Huawei have been going on for more than five years. They came after accusations that Huawei's devices would facilitate espionage from the Chinese government and accusations of fraud and sanctions violations against Iran.
In 2019, the US government placed Huawei on its list of untrusted entities, banning US companies or those that use US intellectual property rights from doing business with the Chinese brand. In doing so, it denies Huawei access to several resources, such as the Android system, Google smartphone services, Intel and Qualcomm processors, and TSMC chips. But that hasn't stopped the brand, which launched its flagship smartphone in August, the Mate 60 Pro, which uses an SMIC chip manufactured on the 7nm process.
TechInsights analyst Dan Hutcheson told Reuters that Huawei’s development is a “slap in the face” to the United States. “The chip says, ‘Look what we can do. We don’t need you,’” Hutchison said.
