Samsung has announced that it will manufacture Qualcomm’s 5G mobile chip using its 7nm LPP process, with the introduction of EUV (extreme ultraviolet lithography) technology. The company stated that its long-term partnership with Qualcomm will last at least a decade. The next-generation flagship processor from Qualcomm is expected to leverage Samsung’s latest 7nm LPPEUV process, offering enhanced support for 5G networks. This development is widely believed to be related to the upcoming Snapdragon 855, which was previously leaked.
Compared to the current 10nm FinFET process, the 7nm technology is expected to reduce chip area by 40%, improve performance by 10%, and cut power consumption by 35%. On the same day, Qualcomm Technologies and Huawei announced the successful completion of the 5G NR Interoperability Test (IODT) based on the 3GPP Release 15 standard. This test used Qualcomm's UE prototype and Huawei’s 5G commercial system, marking a key milestone in the development of the 5G NR ecosystem. The successful interoperability between the two companies is expected to accelerate the commercial deployment of 5G networks, making it an important trend for investors to watch closely.
The PCB industry is currently experiencing a boom. Mainland Chinese manufacturers are benefiting from this growth. According to data, global PCB production value reached $54.2 billion in 2016. From 2010 to 2016, the industry remained relatively stable. In 2016, mainland China accounted for 50% of the world’s total PCB output, reaching $27.1 billion, a 3.45% increase from the previous year. Asia as a whole produced $495.62 billion worth of PCBs, making up 91.43% of the global total. The industry has shifted from being dominated by Europe and the U.S. to being led by Asia, especially China, which now offers the largest capacity and most comprehensive product range in the market.
Since 2017, major PCB manufacturers have invested heavily in expanding production capacity and improving process capabilities. Most PCB companies operate on a sales-driven model, and their expansion plans reflect optimism about future demand. Environmental regulations have also led to the gradual elimination of smaller, less efficient producers. Companies like Shenan Circuit and Jingwang Electronics have gone public to secure more funding and boost competitiveness. Currently, the top five domestic PCB manufacturers hold less than 10% of the market, but their share is expected to grow steadily over time.
In terms of sector performance, the electronics industry saw positive movement last week. The overall market rose, with the Shanghai and Shenzhen 300 Index increasing by 2.63%. The Shenwan Electronic Index climbed 2.01%, underperforming the broader index by 0.62 percentage points. Meanwhile, the CITIC Electronic Components Index rose 1.97%, lagging behind the Shanghai and Shenzhen 300 Index by 0.66 percentage points. This indicates a mixed performance within the sector, with some sub-sectors showing stronger momentum than others.
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