MediaTek 3G Strategic layout: Alliance AO to break cooperative passivity

Cheng Jurong MediaTek 3G "core" layout 2010--The industry is widely expected, this will be China's 3G really start "heavy" year.　　As the most upstream of the handset terminal industry chain, the industrialization process of--3G mobile phone chip has far-reaching influence on the overall situation of 3G industry in China.　　The 3G strategic layout of MediaTek Technology Co., Ltd. (hereinafter referred to as "MediaTek") is especially concerned about the--2g era, with the success of Turn key model, MediaTek occupies more than 90% of the market share of domestic handsets. "MediaTek's layout in the 3G chip will have a significant impact on China's 3G terminal industrialization process and future trend."　　"said Wang, director of research at Isuppli China. In fact, at the beginning of the new Year in 2010, MediaTek also made frequent moves in the 3G chip layout.　　January 15, MediaTek announced a memorandum of strategic cooperation with AO Technology (Suzhou) Co., Ltd. (hereinafter referred to as "Ao Tong"), which specializes in the development of TD-SCDMA MODEM chip. This is considered by the industry, MediaTek in the face of China's TD market, the real hair.　　With the cooperation of Ao Tong, MediaTek will begin to develop the bottom stack of TD chips, thus getting rid of the passive situation of "controlled" in the cooperation with the core technology. "We think that TD's Volume (TD-SCDMA phone shipments) will be the first in 2010," he said.　　January 27, MediaTek CFO and spokesman Ming accepted this reporter interview, talk about the 2G era of "Chip King" in the face of the new 3G era layout. "It is expected that TD's chip purchases will reach 30 million-40 million this year, and MediaTek hopes to get at least half of its share."　　"Ming said.　　But obviously, at 3G, MediaTek's layout is not limited to TD.　　TD Alliance Ao Tong Alliance AO, for MediaTek, is an active and passive choice. In 2007, MediaTek acquired the mobile chip division of the US ADI company and formally cut into TD Chip research and development. Prior to this, Adi and Datang Mobile early cooperation, using ADI chip with Datang Mobile software platform.　　Since then, Datang Mobile set up focus on TD research and development of the core technology, but in the hardware still with MediaTek cooperation. "We have cooperated with the core technology, but the problem has always existed."　　"MediaTek insiders told reporters that MediaTek and the core technology cooperation model, by MediaTek to provide chips, core technology to provide the underlying protocol stack, and customer development by the core technology-led. "But in the process of cooperation, it is often mentioned that Datang's plan, never say MediaTek."　　"Some people know that MediaTek's TD's shipments account for nearly half of the Chinese market, and many customers are looking for MediaTek directly when they encounter problems with the stack," said MediaTek insiders. and the joint-core technology and MediaTek cooperation model itself, also makes the market expansion constraints. Some MediaTek analysts: "Because they do stack, we only do chip, we justThe total Solution (overall solution) cannot be supplied directly.　　"--and based on the overall solution of the Turn key model is MediaTek in the 2G era" killer ", whether in the 3G era to continue 2G success, has its own TD protocol stack bottom technology, has become a top priority for MediaTek.　　The Alliance AO, MediaTek hope to use the AO in TD technology accumulation, in the underlying protocol stack technology research and development breakthrough. According to our correspondent understand, the core technology and MediaTek's cooperation has long been apart. "We are also developing our own TD chip, but the specific listing date is not yet readily disclosed." January 28, the core technology Terminal Solutions product line One of the responsible for the reporter disclosed. "Cooperation with MediaTek will continue," the official said, referring to whether the move would affect MediaTek's co-operation. "Ming, the future of MediaTek's TD chip will have two sets of plans: first, with the core technology cooperation of the existing scheme; second, it provides the whole solution from the underlying protocol stack to the top chip.　　The latter, pending the development of cooperation with the AO process. "After all just acquired, their TD protocol stack research and development will not be so fast, at least it will take another year." "Ming is cautious, but he definitely said:" We in the TD field, also will continue turn key mode.　　"Layout WCDMA if layout TD, is coveted the potential of China's 3G market, so short-term, MediaTek exerting the WCDMA, is aimed at overseas markets."　　Last November, MediaTek and Qualcomm signed an agreement to reach a wide range of patent agreements with all integrated circuit products, including CDMA and WCDMA products, on their respective proprietary pools, including CDMA and WCDMA core patents. This reporter learned from MediaTek, the cooperation of MediaTek to 0 patent fees and Qualcomm signed the patent agreement, that is, MediaTek will not be paid Qualcomm any future including one-time and single chip shipments of authorized gold.　　But the suppliers of MediaTek must have access to Qualcomm's mandate.　　The industry has argued that MediaTek's partnership with Qualcomm will limit its supply to "shanzhai" companies in the WCDMA chip sector. "3G technology is relatively complex, for small mobile phone manufacturers (in technology integration) has a certain degree of difficulty."　　Ming that in the early 3G market, small and medium-sized mobile phone manufacturers have a certain threshold in technology. In fact, this reporter learned that through a variety of channels, MediaTek's WCDMA chip, it is not difficult to flow to the "cottage" manufacturers.　　In addition to the technical support of Cottage Factory force factors, the current domestic WCDMA shipments are limited, but also one of the constraints. At present, MediaTek's first WCDMA chip MTK6268 has been published. "At present, the WCDMA chip with us is mainly mobile phone design companies, almost 5." According to Ming, as of today, including Tianyu Lanton brand manufacturers have also begun to enable MediaTek WCDMA, but shipments currentlyis limited. "Our Wcdam products are mainly for export, we pay more attention to overseas markets."　　Ming told reporters.　　From the "cottage" to the intelligent upgrade in the global mobile phone industry jittery 2009, as the top of the industry chain MediaTek still maintain a decent performance.　　It is reported that the 2009 MediaTek chip shipments of about 350 million, compared to the previous year's 280 million, an increase of about 25%. "In the next period of time, 2G mobile phone will maintain a certain growth."　　"Ming analysis, although the domestic low-end mobile phone market growth is weak, but in the Middle East, Africa, South America and other overseas markets, low-end functional mobile phone also has a huge growth space-this will be MediaTek's past advantages to continue the market. "But smartphones represent the future of the industry.　　"Ming that the success or failure of the smart chip will be a matter for MediaTek's future." In fact, as early as the end of 2008, MediaTek began the development of smartphone chip, the choice of cooperation is Microsoft's Windows Mobile platform.　　According to Ming, MediaTek's negotiations with Microsoft have reached close and will soon be announced.　　But this reporter from MediaTek inside learned that the negotiations with Microsoft, the two sides still game repeatedly, in the attention of the licensing costs "Microsoft will not make too big concessions."　　It is reported that Microsoft Windows Mobile Licensing costs generally above 10 U.S. dollars, which MediaTek has always adhered to the "cost-effective" strategy is clearly contrary. Against this backdrop, the more open Android platform has become another route for MediaTek's smartphone.　　Ming to this reporter confirmed that MediaTek has begun based on Android Smart Chip research and development. "Our Android smartphone chip will also be made to provide users with a ' one-stop ' solution."　　"Ming analysis, because the Android platform will eliminate licensing costs, its future finished product will be more than based on the Windows Mobile chip price advantage." It is widely expected in the industry that MediaTek will focus on smart-phone shanzhai. MediaTek is also starting to get rid of the image of the "cottage pusher", trying to move closer to the brand manufacturers.　　Last November, MediaTek reached a partnership agreement with Motorola. "We have always had meetings with Nokia (communication and contact). "Ming told reporters:" Our internal assessment, there is not enough manpower to receive orders (with the large brand manufacturers of cooperation). It is reported that Nokia and other brand manufacturers in the process of cooperation with the upstream chip manufacturers, often require targeted customization programs.　　This is contrary to MediaTek's usual pattern of generic chip schemes. "With the Nokia and other major brands, often to provide specialized research and development and technical support, at present, we are not enough manpower."　　Ming revealed that the current MediaTek in the mobile phone chip team of about 2000 people, compared to the size of Qualcomm nearly million, significantly smaller. "We will recruit about 1000 people worldwide this year, mainly to expand the handset chip business." "Ming revealed that we hopeIn the big brand machine market can have a greater breakthrough.