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Marvell’s single chip TD-SCDMA solutions beaten (again) by two-chip solutions of Chinese vendors
Follow-up: First real chances for Marvell on the tablet and smartphone fronts [Aug 21 – Sept 25, 2011]
Suggested preliminary reading:
– China Mobile repositioning for TD-LTE with full content and application aggregation services, 3G [HSPA level] is to create momentum for that [June 18, 2011]
– High expectations on Marvell’s opportunities with China Mobile [May 28, 2011]
– ASUS, China Mobile and Marvell join hands in the OPhone ecosystem effort for “Blue Ocean” dominance [March 8, 2011]
– Marvell beaten by Chinese chipmakers in sub 1,000 yuan handset procurement tender of China Mobile[Nov 15, 2010]
ZTE, Huawei & Lenovo Jointly Won New Mobile Bidding [July 8, 2011] (emphasis is mine)
ZTE Corporation (SZSE: 000063), Shenzhen Huawei Technologies Co., Ltd. and Lenovo Group Co., Ltd. (SEHK: 000992) jointly won the mobile bidding launched by China Mobile Communication Corp (China Mobile in short, SEHK: 00941) last month.
At the beginning of June, China Mobile launched a new round of mobile bidding, with bidding products being CNY 1000 [US$152] intelligent mobiles and purchase scale being 7 million popular G3 mobiles and 3 million G3 wireless telephones.
The bidding result came out on July 6 evening, ZTE, Huawei and Lenovo won the bidding while foreign brands got nothing.
China Mobile Commissions Three Million+ Mobile TV Smartphones [July 7, 2011] (emphasis is mine)
China Mobile, the country’s biggest mobile telco, has announced the winning bidders for its tender of three to four million mobile TV smartphones, with Lenovo, Huawei, and ZTE being the selected hardware makers.
The order is believed to be for six different handsets, of 500,000 to 600,000 units each. All of them will be 3Gsmartphones, on the homegrown TD-SCDMA frequency that China Mobile uses, and they will all be low- to mid-level phones on the cheaper end of the smartphone scale.
Mobile TV is the most unique feature that the phones will bring. Again, this is a China-developed technology – the CMMB standard for mobileTV transmission – that is being pushed by the state-owned China Mobile.
The mobile TV roll-out started in March of this year, across 300 cities and to huge fanfare in (state) media – see this Sina Tech reportfrom the time (article in Chinese).
It’s not clear which OS this new batch of mobiles will be running, but it is very likely that they’re also rocking China Mobile’s own Androidmodification, dubbed OPhone, which has mobile TV support baked in – as seen in the two photos of the OPhone-powered Lenovo O1 in this post.
China Mobile has struggled to get appealing handsets onto its TD-SCDMA network, but this year finally got some attractive top-end Motorola and HTC smartphones.
Domestic Vendors Win China Mobile TD-SCDMA Handset Tender [July 6, 2011] (emphasis is mine)
China Mobile (NYSE: CHL; 0941.HK) has released a list of winning bidders in its TD-SCDMA handset procurement tender. The tender is for six handset models, approximately 500,000 to 600,000 of each for a total of 3-4 mln units. The orders are divided between Lenovo (0992.HK), ZTE (0763.HK; 000063.SZ), and Huawei, with chips to be supplied by Spreadtrum (Nasdaq: SPRD), Leadcore and MediaTek. Spreadtrum and Leadcore will provide chipsets for two models each, while MediaTek will provide for one, and MediaTek and Leadcore will provide one they have jointly developed.
According to an industry source, the tender is for low-end and mid-range entry-level TD-SCDMA handsets equipped with CMMB mobile phone TV capability slated for launch in Q3 2011. Nearly 100 handset products were offered by over a dozen manufacturers in the bidding. Marvell was among the chipset bidders, but was not selected since its products are aimed at high-end TD-SCDMA handsets.
The source said that overseas handset and chipset makers did not participate in the tender because they are more focused on the low-end and mid-range TD-SCDMA smartphone market, and China Mobile’s unit price range was simply too low to attract their interest.
Spreadtrum Rides China TD-SCDMA Wave, Says Wedge; More On China Mobile iPhone [July 8, 2011] (emphasis is mine)
Wedge Partners analyst Brian Blair this morning writes that he thinks wireless chip maker Spreadtrum (SPRD) won half of a recent 4 million-unit order by China Mobile (CHL) for chips based on the country’s home-brewed “TD-SCDMA” wireless standard, and that the orders should continue to flow for the company.
Based on checks by contacts in China, writes Blair, Spreadtrum’s overall TD-SCDMA chipset shipments probably exceeded expectations in June, while the GSM flavors of its chipsets probably “recovered” in the month, bringing total chipset shipments to 17 million units. He thinks the company will probably forecast the current quarter about in line with the Street consensus of 57 cents per share in profit.
“We believe there will be more low/middle-end TD handset procurements in the second halfand we continue to believe that Spreadtrum has the best position in that market.”
… On another note, Blair tells me that he and his team were reviewing a photo put online on a Chinese blog this week that appeared to show an Apple (AAPL) iPhonethat was stamped with the China Mobile designation.
That picture yesterday was interpreted by Ticonderoga’s Brian White as further evidence that a version of the iPhone for China Mobile’s TD-SCDMA network is “imminent.” …
Spreadtrum: Extremely Compelling After Broad Chinese Stock Sell-Off [July 9, 2011] (emphasis is mine)
We believe that there will be approximately total 55M TD-SCDMA units sold in 2011 and 90M in 2012. Spreadtrum should have approximately 40% market share in 2011 and 40 – 45% share in 2012.
Pricing is extremely competitive in China and we expect ASPs to continue to decline. ASPs on TD chips are currently approximately $7. Spreadtrum has a cost advantage since it is the only supplier producing chips on 40nm lithography. Other chip suppliers are producing chips using 60nm or 90nm lithography and above. Spreadtrum’s smaller die results in an approximate 40% cost advantage, enabling Spreadtrum to sell at a lower ASP and to maintain gross margins at/above 40%. For Spreadtrum, 3G chipsets should increase from 20% of total revenue at the end of 2010 to 40% by the end of 2012.
Spreadtrum is viewed by the Chinese government as a local Chinese company vs. MediaTek which is Taiwanese. Spreadtrum receives R&D grants of a few million US dollars annually from the Chinese government. Spreadtrum is a preferred vendor to promote the TD-SCDMA standard. The Chinese government wants a strong Chinese domestic chipset supplier.
Jianzhou Wang, the Chairman of China Mobile:
Single-chip may also fail, but the two-chip is no problem, that is coupled with a single-chip chip to do the TD call, without any problems. TD’s current dual-core chip has not done such a grade, but it can take the iPhone with a TD-chip chip.
[In response to the reporter’s question: From the technical point of view, TD maturity of the chip is able to meet the needs of the iPhone’s design?]
From: Wang: 4G is no timetable … [July 6, 2011, via Google translate]
Behind Spreadtrum’s Improbable Turnaround [July 10, 2011] (emphasis is mine)
The first opportunity came as a 90 million RBM TD-SCDMA research contract offered by China Mobile in May 2009. It was recalled by Chen Datong (see the interview) that “Leo Li and five other VPs of the company made an agreement, that if the product cannot meet the technical requirements by May, they would resign together.” (Note that Spreadtrum developed the first TD-SCDMA chip in China under Wu Ping’s management.) The 90 million contract helped Spreadtrum’s top line reflected in 2009 Q2 financial statements. (Chinese media reported this contractin 2009.)
… In June 2009, Spreadtrum ramped up a 6600L baseband chip developed under Wu Ping and launched the product aiming to compete against Mediatek’s MT6225. With comparable performance, the 6600L chip was cheaper by $1 USD on its own and by $2 USD in terms of integrated solution. The price advantage is huge given that the average profit on a low-end cell phone is about $1.4 USD. As a result, Mediatek, the market leader that enjoyed over 90% of market share back then, was forced to participate in this price war in the second half of 2009.
China T&T trip: Structural changes in China handset market [The Goldmann Sachs Group, May 24, 2011] (emphasis in paragraphs is mine)
…
Muted group procurement result of TD smartphone in May, indicating backend loaded demand with low SP mix in 2011
Leadcore, Huawei, and Borqs indicated that China Mobile (CM) procured only 1.2mn TD smartphone (SP) with a minimum order of 200,000 for each model, well below the market
expectation of 12mn units with minimum guaranteed order of 800,000 per model. CM has selected six models (three Ophone, two Android, and one feature phone) from Huawei, ZTE, Samsung, Lenovo, Motorola, and Coolpad. They attributed the disappointing central procurement result of TD smartphone to relatively poor quality of phones.…
CM would like to give 60% of its SP orders to Marvell. However, in a recent stability test by CM, Leadcore scored at 95% pass rate, with T3G at 93% and MRVL at only 65%. …
China market: TD-SCDMA device makers reportedly urged to slow cooperation with Marvell [March 31, 2011] (emphasis is mine)
Some TD-SCDMA end market device makers in China have reportedly urged their fellow local companies not to rush to adopt TD-SCDMA chips from Marvell Technology on concerns of stability and instead should use similar chips offered by China-based chipmakers, according to industry sources.
Device makers in China stated that the development of TD-SCDMA chips by China-based chipmakers has matured with most solutions having been used in volume commercially without problems regarding to stability.
Although Marvell has been eager to develop TD-SCDMA chips and also cooperated closely with China Mobile, China-based device makers are still skeptical about the stability and commercialization of TD-SCDMA chips from Marvell, claimed the sources.
Despite the concerns from China-based device makers, Asustek Computer has unveiled recently in Beijing a number of TD-SCDMA enabled handsets built using chipset solutions from Marvell, the sources indicated.
China handset and solution makers form alliance to push global image and sales [April 27, 2011] (emphasis is mine)
More than 30 makers in the upstream and downstream handset industries in China have recently formed an alliance, aiming to promote brand image as well as to push sales of China-made handsets globally, according to industry sources in Taiwan.
Participating members include Lenovo, ZTE, TCL, Beijing Tianyu, G’Five, Coolpad, SIM Technology and chipset makers Spreadtrum Communications and RDA Microelectronics, but do not include MediaTek and other Taiwan-based handset makers, the sources noted.
The exclusion of Taiwan-based chipset solution vendors and handset makers may encourage alliance members to adopt handset solutions and parts and components from suppliers in China, the sources indicated.
Update: Huawei Joins Group of Global OEMs Accelerating Adoption of China’s TD-SCDMA Standard with New Ultra-Thin ‘Super’ Smartphone Powered by Marvell’s Single-Chip Solution [Aug 10, 2011]
Marvell (Nasdaq: MRVL), a worldwide leader in integrated silicon solutions, today announced that Huawei’s new T8300 ultra-thin smartphone, powered by Marvell’s industry’s first commercially available TD-SCDMA single chip solution, has passed China Mobile’s rigorous testing requirements and has shipped to its stores throughout China. The ultra-thin Huawei T8300 measures only 11.2 millimeters thick with Marvell® PXA918 processor and is one of the six new smart phones selected by China Mobile in its first round of procurement this year.
…
“Marvell’s TD-SCDMA single chip solution was the only semiconductor that offered the high-performance processing power and low power consumption we required to deliver a powerful, stylish, multimedia TD smartphone at the right price,” said Mr. Wang Yanmin, President of Mobile Phone Product Line, Huawei Device. “With its long-term commitment to TD and its leadership in the market, we were confident that Marvell could seamlessly deliver the right technology efficiently and be a true partner in bringing our new T8300 smartphone to market.”
Huawei’s T8300 is also equipped with Marvell’s latest 802.11n Wi-Fi solution and runs OMS 2.5, the newest Ophone operating system. It features a 3.2 inch capacitive touchscreen, 720p video decoding and gravity, light and proximity sensors.
Note that T8300 is the TD-SCDMA specific redesign of the IDEOS X3 smartphone announced at MWC’11 (but only delivered since June’11, for around US$240 in Singapore and for around US$200 in Malaysia). The Qualcomm MSM7227 SoC (announced in Feb’09 for sub-$150 smartphones) used in X3 was not able to support TD-SCDMA so the only available SoC was Marvell’s PXA920/918 SoCs family available since Sep’09 (although capable of passing the rigorous TD-SCDMA tests only almost 2 years later as on can see from Marvell’s above press release).
Update: The PXA920 opportunity was realized only in September 2011, two years later than the September 2009 launch. See: First real chances for Marvell on the tablet and smartphone fronts [Aug 21, 2011]
Marvell Drives New Rollout of TD-SCDMA Smartphones from China Mobile, the World’s Largest Mobile Operator [June 28, 2011] (emphasis is mine)
– ZTE Launch Signals New Era of TD-SCDMA Smart Devices in China Powered by Marvell’s Industry-First Single Chipe Solutions
Marvell (Nasdaq: MRVL), a worldwide leader in integrated silicon solutions, today announced the introduction of four new TD-SCDMA (Time Division Synchronous Code Division Multiple Access) smart devices by ZTE, including two smartphones, a mobile tablet and a mobile hot spot device. All four devices are customized for China Mobile’s 3G TD-SCDMA market, and feature Marvell’s industry-first TD-SCDMA single chip solution and the most advanced mobile 802.11n Wi-Fi technology with beam-forming capability.
…
The ongoing collaboration between Marvell and ZTE, one of China’s most prominent and innovative communications companies, delivers highly cost-effective smart devices to Chinese end users that are tailor-made for China Mobile’s TD-SCDMA standard. Marvell and ZTE have also worked together to develop end-to-end TD-HSPA+. In the future, the two companies intend to further cooperate to develop creative mobile phone solutions and emerging mobile Internet applications. In recent years, the two companies have also collaborated on a passive optical network (PON), network switches, WLAN and CPUs.
ZTE Product Highlights
- Blade U880, one of ZTE’s flagship smartphones, is powered by the Marvell® PXA920 and features a 3.5 inch WVGA capacitive touchscreen at a resolution of 800 x 480 pixels, delivering exquisite pictures with rich colors and multi-touch. Other features include Android 2.2 support, a TD-SCDMA +WLAN dual wireless Web connection, WLAN-AP wireless routing, CMMB (MBBMS) mobile phone TV, a 5 megapixel auto-focus camera, 720p high-definition video, GPS/AGPS navigation and a 3D graphics processing accelerator.
- Light Tab T9, powered by the Marvell PXA920, is a 7-inch tablet with a WVGA capacitive touchscreen that is only 12.6 millimeters in thickness. It supports phone calls, China Mobile’s CMMB+MBBMS mobile TV, WLAN, Bluetooth and FM. The device also ships with GPS, an electronic compass, an eBook reader and a camera.
- U802 is a highly affordable (sub 1,000 Renminbi [RMB]), all-white smartphone powered by the Marvell PXA918. It features a 2.8 inch touch screen, WLAN/WAPI data connection, CMMB TV, accelerometer for UI auto-rotate, 3 megapixel and 0.3 megapixel dual cameras, a 3D graphics accelerator, Android 2.2 support and a customized Widget desktop.
- A6 is a highly affordable mobile hot spot device customized for TD-SCDMA networks powered by the Marvell PXA920. It ensures smooth switching between TD and Wi-Fi and self-creation of hotspots. It supports up to eight terminal access points and is small, portable and easy to operate.
中兴U880 ZTE U880 (ZTE中兴U880) (ZTE ZTE U880) [extracted on July 11, 2011]
(via Google translate)
- 参考价格: Price:
- ¥ 1180 [北京] ¥ 1180 [Beijing]
网络模式: GSM,TD-SCDMA Network mode: GSM, TD-SCDMA
- 外观设计:直板 Design: Straight
- 主屏尺寸: 3.5英寸480×800像素 The main screen size: 3.5 inches480 × 800 pixels
- 触摸屏:电容屏 Touch screen: capacitive touch panel
- 摄像头像: 500万像素CMOS Camera head: 500 million pixel CMOS
- 操作系统: Android OS v2.2 Operating System: Android OS v2.2
- 机身内存: 512MB Body Memory: 512MB
- 电池容量: 1250mAh Battery capacity: 1250mAh
中兴U880参数 ZTE U880 parameters [extracted on July 11, 2011]
(via Google translate)
Listing Date
纠错 2011年05月 in May 2011手机类型 Phone type
纠错 3G手机 3G mobile phone主屏尺寸 The main screen size
纠错 3.5英寸 3.5 inches触摸屏 Touch Screen
纠错电容屏 capacitors screen主屏材质 The main screen material
纠错 TFT TFT主屏分辨率 The main screen resolution
纠错 480×800像素 480 × 800 pixels主屏色彩 The main screen color
纠错 26万色 262K网络模式 Network mode
纠错 GSM , TD-SCDMA GSM , TD-SCDMA数据业务 Data services
纠错 GPRS,EDGE,TD-SCDMA,HSPA GPRS, EDGE, TD-SCDMA, HSPA支持频段 Support band
纠错 2G:GSM 850/900/1800/1900 2G: GSM 850/900/1800/1900
3G:TD-SCDMA 1880-1920/2010-2025MHz 3G: TD-SCDMA 1880-1920/2010-2025MHz操作系统 Operating system
纠错 Android OS v2.2 Android OS v2.2CPU频率 CPU frequency
纠错 800MHz 800MHz机身内存 Body memory
纠错512MB 512MB存储卡 Memory card
纠错MicroSD卡,支持App2SD功能 MicroSD card support App2SD function电池容量 Battery capacity
纠错1250mAh 1250mAh键盘类型 Keyboard type
纠错 虚拟QWERTY键盘 the virtual QWERTY keyboard机身颜色 Colors
纠错黑色 Black手机尺寸 Phone Size
纠错114×56.6×11.8mm 114 × 56.6 × 11.8mm手机重量 Phone Weight
纠错 115g 115g
中兴U802 ZTE U802 [extracted on July 11, 2011]
(via Google translate)
- 网络模式: GSM,TD-SCDMA Network mode: GSM, TD-SCDMA
- 外观设计:直板 Design: Straight
- 主屏尺寸: 2.8英寸 The main screen size: 2.8 inches
- 触摸屏:支持 Touch screen: Support
中兴U802参数 ZTE U802 parameters [extracted on July 11, 2011]
(via Google translate)
Listing Date
纠错 2011年05月 Correction in May 2011手机类型 Phone type
纠错 3G手机 , 智能手机 ,电视手机 Correction 3G mobile phones , smart phones, TV mobile phone外观设计 Design
纠错 直板 Correction straight主屏尺寸 The main screen size
纠错 2.8英寸 Correction 2.8 inches触摸屏 Touch Screen
纠错 支持 Error correctionsupport主屏材质 The main screen material
纠错 TFT Correction TFT网络模式 Network mode
纠错 GSM , TD-SCDMA Correction GSM , TD-SCDMA数据业务 Data services
纠错 GPRS,EDGE,TD-SCDMA CorrectionGPRS, EDGE, TD-SCDMA支持频段 Support band
纠错 2G:GSM 850/900/1800/1900 Correction 2G: GSM 850/900/1800/1900
3G:TD-SCDMA 1880-1920/2010-2025MHz 3G: TD-SCDMA 1880-1920/2010-2025MHz操作系统 Operating system
纠错 Android OS v2.2 Correction Android OS v2.2CPU频率 CPU frequency
纠错 624MHz Correction 624MHz存储卡 Memory card
纠错 MicroSD卡,支持App2SD功能 CorrectionMicroSD card support App2SD function键盘类型 Keyboard type
纠错 虚拟键盘 Correcting the virtual keyboard机身颜色 Colors
纠错 黑色 Black
http://shop.zte.com.cn/main/mobile/shop_mob_partinfo.jsp?pid=3427&listName=&catalogId=13381 [extracted on July 11, 2011]
(via Google translate)
ZTE Light Tab T9 ZTE Light Tab T9
2480元 2480 yuan
TD-SCDMA HSDPA/HSUPA/GSM/EDGE 智能终端 TD-SCDMA HSDPA / HSUPA / GSM / EDGE smart terminal
7 寸WVGA电容式触摸大屏 7-inch WVGA large capacitive touch screen
厚仅12.6mm,纤薄便携,质感十足 Thickness of only 12.6mm, slim, portable, full texture
超长续航能力:21天待机,5.5小时视频播放 Long battery life: 21 days standby and 5.5 hours of video playback
采用Android 2.2操作平台,支持更多业务应用 Using Android 2.2 platform, support more business applications
支持中国移动CMMB+MBBMS移动电视,特有智能视频增强技术有效提升画面质量 China Mobile CMMB + MBBMS support mobile TV, unique intelligent video enhancement technology to effectively improve the picture quality
支持中国移动深度定制的宽带互联网、飞信、音乐随身听*、DM*等增值业务 The depth of customization to support China Mobile’s broadband Internet, flying letters, music player *, DM * and other value-added services
最高支持32G扩展卡、U盘功能 Up to 32G expansion card, U disk function
支持WLAN、蓝牙、FM功能 Support for WLAN, Bluetooth, FM function
支持重力传感、光敏感应、GPS导航 Support for gravity sensing, light-sensitive sensors, GPS navigation
Andorid2.2 custom blade moving ZTE U880 TD evaluation [June 17, 2011]
China Mobile repositioning for TD-LTE with full content and application aggregation services, 3G [HSPA level] is to create momentum for that
Follow-up: – Good TD-LTE potential for target commercialisation by China Mobile in 2012 [July 13, 2011]
See also: Mobile Internet (Aug’11) which is a total update on Aug 26, 2011 with a lot of additions to the original July 19, 2010 content on the following subjects:
– LTE and LTE Advanced — HSPA Evolved (parallel to LTE and LTE Advanced) — Heterogeneous networks or HetNets — Femtocells and Picocells — Qualcomm innovations in all that — Ericsson’s LTE Advanced demo — Current roadmaps on evolutions of current 3G+ broadband mobile networks
China Mobile to accelerate TD-LTE commercialization [June 10, 2011] (emphasis is mine)
China Mobile reportedly has decided to accelerate its investment in TD-LTE technology aiming to push the commercialization of TD-LTE networks one year ahead of its original schedule, according to industry sources.
The affects of poor sales on the commercialization of its 3G TD-SCDMA networks has pushed China Mobile to move forward into the 4G segment, the sources indicated.
The move by China Mobile has attracted attention from a number of chipset makers including Qualcomm, Sequans Communications, MediaTek and VIA Technologies as well as China-based Spreadtrum Communications, Hisilicon Technologies and Innofidei, as they have all been eyeing the 4G chipset market in China, the sources noted.
MediaTek has decided to expand its R&D team for the development of LTE and WiMAX chips in Taiwan and China, with plans to raid talent from other wireless chipmakers as well as from HTC, said the sources, noting that MediaTek also does not rule out the possibility of acquiring related LTE R&D teams at home and abroad later.
Global opportunities for LTE TDD [Ovum, February 2011]
Quite often, LTE TDD (also known as TD-LTE) is wrongly presented as a Chinese technology. … However, unlike TD-SCDMA, which was originally a Chinese technology that was subsequently adopted by 3GPP, LTE TDD has been part of the 3GPP standardization effort since its inception. … China Mobile learned at its cost with TD-SCDMA that being a 550 million customer mobile operator helps to attract vendor attention but is not enough to make a technology a global success. The operator consequently built a strategy to position LTE as the next GSM, making LTE the de facto global standard for mobile broadband – something most cellular operators would welcome for cost reasons.
…
China Mobile is facing several challenges with TD-SCDMA. One of the most acute relates to the smaller economies of scale associated with a weaker device ecosystem compared to UMTS/HSPA. This is why China Mobile quickly oriented its long-term mobile broadband strategy towards LTE TDD. … In terms of LTE TDD network expansion, we believe that it could be faster than TD-SCDMA as the network will leverage many aspects of the current TD-SCDMA network including cell site facilities, backhaul, and even parts of the base stations. … Despite the large scale of the trials, the drawback of a 1H12 launch is the impact it may have on the development of the LTE TDD ecosystem. Fortunately for the technology, another significant market, India, may launch commercial LTE TDD services before the end of 2011.
…
It is Ovum’s view that LTE TDD will become widely adopted in the global market, but this will take time, as exemplified by our forecasts. There will be a delay of 12–18 months between the take-off of the two LTE variants. For LTE FDD take-off should be around 2012–13, while it is expected that this will be around 2013–14 for LTE TDD. We forecast 89 million LTE TDD connections by 2015, representing roughly 25% of total LTE connections.
First Pre-commercial LTE TDD/FDD Uni-Mode Single Chipset USB Dongle to be Launched in June [June 9, 2011]
In June 2011, the world’s first pre-commercial LTE TDD/FDD uni-mode, multi-band, single chipset USB dongle supporting LTE TDD/FDD idle mobility (cell reselection) will be launched by Huawei Hisilicon. Successful completion of the IOT tests with all of the 10 infrastructure vendorsindicated that it had fully satisfied the Uu IOT and terminal test requirements of MIIT and CMCC.
Detailed design parameters are as follows:
The TD-LTE USB Dongle makes an unprecedented advance in functionality, performance, form factor, and interoperability. Prior to the launch of this pre-commercial TD-LTE dongle, 3 other critical development stages were completed:
- The first release of TD-LTE single-mode USB dongle test samples were released at the Shanghai World EXPO in mid 2010. All the terminals were custom-designed for the trial/ demonstration with the 65nm chipset design. Most of them passed the IOT tests with 1-2 infrastructures.
- The first release of LTE TDD/FDD dual-mode Single Chipset USB (65nm design) dongle test samples were released at GSMA MWC 2011 in February 2011. The USB dongles provided by Huawei Hisilicon and Qualcomm can support TD-LTE and LTE FDD in a single chip. The dongle is designed to support TD-LTE or LTE FDD based on the software that is loaded. IOT tests with 3-4 infrastructrues were passed during this phase.
- The pre-commercial TD-LTE single-mode multi-band USB dongles (45nm design) were launched during the GTI 1st workshop in April 2011. These were targeted for trial applications and installations. More than 20 TD-LTE USB dongles from ZTE provided problem free services during the two-day GTI workshop. The DL peak data rate reached 80Mbps and the average single user DL data rate reached 4Mbps. The dongle demonstrated the commercial readiness, stable performance and rapid development of the TD-LTE dongle.
The development quickly progressed from a 65nm test sample to a pre-commercial, Full IOT, Uni-mode, 45nm solution in less than a year. TD-LTE Large Scale Trials in China and commercial deployment in India and Japan will speed up its commercial readiness. The TD-LTE dongle will be commercially available in 2011.
Spreadtrum Communications Acquired Stake in MobilePeak Holdings, Ltd., a Leading UMTS/HSPA+ Modem Chipset Designer [June 9, 2011] (emphasis is mine)
Spreadtrum Communications, Inc. (NASDAQ: SPRD; “Spreadtrum” or the “Company”), a leading fabless semiconductor provider in China with advanced technology in both 2G and 3G wireless communications standards, today announced that it has acquired approximately 48.44% of the total outstanding shares of MobilePeak Holdings, Ltd. (’MobilePeak’), a privately held fabless semiconductor company based in Shanghai and San Diego that specializes in the design of highly integrated UMTS/HSPA+ modem chipsets.
Spreadtrum acquired approximately 48.44% of MobilePeak’s total outstanding shares, and provided a short-term loan to MobilePeak for the repayment of MobilePeak’s outstanding convertible bridge loans, for an aggregate cash consideration of approximately US$32.58 million. Spreadtrum intends to purchase all of MobilePeak’s issued and outstanding shares, and expects to complete the acquisition in the third quarter of 2011. Thanks to MobilePeak’s efficient operations, Spreadtrum expects the acquisition to have a minor impact on its earnings per share in Q2 and the remaining quarters in 2011, and Spreadtrum maintains its Q2 2011 guidance in terms of revenue, gross margin, and operating expenses as a percentage of revenue.
Commenting on the transaction, Spreadtrum’s Chairman, President and CEO, Dr. Leo Li, said, ’We are very pleased and excited to welcome the MobilePeak team. The synergies between the two companies and the opportunities created by this transaction are clear. With MobilePeak’s complete UMTS/HSPA+ solution, we will broaden our portfolio of worldwide wireless handset technologies, and make inroads into the WCDMA feature phone, smart phone and tablet markets.
“Utilizing our advanced 40nm technology, mature GSM/GPRS/EDGE and TD-SCDMA platforms, and working closely with MobilePeak’s Shanghai and San Diego teams, we will be well equipped to expand our international market shares. These capabilities are also a solid foundation for developing the next generation multi-mode FDD-LTE/WCDMA and TDD-LTE/TD-SCDMA technologies over the next two years.”
Mr. Qiuzhen (Joe) Zou, Chairman and President of MobilePeak, said, ’ We are eager to work with the Spreadtrum team. Since MobilePeak’s inception in 2005, our team has developed world-class baseband chipsets with support for 3GPP Standard through Release 7, including HSPA+ technology up to Category 14 with 21Mbps maximum downlink speed and 11Mbps maximum uplink speed. MobilePeak has more than 100 patents granted or pending worldwide, and its solutions have passed GCF tests and top-tier handset makers’ strict in-house tests. We are confident to roll out the first 40nm HSPA+ solution platform for feature phones and smart phones by 2012.’Mr. Zou will assume the role of Chief Technology Officer at Spreadtrum.
Mr. Zou founded MobilePeak in 2005 and has since served as MobilePeak’s Chairman. He served as MobilePeak’s Chief Technology Officer from 2005 to 2010 and assumed the position of President in 2010. Mr. Zou has more than 18 years of experience in the wireless communications industry. From 1993 to 2003, Mr. Zou held various positions with QUALCOMM, Inc., where he became a Vice President of Engineering in 2000. At QUALCOMM, Mr. Zou led various semiconductor design projects, including multiple generations of CDMA baseband chipsets. Mr. Zou received a BSEE from Southeast University in Nanjing, China in 1992, followed by an MSEE from Stanford University in 1993.
China market: 3G network investment totals CNY289 billion [June 14, 2011]
China Mobile, China United Telecommunications and China Telecom have cumulatively invested a total of CNY289 billion (US$43 billion) in setting up 3G networks consisting of 697,000 base stations around China, China-based http://www.xinhua.com has cited Ministry of Industry and Information Technology officials as indicating.
The three carriers had 67.57 million 3G subscribers in total as of the end of April 2011, the report indicated.
Goal for domestic 3G network set at 50m users [June 9, 2011]
The Chinese government has set a target of achieving more than 50 million third-generation (3G) mobile users by the end of 2011 for its homegrown telecommunication standard, but analysts predict the technology may not be the biggest winner in the 3G era.
Zhao Bo, deputy director of the electronics and information department with the Ministry of Industry and Information Technology, said on Wednesday that China should continue to push forward its TD-SCDMA (Time Division-Synchronous Code Division Multiple Access) 3G technology.
“The TD-SCDMA technology should realize its strategic target of acquiring at least one-third of China’s market, and grab 50 million users by the end of this year,” Zhao said.
He said he is confident that China Mobile Ltd, the world’s biggest telecom carrier by users, will achieve the goal within the schedule.
China Mobile is building the TD-SCDMA 3G network in China, while its domestic rivals, China Unicom Ltd and China Telecom Corp Ltd, adopted the WCDMA and CDMA2000 3G technologies.
Ye Lin, an official from the technology department of the Ministry of Industry and Information Technology, said since the three Chinese telecom operators obtained 3G licenses in early 2009, China has made major progress in 3G network development.
The three carriers have invested a total of 289 billion yuan ($44.6 billion) in 3G network construction in the past three years, Ye said. More than 697,000 3G base stations have been set up in the same period, he added.
The ministry recently announced that the number of 3G users in China reached 67.6 million by April.
China Mobile topped the list with 29.4 million, and China Unicom followed with 20.4 million. The smallest telecom carrier, China Telecom, had 17.8 million by April.
The great leap forward: How the world’s largest operator aims to jump one generation [Ericsson Business Review, June 10, 2011] interview with Bill Huang, GM of the China Mobile Research Institute (emphasis is mine)
China Mobile is pushing the time division (TD) flavor of LTE hard. Why is it necessary to have more than one kind of LTE, and what benefits does TD offer end users?
To understand, you must look back at what caused this technology evolution. There was an understanding that to go digital we must have a global standard. There were many candidates but they fell apart. GSM was a very good effort and succeeded in becoming the first real global standard. Then came 3G. In retrospect, 3G was a questionable development. It optimized voice capacity and quality but data traffic was kind of an afterthought. GSM did the job just fine. The best example is China Mobile. We deployed the world’s largest GSM network with the lowest tariffs, and never saw the need for a better voice service. 3G was a solution looking for a problem. And indeed, WCDMA did not take off until HSPA was developed. So from a historical perspective, HSPA was the only killer application for WCDMA, and internet access is the only reason HSPA took off.
Mobile internet is the only growth area for mobile communication … LTE carries the heritage of GSM and WCDMA with it … the selection of TD technology as a strong candidate in the evolution of LTE gives us an internet advantage. Historically, mobile communication has been symmetrical, dominated by voice. Internet traffic is not symmetrical. Downlink is typically 10 times faster than uplink, and addresses this. TD is unique in the way you can adjust the uplink and downlink ratio. And that’s why TD has become very useful – not only does it allow operators to use spectrum more efficiently, it also offers consumers a better user experience and lower costs.
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How will China Mobile use 3G?
We will accelerate. For China Mobile 3G is an important licensing issue, and we are building a 3G infrastructure to create the momentum [with 3G HSPA level?] with which we move towards 4G.
Isn’t that a long way off in the future? Don’t you need to develop mobile broadband now?
Completely wrong! We are targeting commercialization next year, not in five years. In fact, operators in India and Japan plan to go commercial this year, but we are not that aggressive. So you see: 4G is not being pushed by the vendors, like 3G was. 4G is being pushed by the carriers. LTE is the only standard in the industry where, if you have a product, people will buy it right away. It’s the reverse of how things used to be, and very interesting. LTE is being developed fast, but not fast enough.
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Instead of looking at data volume, we can charge for downloading a movie, regardless of size, or a song or a book. We have all of that already in place. But frankly I don’t think consumers are used to content based billing, so we need to educate them – in many cases. … China Mobile’s strategy is that we will be a content and application aggregator, therefore becoming a smart pipe – not a dumb pipe that just provides access without aggregating anything. So we become the Walmart of information.
Instead of charging for content or traffic we can create a club. People are familiar with that concept. You pay one monthly charge and everything is free. It’s very effective; Netflix is a good example of a subscription based service that I think has a very good future as a business model. At China Mobile we can do anything with scale, but we can’t do everything in a niched or personalized way. So, if we provide a club we get to leverage that scale. We have 600 million subscribers. If only 10 percent sign up, that’s already 60 million members. If just 1 percent sign up, that’s 6 million members.
How do you handle the threat from the over-the-top (OTT) players, the internet companies?
It is a very real threat: OTT services can now replace almost any communications service imaginable. ott services are usually free, so this business model is based on backward billing. … What we hope to entice the user with is the quality of service – that’s our most important competitive advantage. … we must also look to reduce the cost of our services, potentially making them free as well. If we use other ways to generate revenue – like advertising or the club concept, and the user subscribes to a bandwidth bundle – we could provide the voice club service for a fixed fee, while guaranteeing the quality. Then I think we could kill off OTT very easily.
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What do you expect from the cloud?
For mobile internet we have established a three-front strategy: LTE; the smartphone (operating Ophone, which is based on Android plus); and cloud computing. Only by combining all three can we create a really competitive and successful mobile-internet business.
We believe the cloud is an infrastructure technology that can address the cost of computing, reduce energy consumption and become a common platform for society, consumers and companies. Historically telecom operators have been reluctant to embrace it, but this was a mistake. In the US, I think carriers have already given up. They allow Google, Amazon and Microsoft to run cloud computing. But there are opportunities for China Mobile. If anything, we can do infrastructure on a large scale, data centers and so on. We do not have to develop all of the internet services in the world to compete with Google or Facebook. What we could do is build a cloud-computing infrastructure and invite all the internet companies to partner with us.
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The most important phenomenon that will drive change in the mobile communications industry today is the evolution of smart phones. What used to be a communications device is now an all-purpose computing device. Today, fewer than 20 percent of our subscribers use smartphones. We think that in three to five years over 80 percentof our subscribers will use smartphones.
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Have tablets changed this picture?
No, I see them as just bigger smartphones. In fact, Microsoft and others have tried for many years to introduce tablets and failed. But when Apple introduced the iPad, which is just a big iPhone, everybody loved it. So, this proves that a successful tablet is a big smartphone. The look and feel is very similar to that of a phone.
How do you work with the app store concept?
We embraced it completely and the way we differ from Apple is that we support all operating systems – including iOS if Apple wants us to. … We hope to create a platform that is independent of operating systems. … The reason China Mobile chose Android was that we need the flexibility to differentiate. We need to add components, APIs and functionality to Android. That’s why we call it Android plus.
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I don’t know if video is going to be a major revenue stream, but I am sure it’s going to be a major application. I say that because making video calls on IMS [IP Multimedia System]will become an internet application, so it depends on how we charge for it. It opens up the potential for more creative billing strategies. We would be able to deliver a level of quality that would be very difficult for an ott player to achieve.
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We studied what kind of apps users download and you’d be surprised how similar people’s tastes are. The top 1,000 apps have a 99-percent share of the market. That’s very good news for operators. We are not very good at long tail, but we are definitely good at short tail.
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We want a mobile phone to be able to transmit TV to a large screen – so you can watch the program on your phone’s small screen or your computer screen, but also take it with you when you visit someone and watch it together on a large screen, in high definition. You won’t need the DVD. The mobile becomes the set-top box. So China Mobile doesn’t need a three-screen strategy – we only need a one-phone strategy. We are working on a wireless multimedia transmission technology called WiMo for this, and expect it to be available in two to three years.
Are you ready for mobile banking?
To be frank, we have not figured out which technology’s the right one to get the credit card or the payment mechanism into the phone. The most viable one for phones would be near-field communication (NFC). We have already established our architecture for mobile commerce and an account system with connections to all the banks, so from a service point of view we already have everything in place. What we need right now is for more phones to have the capability to carry the mobile payment and transaction engine – the right chip and components to support it, along with NFC.
Is banking a comfortable area for operators?
We don’t necessarily have to compete with the banks. We can rather just be the wallet and charge a monthly fee for the service. In other words, the banks can issue the cards and put them into our phones. We will make our platform open for all the banks. We don’t have to issue our own cards; all we have to do is to become the channel for the credit cards. And then we can make money. It is a great service – to sign up you don’t have to fill in a lot of forms; we have all the customer data that is needed.
How China institutional changes influence industry development? The case of TD-SCDMA industrialization [May 25, 2011]
… in view of that China state capitalizing on different SOEs and accompanying institutional changes, we further break framework into two time-periods:
– During stage 1 (2002- 2008) that China central government started to support Datang Group, aiming to commercialize TD-SCDMA technology into products. State also assigned Datang to lead TDIA [TD-SCDMA Industry Alliance designed to function as the platform of TD-SCDMA development, involving the activities of setting standard, sharing IPR, organizing supply chain, and coordinating among members] for TD-SCDMA industrialization.
– In stage 2 (2009-present), China state turned to mandate China Mobile to promote TD-SCDMA, not only responsible for networking building and service providing, but also for organizing of mobile handset supply chain (Wang and Tsai, 2010).…
The R&D capacity of Datang Group as a whole is questionable, despite that Datang set home-grown TD-SCDMA standard (interview ES1). Since 1992, CATT had received national grant to undergo the earliest home-grown standard (SCDMA, 2G), but failed to commercialize due to weak R&D capacity in commercialize large-scale system development (Chen, 2005; Soh and Yu, 2010)11. Second, Datang XiAn, founded in 1993 and specializing for telecommunication equipment manufacturing for digital automatic switching (SPC) product, can not compete with local minying enterprise Huawei and mixed enterprise ZTE since late 90’s to early 2000’s (Fuller, 2005: 201; Harwit, 2007; Liu, 2008).
… the Datang Group is state-owned enterprise spin off from CATT, and they didn’t directly confront market and no pressure for survival(interview ES1and IS1). Although state continuously channeled national resources to compensate the loss (cf. Table 1 2004 negative profit) from developing TD-SCDMA and that Datang Mobile indeed deployed on R&D and accomplish some patents, Datang Group as a whole can not develop innovation capacity in designing parts and testing whole TD-SCDMA network system. One of the reason is that Datang Group lacked of associated knowledge and experience before (Soh and Yu, 2010).
The same situation occurs in TD-SCDMA mobile terminal products. The joint ventures IC design firms of Datang and MNCs, such as T3G or Commit, launched none of TD-SCDMA products to the market and ended up merged by ST-Ericsson or bankrupted. Likewise, Datang Mobile fruited no complete TD-SCMDA handset, so the state turned to university and public-sector research institutes to support the development of TD-SCDMA (Liu, 2008, 2009).
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TDIA also confronted frustration in knowledge sharing and organizing of supply network. There’s no patent license-out or cross-license among member (Sumtttier et al., 2006; Whalley et al., 2009), except occasional license out from Datang to ZTE and Putian (Soh and Yu, 2010). Theoretically, Datang supposed to invite and global companies, such as Huawei and ZTE, into the supply chain of TD-SCDMA and leverage on their experience. But Datang, as the father of TD-SCDMA, tried to protect and guard their child (interview ES1). On the other hand, the R&D capacity of Huawei and ZTE outperformed Datang, so Huawei and ZTE won’t bother to join Datang on patent sharing and further on TD-SCDMA technology/product (interview RS4 and RS6).
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State pick winner [and looser] SOE as national team
By contrast to Datang, the state evolves to pick China Mobile as the new national team by assessing past performance as selection criteria. First, China Mobile has near 500 million (end of 2008) users, making it as the largest telecom operator worldwide (BMI, 2010). So it’s a feasible path to migrate most China users from 2G (GSM) to home-grown standard (Interview, ES1). Second, China Mobile is most profitable and potential operator in China that China Mobile had the capacity and capital to promote TD-SCDMA (Interview ES1, SS2, ES1).
… the state threatens China Mobile: TD-SCDMA or none of 3G licenses. Coupled with impact on Mr. Wang’s political career, China Mobile has no choice but to promote TD-SCDMA (Interview ES1). On the other hand, the state also subsidizes RMB$10 billion (SinoCast, 2009) to compensate for potential loss estimated RMB $30 billion each year (Interview RS5).
In short, China state changes institutional means of supporting core SOE by both subsidies and threat, rather than carrot without stick. The state also changes to assess SOE’s past performance for prospects of TD-SCDMA. Despite the mandatory mission, China Mobile indeed starts to recruit R&D staff with high salary (Interview RS5) and experiments several innovations on TD-SCDMA network deployment, mobile phone launch, and service package to users (Interview IS1).
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For the particular case of TD-SCDMA development, this paper contributes to discover that China state experiments and adapts institutions, along with the mentality adjusted from ‘standard matters’ to ‘R&D capacity rules’. More, the macro-level institutional learning also leads to meso-level institutional adaptation in the telecommunication industry. China Mobile acts as a mediator between state and network of firms, with the resources re-distribution and demand for collective action through the whole supply chain. Therefore, China Mobile not only managed to offer users with innovative service and networking build through in-house R&D, but also to organize the preliminary formation of TD-SCDMA production networks.
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China Mobile, as a customer rather than rival of equipment manufacturers, had invested RMB$148 billion during 2008 to 2010 through four stages bids of infrastructure construction (BMI, 2010; IEK, 2010). Both local and global firms, such as SOEs Datang and Putian, minying Huawei and MNCs Nokia-Siemens, all compete for TD-SCDMA network building (Wang and Tsai, 2010). The final winners are Huawei and ZTE, for their cheaper but good product quality than MNCs’ and SOEs’ (Interview ES2). It indicates that China Mobile also selects their cooperating partners basing on market performance as the foremost criteria. This is different from the previously protectionism signal that Datang sent, since the SOE was targeted to dominate China market under the umbrella of MIIT, and which formulated the national industrial policy.
China Mobile also realizes that the biggest problem of TD-SCDMA industrialization is the shortage of TD-SCDMA handsets in the market. Under the pressure from mission and profit, China Mobile urges their current partners (e.g. Nokia and Motorola) to produce TD-SCDMA products through replicating the same incentives tools that state imposed upon China Mobile. That is, China Mobile, basing on their market significance, threatens their main suppliers (e.g. Nokia and Motorola): TD-SCDMA products or none of other business (Interview IS1). On the other hand, China Mobile first offered RMB$ 600 million to three chipsets designers and nine handset suppliers, to induce these leading firms to offer cheap products to penetrate China market. Thus, Nokia, HTC, Samsung and some local firms started to launch TD-SCDMA handsets. Most of all, China Mobile plays as a coordinator to integrate the supply chain, from upstream IC design firms to downstream manufacturers (Interview IS1).
China Mobile awards 12 companies TD-SCDMA research grants [May 17, 2009] (p. 4, emphasis is mine)
China Mobile will provide funding of RMB 600 million ($87.77 million) to 12 mobile phone and chip manufacturers for the research and development (R & D) of terminal devices based on the homegrown TD-SCDMA standard, China Mobile announced on May 17.
According to the announcement, the 12 companies include nine mobile phone manufacturers, namely Motorola Inc., Samsung Corp., Yulong Computer Telecommunication Scientific Co. Ltd., Dopod Communication Corp., LG Electronics (China) Co. Ltd., ZTE Corp., Hisense Group, Guangzhou New Postcom Equipment Co. Ltd. and Huawei Technologies Co. Ltd. along with three chip makers, namely T3G Technology Co. Ltd., MediaTek Inc., and Spreadtrum Communications Co. Ltd.
As China Mobile stipulated that chip makers and mobile phone manufacturers pair up in the R & D project, T3G will work with Motorola, Samsung, Dopod and Huawei while MediaTek will work with Yulong, ZTE and LG. Spreadtrum will collaborate with Hisense and New Postcom.
Motorola, Samsung, Yulong, Dopod and LG, together with their chip maker partners [T3G and MediaTek], will receive combined funding of RMB 310 million ($45.35 million) from China Mobile for R & D of high-end TD-SCDMA mobile phones. The remaining mobile phone manufacturers [Huawei, ZTE, Hisense and New Postcom], together with their chip maker partners [T3G, MediaTek and Spreadtrum], will be responsible for R & D of low-end TD-SCDMA mobile phones and will receive combined funding worth RMB 290 million ($42.42 million) from China Mobile, the announcement said.
China Mobile Reveals TD-SCDMA Handset Subsidy Bidding Results [May 17, 2009] (emphasis is mine)
On May 17, China Mobile (NYSE: CHL; 0941.HK) held a signing ceremony for subsidies targeted at joint TD-SCDMA handset R&D, with nine handset manufacturers and three chip manufacturers signing a “cooperative R&D” agreement. China Mobile will invest RMB 600 mln in the subsidies, driving total investment of over RMB 1.2 bln in TD-SCDMA R&D, with the remaining contributions coming from participating vendors.
6 joint bids won subsidies for China Mobile’s “Flagship Broadband Internet Handset” project: Motorola and 3G chip manufacturer T3G; Samsung and T3G; mobile handset manufacturer Yulong and TD-SCDMA chipmaker Leadcore Technology; Smartphone manufacturer Dopod and T3G; LG Electronics and Leadcore; and ZTE and Leadcore. China Mobile will invest approximately RMB 310 mln in the project.
For the “Low Cost 3G Handset” project, the five successful bids were ZTE and Leadcore; LG and Leadcore; Hisense and wireless baseband chipset provider Spreadtrum Communications (Nasdaq: SPRD); Guangzhou New Postcom and Spreadtrum; and handset manufacturer Huawei and T3G. China Mobile will provide approximately RMB 290 mln of funding for this project.
7 months later these 11 handsets were shown [as per China Mobile’s Dec 17, 2009 press release in Chinese
China Mobile‘s 200 Models of TD Mobile Phone Listing This Year [March 18, 2011]
Recenly Li Yue, president of China Mobile, attended the Results Announcement said that China Mobile has an adequate supply in the 3G mobile phones. Currently, 50 companies are available to TD phones, and another 200 models will be able to supply soon.
At the end of last year, China Mobile has conducted 6 million low-end TD mobile phones tender. And in February this year, China Mobile has conducted 12.2 million high-end TD mobile phones procurement, of which, about 150 million units flagship Internet terminals, 30 million units dual card dual standby terminals, 320 million units multimedia intelligent terminals, 400 million units fashion and entertainment terminals and 320 million units universal intelligent terminals.
Xue Taohai, vice president of China Mobile, said the group will control the handset subsidies in 17.5 billion yuan. It is reported that China Mobile set a new goal for 25 million 3G users this year, and the current 3G network has covered 656 cities.
China Mobile Changes Strategy in Terminal Procurement [April 22, 2011]
Foreign mobile phone makers that has been disappointed in the bidding invitation of China Mobile Ltd. (SEHK: 0941 and NYSE: CHL) for centralized procurement of 6 million TD-SCDMA terminals last year, have turned things around in this year’s first round of centralized procurement kicked off by the leading telecommunications carrier.
Reporters find out that foreign mobile phone makers have won more than half of the share in recent centralized procurement, indicating that China Mobile has adjusted its philosophy in terms of the development of TD-SCDMA terminals, pointed out an insider who declines to reveal his name, saying that the company is not satisfied about current situation for the distribution of TD-SCDMA mobile phones.
A top executive of China Mobile opens out that the sales volume of TD-SCDMA terminals is small, indirectly confirming the report, saying that TD-SCDMA mobile phones have bad quality and high prices.
In the opinion of a researcher of iSuppli, China Mobile has changed its strategy to snatch market share and enlarge user base through low-end TD-SCDMA terminals and will improve the brand influence and boost the sales volume of TD-SCDMA mobile phones through the promotion of flagship terminals.
At the end of 2010, a domestic TD-SCDMA chipmaker has begun preparing for the next year’s centralized procurement of TD-SCDMA mobile phones by China Mobile, since the distribution of TD-SCDMA terminals completely relies on telecom carriers.
The top management of the chipmaker has been determined to win the centralized procurement. However, in February 2011, the announcement of China Mobile about the result disappointed them.
China Mobile has focused on medium- and high-end mobile phones in this year’s first round of centralized procurement while bid winners were all domestic TD-SCDMA terminal makers last year.
The changing philosophy of China Mobile is unfavorable to domestic mobile phone makers, which are mostly oriented to the manufacturing of medium- and low-end TD-SCDMA terminals.
Take the example of upstream chipmaker Leadcore Technology Co., Ltd., its shipment of TD-SCDMA chips topped 13 million in 2010. In last year’s centralized procurement, the company took over half of the share.
In contrast, US IC designer Marvell Technology Group Ltd. (Nasdaq: MRVL) that is oriented to the medium- and high-end TD-SCDMA smart phone market is likely to snatch more than half of the share in the latest centralized procurement.
Whatever strategy China Mobile adheres to, its aim will not change. That is to attract more customers for TD-SCDMA mobile phones. A top executive of Leadcore Technology believes that high-end TD-SCDMA terminals will help China Mobile improve its brand influence. But, to boost sales volume, the company still has to rely on medium- and low-end mobile phones.
(1 USD = CNY 6.51) Source: http://www.nf.nfdaily.cn (April 22, 2011)
Muted group procurement result of TD smartphone in May, indicating backend loaded demand with low SP mix in 2011 [May 24, 2011]
Leadcore, Huawei, and Borqs indicated that China Mobile (CM) procured only 1.2mn TD smartphone (SP) with a minimum order of 200,000 for each model, well below the market expectation of 12mn units with minimum guaranteed order of 800,000 per model. CM has selected six models (three Ophone, two Android, and one feature phone) from Huawei, ZTE, Samsung, Lenovo, Motorola, and Coolpad. They attributed the disappointing central procurement result of TD smartphone to relatively poor quality of phones. That said, Leadcore believes that MIIT has required CM to add 30mn TD-SCDMA subs in 2011 and TD terminal or chipset shipment is likely to be 53mn in 2011. Leadcore is hopeful that feature phone and SP could represent most of the TD phones with fixed wireless terminals at only 3-4mn in 2011. Leadcore expects CM to shift to open channels, which also receives a subsidy through contracts with provincial or local CM subsidiaries; and we predict the mix of open channel and central procurement to increase from 30% and 70% in 2011 to 70% and 30% in 2012, respectively. Similarly, Spreadtrum also expects TD chipset market to reach 45-50mn in central procurement (fixed wireless 35%, feature phone 50%, smartphone 10-15%), and 60mn-70mn units in total (including the open channel). Spreadtrum has seen strong recent demand from open channel. We note that open channel tends to sell more feature phones and fixed wireless phones.
Leadcore and Spreadtrum aim to gain TD market share in 2011
Leadcore believes that it has 50% of TD market share together with Mediatek. Marvell has relocated some of its R&D resources to China and is getting support from OEM. CM would like to give 60% of its SP orders to Marvell. However, in a recent stability test by CM, Leadcore scored at 95% pass rate, with T3G at 93% and MRVL at only 65%.
Rumor: China Mobile Establishes National Handset Procurement Arm [May 27, 2011]
An industry source said recently that China Mobile (NYSE: CHL; 0941.HK) has circulated a memo internally announcing the establishment of a terminals center, to be announced officially in August, that will operate as a national-level handset procurement subsidiary. The operator is currently making necessary internal adjustments in order to transfer staff to the new center.
The new terminals center will be operated like a division of China Mobile, overseen directly by China Mobile headquarters, and will focus on terminal procurement and sales. The center will be comprised of several departments, including products, procurement, marketing, channels, systems support, general services, and finance. While it is being referred to internally as the “mobile terminals center,” externally it will operate like a company.
Previously, the source said, China Mobile’s headquarters had been separate from provincial-level procurement operations, which it will now unify under the new terminals center. If a handset manufacturer is not on the center’s supplier list, it will be unable to promote its handset through provincial subsidiaries.
Earlier reports claimed that China Mobile had planned to transform handset distributor Topssion, which it acquired in March, into a terminal sales subsidiary.
Borqs Unveils Latest OPhone Handsets at 14th China Beijing International High-tech Expo [May 20, 2011] (emphasis is mine)
With the coming of the World Telecommunications Day, the 14th China Beijing International High-tech Expo (the Expo) opened at China International Exhibition Center from May 18th to 22nd, 2011. This Expo was co-organized by several state departments of China, including the Ministry of Science and Technology, Ministry of Commerce, Ministry of Education, and Ministry of Industry and Information Technology. Many innovative enterprises participated into the Expo with their innovation achievements. Borqs, one of the members of China’s National Special Key Projects, were also invited and exhibited the new serial of TD smartphones running on OPhone OS 2.0 or higher.
From “Made in China” to “Created in China”, and then to “China Standards”, enterprises based in Zhongguancun have always been committed to innovation and development since their establishment. As technology advancement and industry transfer are seen everywhere around the world, China Mobile developed and launched the first 3G standard in China, TD-SCDMA, a decade plus ago. As of today, China Mobile has maintained 61.9 million 3G mobile users as well as 26.99 million TD-SCDMA users. Recently, Mr. Jianzhou Wang, the Chairman of China Mobile, pointed out that TD system was no longer a test network but a commercial one covering 656 cities around China with the joint efforts of China Mobile and its industry partners from within and outside the country. Especially, the TD-SCDMA industry chain has emerged in recent years,, consisting of near 50 telecommunication enterprises, including many manufacturers and providers of network, terminals and chips, in and outside China.
OPhone OS is closely related to TD. Up to now, OPhone smartphones account for 50% of TD smartphones. At the Expo, a wide range of TD terminals are exhibited, including many new OPhone-based models. Following its receiving recognition from the state officials at the prior 11th Five-year Plan Major Science & Technology Achievements Exhibition, OPhone OS continued to be all the rage and attracted many visitors at the Expo.
TD-LTE Industry Briefing – May 2011 by China Mobile [May 27, 2011]
TD-LTE Large Scale Trial in China Update –All 6 Cities Have Launched Base Stations
- All 6 cities have launched base stations. The number of launched Base Stations has reached 20% of the planned ones.
- The planning of continuous coverage in hot spot areas has been completed in all 6 cities. The constructions are under way:
– 78% supporting facilities modification accomplished
– 69% equipments arrived
– 35% equipments installed
- Transmission tests have been completed in several cities
- EPC and Security tests initiated in several cities in April 2011
- RANtests are planned to start in the end of May 2011TD
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GTI Official Website: http://www.lte-tdd.org
The GTI official website was launched during the 1st GTI Workshop [on 27-28 April 2011 in Guangzhou, China]. The website shares the latest information about TD-LTE related News, Events, Reports and Statistics. GTI operators have the rights to access the Working Space on GTI website for technical presentations and further deliverables of GTI.
China Mobile Almost Finishes Pilot TD-LTE Network Deployment [June 7, 2011]
China Mobile, one of the Big Three telecom operators in the country, has completed deployment of a pilot TD-LTE network in most of the cities selected for a planned test, disclosed people familiar with the matter today.
Most of the system equipment makers have completed the first TD-LTE call in cooperation with the branches of China Mobile, according to one of the people, noting that additional telecom equipment makers are expected to make a presence in the program for an expansion of the test.
The TD-LTE network test, kicked off on March 24 with the releasing of document from the Ministry of Industry and Information Technology (MIIT), has been going on smoothly reflected by a group of telecom equipment makers’ success in TD-LTE call.
Huawei Technologies Co., Ltd., one of the top-ranking telecom equipment makers in the country, helped launch the first TD-LTE wireless connection in Shenzhen on April 6, facilitating the rollout of high-speed download service and high-definition video service based on the TD-LTE data card.
TD LTE to revolutionize wireless broadband [May 31, 2011] (emphasis is mine)
During the second international LTE conference held in New Delhi, the industry said that it has become imperative to deploy LTE technology to set standards. With numerous benefits of TD LTE, the industry is graping with deployment challenges while early availability of devices has become another area of concern. Bharti Airtel is conducting trial in Chandigarh. The deployment of TD LTE at right time as well as availability of devices will be a challenge, and it is coming out with a lot of hope.
Speaking at the event, J Gopal, Advisor (Technology), DoT said that they are looking forward for this technology to bridge digital divide and facilitate economic growth. With various consumer-centric advantages, TD LTE is becoming an important tool for every operator today while some of them have already begun trials.
“Eventually we see migration from WiMax to TD LTE and significantly there is a global initiative to promote it. India and China are the leading contenders of this technology, which is mature now,” said Sujit Bakre, head, 4G business development and product management (APAC), Nokia Siemens Networks. Large investments have already been done on 2G/3G and now we should leverage voice onto TD LTE, he added. Bakre reiterated that they bagged two commercial deals in Middle-East and Latin America but however couldn’t name the operators.
Puneet Garg, VP, Networks, Bharti Airtel said that TD LTE is a next step towards broadband wireless and is the fastest BWA technology and has become a realty now. “It will make high speed wireless broadband affordable to urban and rural consumers. This technology facilitate low TCO”, he added.
Rajan S Mathews, director general, Cellular Operators Association of India said that broadband is the single big imperative for the country. “As we are poised to be the largest economy by 2050, therefore we couldn’t afford to miss the broadband bus,” he said. Mathews said that the government is aggressively implementing the national policy on broadband and TD LTE is a great opportunity for the country to get into building standards.
20 Operators Have Joined GTI [May 19, 2011]
Following the 1st GTI Workshop, GTI has gained strong momentum. Till May 19th, 20 operators from Europe, Asia, America and Oceania have formally joined GTI.
These 20 GTI operators are:
Aero2, Belltell, Bharti Airtel, China Mobile, Clearwire, Datame, E-Plus, FarEastone, First International Telecom Corp,KT, Omantel, Nextwave, Packet One, Smoltelecom, SoftBank, Tatung Infocomm, Vividwireless, Vodafone, Voentelecom, Woosh.
GTI was formed to promote the TD-LTE ecosystem as a major standard in mobile broadband technology and drive the early development TD-LTE networks. Seven operators including Aero2, Bharti Airtel, China Mobile, Clearwire, E-Plus, Softbank Mobile and Vodafone jointly kicked off GTI activities in February during Mobile World Congress in Barcelona.
GTI objectives are:
1) Energizing the creation of a world-class and a growth-focused business environment;
2) Delivering great customer experience and bringing operational efficiencies;
3) Promoting convergence of TD-LTE and LTE FDD in order to maximize the economy of scale;
4) Facilitating multilateral cooperation between and/or among operators.
GTI has started preparing the 2nd Workshop and initiated the discussions on the technical areas which will be investigated among GTI operators.
Vividwireless joins global TD-LTE promotion initiative [May 19, 2011]
vividwireless a Seven Group Holdings Limited [media-related] company, owns and operates Australia’s first 4G wireless broadband network. vividwireless launched in Perth in March, 2010. The network has since been expanded to cover select parts of metropolitan Sydney and Melbourne, Adelaide, Canberra and Brisbane.
Vividwireless – which presently operates mobile WiMAX networks in capital cities – has joined the Global TD-LTE Initiative (time division long term evolution) launched at Mobile World Congress in Barcelona in February.
GTI, which held its first working meeting in Guangzhou earlier this month, was formed to promote the TD-LTE ecosystem as a major standard in mobile broadband technology and drive the early development TD-LTE networks. Its founding members were ChinaMobile, Bharti Airtel, Softbank Mobile, Vodafone, Clearwire, E-Plus, and Aero2. Vividwireless says it was invited to join at the launch.Commenting on the launch of GTI at the time, Julien Grivolas, principal analyst at Ovum said: “A certain scale for LTE TDD was guaranteed by strong support from China Mobile, the largest operator in the world. However, as TD-SCDMA [China’s 3G mobile standard] proved to its cost, this is not necessarily enough to make LTE TDD technology a global success. China Mobile consequently considered it strategically vital to garner support from other key players.”
He added: “This LTE TDD evangelism started years ago, often behind the scenes, and finally came to fruition with the creation of the GTI. As a consequence, the main merit of the GTI announcement really lies in the official support for LTE TDD (and better harmonisation with LTE FDD) from a number of international players.
“With heavyweights such as China Mobile, Bharti Airtel, Softbank Mobile, and Vodafone Group – serving more than 1.1 billion subscribers in total at the end of 2010 – the GTI is certainly heading in the right direction. However, to further contribute to the virtuous cycle that the GTI aims to fuel, the organisation remains fully open to all operators and technology vendors interested in promoting LTE TDD.”
Vividwireless said that the GTI would “organise a series of activities to bring TD-LTE operators and vendors together to share development strategies and technology know-how, expediting the development of terminals and fostering global roaming and low-cost terminals.”
Vividwireless trialled LTE in Sydney earlier this year and says “The trials…demonstrated that TD-LTE can deliver wireless broadband that is faster than ADSL2+, with peak speeds as high as 128Mbps and consistent ‘real world’ speeds between 40 – 70Mbps.”
Following the trial the company said it was sufficiently impressed to consider using TD-LTE rather than WiMAX for its planned major east coast network rollouts. CEO Martin Mercer said “The technology is far more mature than we had expected. The Huawei SingleRAN solution [used in WiMAX mode in Vividwireless’ networks today] is basically ready to go today and is at a price point that would enable us to take service to market at prices comparable to what we offer today.
“We could deploy this technology in our east coast rollout and provide customers with services superior to those we provide today and equivalent prices. The question for us now based on the results of the trial is: do we rollout TD-LTE on the east coast…and do we deploy it in other markets as well?“
vividwireless First To Trial 100Mbps Broadband TD-LTE In Australia [Nov 10, 2010] (emphasis is mine)
Leading 4G wireless broadband provider, vividwireless, today announced the first
Australian trial of superfast mobile wireless broadband – TD-LTE – (Time-Division
Duplex Long Term Evolution) which can deliver peak speeds of more than 100Mbps.
vividwireless CEO Martin Mercer said the trial with technology partner Huawei Australia
was part of the company’s continuing technology roadmap assessment.“vividwireless is trialing the advanced TD-LTE technology to evaluate and determine the
very best mobile voice and broadband service to meet our customers’ future needs.
vividwireless is determined to ensure that it retains its ranking as Perth’s fastest wireless
broadband provider,” he said.Huawei’s global experience with the technology has found TD-LTE can deliver wireless
broadband that is much faster than ADSL2+, with peak speeds of more than 100Mbps.
The trial will cover the market readiness of TD-LTE, including the technology’s capacity,
coverage and ‘real world’ performance.“Demand for high speed wireless connectivity is increasing rapidly. Customers want fast,
reliable HD video streaming, gaming, communications, transactions and other
entertainment to be available wherever they are,” said Mr Mercer.“Our current network satisfies this demand and this trial will help us to ensure that we
continue to be Australia’s leading wireless broadband provider,” he added.The trial will commence in December 2010 in inner-city Sydney around Redfern, as well
as Western Sydney around Horsley Park. These locations will allow vividwireless to test
the performance of the technology in high demand, high density, inner city conditions
such as apartments and cafes, as well as suburban conditions.Huawei Australia Chief Technology Officer Peter Rossi said, “Having worked with
vividwireless in rolling out its Perth network and the initial footprints in Sydney,
Melbourne, Adelaide, Canberra and Brisbane, we are delighted to be working on this
TD-LTE trial.“Huawei’s SingleRAN solution allows vividwireless to make a smooth transition from
WiMAX to TD-LTE to suit its network requirements, and with Huawei holding the title of
the world’s number-one LTE essential patent holder, vividwireless will always have a
cutting-edge mobile network,” he concluded.
Ovum encourages operators in developed countries to be pragmatic [May 6, 2011] (emphasis is mine)
Ovum has highlighted the potential of LTE TDD on many occasions, but has also pointed out the various challenges it faces. In particular we have highlighted that the current status of the device ecosystem may negatively impact the pace of rollout. Devices are always a crucial success factor for any kind of technology, but for LTE TDD they are even more important. This is largely due to the fact that most of the operators that have announced aggressive LTE TDD plans are based in emerging markets (China, India, and Russia).This means that low-cost devices will have to be made available quickly to serve these markets. In that sense, the creation of the Global TD-LTE Initiative at Mobile World Congress 2011 is a step in the right direction.
Launch of the GTI accelerates ecosystem development
In February 2011, China Mobile, Bharti Airtel, Softbank Mobile, Vodafone, Clearwire, E-Plus, and Aero2 officially launched the Global TD-LTE Initiative (GTI). The organization will focus on promoting the fast development of LTE TDD technology, promoting the convergence of LTE TDD and FDD modes to maximize economies of scale, and sharing the ecosystem with other TDD technologies, such as the Japanese eXtended Global Platform (XGP) technology.
In the mobile telecoms industry, scale is vital – something that WiMAX can testify to. A certain scale for LTE TDD was guaranteed by strong support from China Mobile, the largest operator in the world. However, as TD-SCDMA proved to its cost, this is not necessarily enough to make LTE TDD technology a global success. China Mobile consequently considered it strategically vital to garner support from other key players (as stated in our report TD-LTE, China Mobile’s long-term engagement with ‘TD’, OVUM051850). Attracting vendors’ interest was the easy part given China Mobile’s size, but making sure that other operators would consider the LTE TDD option required more imagination. This LTE TDD evangelism started years ago, often behind the scenes, and finally came to fruition with the creation of the GTI. As a consequence, the main merit of the GTI announcement really lies in the official support for LTE TDD (and better harmonization with LTE FDD) from a number of international players. With heavyweights such as China Mobile, Bharti Airtel, Softbank Mobile, and Vodafone Group – serving more than 1.1 billion subscribers in total at the end of 2010 – the GTI is certainly heading in the right direction. However, to further contribute to the virtuous cycle that the GTI aims to fuel, the organization remains fully open to all operators and technology vendors interested in promoting LTE TDD.
China Mobile will not be the first to launch commercial LTE TDD services
The GTI launch event in Barcelona confirmed what we expected (see the report Global opportunities for LTE TDD, OT00063-016): with a launch expected in 2012, China Mobile will not be the first operator in the world with commercial LTE TDD services. However, it is true that the operator’s large-scale trial networks to be deployed in seven cities in 2011 will be much bigger than the majority of LTE (TDD and FDD) commercial networks available at that time.
Among the LTE TDD frontrunners, the GTI event confirmed Aero2 from Poland as a candidate to become the first with commercial services, in as early as May 2011. The operator will use equipment from Huawei to construct a converged LTE FDD/TDD network. Softbank Mobile also unveiled plans to commercially launch LTE TDD services in Japan before the end of 2011. Like Aero2, the Japanese operator will use the 2.5GHz spectrum band. Softbank Mobile recognizes that the timeline set for its LTE TDD project is aggressive, but claimed that it has full confidence in vendors to overcome the various challenges. In Softbank’s opinion, LTE TDD is better suited to handle mobile data services. This is because the technology’s asymmetric nature fits well with mobile broadband data usage patterns and because of the greater technical efficiency of LTE TDD versus LTE FDD in terms of smart antenna systems. Finally, the official support of LTE TDD by Bharti Airtel means that there are now three 2.3GHz broadband wireless access spectrum owners committed to rolling out the technology in India. Speaking at the event, the CEO of Bharti Airtel, Sanjay Kapoor, stated that support from operators in India and China will ensure scale for LTE TDD and definitely signals the end of WiMAX’s hopes.
Ovum encourages operators in developed countries to be pragmatic
So far, operators have continued to favor the FDD variant of LTE, especially in developed markets. However, we recommend that these operators, which sometimes own unused TDD spectrum, closely monitor the development of the LTE TDD market. The reason is simple: given the rise of data traffic, all spectrum is valuable. They should continue to adopt a very pragmatic approach to LTE TDD. This consists of ensuring LTE FDD/TDD integration into network equipment now and into devices once the LTE TDD device ecosystem is sufficiently mature. If LTE TDD becomes widely adopted, by 2014-15 LTE FDD operators may well be tempted to leverage LTE TDD cost benefits to add extra capacity to their networks.
The E-Plus Group, China Mobile and ZTE sign a MOU for TD-LTE field trial in Germany [Feb 14, 2011]
The E-Plus Group, China Mobile Communications Corp. and ZTE will work together to launch a TD-LTE field trial in Germany in Q1 2011. The trial is based on 2.6 GHz spectrum that E-Plus acquired in the German spectrum auction. China Mobile, with its leading position and rich experience in the operation and maintenance of TDD networks, will empower this trial. ZTE will provide base stations developed on the advanced SDR platform and co-siting solution of LTE FDD/TD-LTE, which is a breakthrough in the industry.
The E-Plus Group is the third largest mobile network operator in Germany. The E-Plus Group has been one of the most innovative mobile operators during years. After revolutionizing the mobile voice market for larger user groups E-Plus is now opening the mobile data market for the masses with low-priced data tariff schemes and the roll-out of a HSPA+ network with speeds up to 21.6 Mbps. On top of the high speed mobile data network roll out, E-Plus will now test TD-LTE in the field. The E-Plus Group is one of the founding members of the Next Generation Mobile Networks (NGMN) Alliance.
The E-Plus Group and ZTE agreed and scheduled a field trial program for 2011 consisting of several streams to investigate the capabilities of ZTE’s commercial SDR equipment and best utilisation of the spectrum holdings of E-Plus in 1.8 GHz, 2.1 GHz and 2.6 GHz, both TD-LTE and LTE FDD.
China Mobile claims the largest number of mobile subscribers in the world. From TD-SCDMA to TD-LTE, China Mobile is devoted to promoting TDD industry being equipped with rich experience in TDD network deployment. Furthermore, China Mobile is pro-active in TDD technology globalization and convergence of TD-LTE and LTE FDD industry by seeking cooperation with overseas operators in Europe, Asia, America and Australia.
With joint effort of the E-Plus Group, China Mobile and ZTE, this trial will not only demonstrate the latest progress of TD-LTE/LTE FDD convergence in standards and industry development, but also lay an excellent ground for the full commercialization of TD-LTE.
About the E-Plus Group
The E-Plus Group is the challenger on the German mobile communications market. Simple services tailored to customer needs and a major reduction in call and data charges can be traced back to the initiative of the third-largest mobile network operator in Germany. After revolutionizing the voice market for larger user groups now the company opens the mobile data market for the masses by its massive network roll-out and highly attractive low-priced data tariff schemes. As a result of innovative business models, modern structures and strong partnerships the E-Plus Group was able to significantly strengthen its market position and show a more dynamic and profitable development than the market. Since 2005 E-Plus Mobilfunk GmbH und Co. KG has developed into a family of brands offering target group-specific services and thus breaks new ground in mobile communications in Germany. More than 20 million customers are using the network of the E-Plus Group to make calls and send text messages or data. The Group generates an annual revenue of €3.2 billion (2010) and employs more than 2,500 people (FTE) in Germany.
326 Million Dual-Mode 4G Devices to be Activated by 2016 [May 31, 2011]
326 Million Dual-Mode (3G + LTE) Devices will be Activated by 2016 according to Maravedis’ latest research titled “Global 4G Device Forecast 2011-2016”.
“All LTE devices activated during 2010, including USB data cards, modems and notebooks, were single-mode,” said Cintia Garza, author of the report. “However, LTE+3G smartphones have emerged during 2011 as more LTE operators begin to add LTE to their device offering, in particular smart phones whose adoption will be key to LTE uptake.”
In the United States, Sprint’s early success with WiMAX smart phones suggests a very promising uptake for LTE smart phones. Many other carriers around the world are also looking at introducing smart phones in their LTE device portfolio by the end of 2011, such as NTT DoCoMo (Japan), and Yota (Russia).
“By 2013, more than 50% of LTE devices activated worldwide will support both FDD and TDD duplex modes, once TD-LTE deployments consolidate in China, India, Malaysia, Korea and other APAC countries,” continued Garza. “On the other hand, 75% of the LTE devices will support legacy systems (2G/3G) and 9% will support WiMAX technology; these devices will mainly include smart phones, tablets and USB dongles”.
Tablets are also one of the most promising devices in the 4G device market. Maravedis’ report predicts tablet shipments will grow from 46 million in 2011 to nearly 150 million by 2016. Apple iOS is expected to remain the most popular tablet for the coming years, reaching 46% market share by 2016.Additional Research Findings:
- 260 million dual-mode (TD LTE + FDD LTE) devices will be activated by 2016
- Android will account for 48.5% of the smart phone market, Windows 21% and iPhone (iOS) 16.5% by 2016.
- APAC and Europe will account for the largest number of smart phones and tablets activated by 2016.
- By 2016, 95% of the tablet installed base will be 3G/4G enabled.
Source:Maravedis
LTE Subscriptions to Experience Growth of over 3,400% Between 2011 and 2015 [June 9, 2011]
Between mobile applications, data, voice, and streaming and broadcast video, global wireless bandwidth usage has increased ten-fold since 2008, and there are no signs of it stopping. This obsession to connect anywhere, any time, on any device, viewing any type of digital content is about to have a very real and sudden impact on the wireless world. In-Stat (www.in-stat.com) forecasts that LTE subscriptions will experience a 3,400% explosion of growth between 2011 and 2015.
“Although there are regional variations in the adoption of cellular services, due in part to current available technology, LTE will clearly be the 4G service of choice moving forward,” says Chris Kissel, Analyst. “3G will remain the predominant service subscription, also with robust growth, but over the next 5 years things will trend toward LTE as 4G service availability is ramped up.”
Recent research by In-Stat found the following:
- North American FDD-LTE subscriptions are set to increase roughly 2100% from 2011 to 2015. In 2015, the ratio of North American FDD-LTE subscribers to TDD-LTE subscribers will be almost 14 to 1.
- 3G subscriptions remain dominant with WCDMA technology capturing 26% of 3G subscriptions. CDMA Rev B will be the smallest segment of the 3G technologies based on subscriptions.
- 2G service subscriptions will peak in 2012, then they will begin a slow decline during the remainder of the forecast period.
- More than half of all new deployments are LTE.
Mobile broadband subscribers overtake fixed broadband [June 7, 2011] (“in the text” emphasis is mine)
Market research firm Infonetics Research today released excerpts from its latest Fixed and Mobile Subscribers market forecast report
ANALYST NOTE
“As we predicted, mobile broadband subscribers surpassed wireline broadband subscribers in 2010 (558 million vs. 500 million). Fixed-line services are not dead, though, especially with China giving a boost to the worldwide wireline broadband base with its massive fiber-based program led by the Chinese government, which has set a 20Mbps benchmark for all broadband subscribers, where most today receive 2Mbps to 3Mbps at best,” notes Stéphane Téral, Infonetics Research’s principal analyst for mobile infrastructure.
FIXED AND MOBILE SUBSCRIBERS MARKET HIGHLIGHTS
- Infonetics forecasts the number of mobile phone subscribers to grow to 6.4 billion in 2015 (the current global population is 6.9 billion)
- In 2010, Asia Pacific accounted for nearly half of all mobile subscribers
- The number of cellular mobile broadband subscribers jumped almost 60% in 2010 to 558 million worldwide and should top 2 billion by 2015
- Access lines (residential, business, and wholesale PSTN, POTS, and ISDN connections) are forecast to continue declining, falling to 759 million worldwide by 2015
- As access lines disappear, new forms of wireline broadband continue to thrive; the number of wireline broadband subscribers (DSL, cable, PON, Ethernet FTTH, FTTB+LAN) hit 500 million worldwide in 2010
- WiMAX, in high demand in many regions with inadequate wired infrastructure, remains modest in scale but not growth: despite the global recession, the number of WiMAX subscribers grew 75% in 2010, with more strong growth ahead, reaching 126 million in 2015
- The number of VoIP subscribers (including VoIP over access lines and over other broadband lines, such as cable) is forecast to grow from 157 million in 2010 to 264 million in 2015
- While growth in the number of video subscribers is being challenged by over-the-top (OTT) and free-to-air services, telco IPTV subscribers are forecast to triple between 2010 and 2015, and digital and satellite cable subscribers will see healthy annual growth as analog cable video subscribers continue their inevitable decline
REPORT SYNOPSIS
Infonetics’ report provides worldwide and regional market size and forecasts through 2015 for access lines and fixed and mobile subscribers, including cable broadband, DSL, PON and Ethernet FTTH, residential and SOHO VoIP, telco IPTV, cable video, satellite video, mobile (GSM, W-CDMA, TD-SCDMA, cdmaOne, CDMA2000), cellular mobile broadband (W-CDMA/HSPA, CDMA2000/EV-DO, LTE, WiMAX, phone-based, PC-based), WiMAX (802.16m, 802.16e, 802.16d), and IMS subscribers. See report prospectus for details.
The report includes customizable pivot charts and analysis comparing subscriber types, regional service provider subscriber highlights, fundamental drivers of the market, technology developments, excerpts from Infonetics’ service provider capex reports, and analysis of overall market conditions for service providers, enterprises, subscribers, and the global economy.
Apple to go to an Intel foundry?
Apple chip roadmap hints A5 iPhone 5, A6 iPad 3 [June 3, 2011]:
Gwennap anticipates Apple may have to think different in future. That’s because Apple should match industry trends in order to create a quad-core A6 processor next year.
…
Processor manufacturing is currently conducted by Samsung. But, with Apple and Samsung’s mobile division involved in an increasingly bitter courtroom dispute, it seems unlikely this relationship will continue forever. This must be why Apple is working with Taiwan Semiconductor Manufacturing to bring that firm online as processor maker.
There’s another option too, and highly-placed executives at that firm seem willing to dance with Apple. Apple “helps shape” Intel’s road map, according to Intel SVP Tom Kilroy. And Intel CEO, Paul Otellini has observed that money from mobile processor design is “mostly going to the foundry guys”.
…
The notion that Intel may begin manufacturing ARM-based processors seems highly counter-intuitive…but the foundry market is set to be worth in excess of $50 billion by 2015, says Microprocessor Review.
High expectations on Marvell’s opportunities with China Mobile
Follow-up: First real chances for Marvell on the tablet and smartphone fronts [Aug 21 – Sept 25, 2011]
After the technical and business excellence well reflected in my previous posts Marvell seems to be on the high rise.
See my previous posts as well:
– ASUS, China Mobile and Marvell join hands in the OPhone ecosystem effort for “Blue Ocean” dominance [March 8, 2011]
– Kinoma is now the marvellous software owned by Marvell [Feb 15, 2011]
– Marvell to capitalize on BRIC market with the Moby tablet [Feb 3, 2011]
– Marvell ARMADA beats Qualcomm Snapdragon, NVIDIA Tegra and Samsung/Apple Hummingbird in the SoC market [again] [Sept 23, 2010 – Jan 17, 2011]
Update: Marvell Leads TD-SCDMA Market with Industry’s First Commercially Available Single-Chip Solution Shipping in China [June 1, 2011] (emphasis is mine)
Company showcases at Computex 2011 a suite of new smartphones, tablets and mobile hotspot devices developed for the China market powered by Marvell’s PXA920 series of high performance single-chip TD-SCDMA solutions.
…
… said Weili Dai, Marvell’s Co-Founder. “Marvell has raised the technology bar for the entire industry. We believe Marvell has delivered a quantum leap to the development and adoption of the TD-SCDMA standard. Because of this breakthrough, more than a dozen world-leading mobile OEMs are launching Marvell® PXA920 based products in China. We’re very proud to enable the next billion users of connected devices in China.”
Marvell’s industry-leading TD-SCDMA solution is designed to deliver world-class performance – 3D graphics, mobile gaming, mobile TV, and high definition video with a unified user experience across different product platforms enabled by Marvell’s beautiful and easy-to-use Kinoma® software. Additionally, the PXA920 series of products are the industry’s first TD-SCDMA solution that combines a high performance application processor and modem and enables realization of the long-standing quest for mass market smartphones priced at 1,000 RMB. This same platform is designed to support worldwide 3G and 2G standards, allowing OEMs to rapidly deploy WCDMA smartphones, tablets, and mobile hotspot devices in China and beyond.
Marvell provides a complete solution including system-on-chip (SoC) communication processors, modems, RF, PMIC, and integrated Wi-Fi/BT/FM connectivity including 1×1 and 2×2 mobile MIMO with beamforming capabilities. Marvell’s TD-SCDMA silicon and software solutions were developed at its Shanghai design center, home to approximately 1,000 engineers dedicated to the China market.
Update: The PXA920 opportunity was realized only in September 2011, two years later than the September 2009 launch. See:First real chances for Marvell on the tablet and smartphone fronts [Aug 21, 2011]
Marvell Up 11%: Street Says ‘Inflection Point’ [May 27, 2011] (emphasis is mine)
Shares of Marvell Technology Group (MRVL) are up $1.53, almost 11%, at $16.09 after the company last night missedfiscal Q1 estimates but forecast the current quarter ahead of consensus, based on an expectation for a pick-up in its wireless chip business.
Most analysts this morning are saying business has hit bottom and is on the way back up. Estimates are up all around, though there are no ratings revisions, as far as I can see, and price targets are mostly staying where they were.
…
The China Mobile (CHL) “OPhone” project for TD-SCDMA handsets could bring the company $40 million in the latter half of this year.
… in Ophone it believes it has ~80% of a 10-12M C12 TD unit oppty …
… the Q2 forecast is “a fundamental inflection point,” even though the ramp-up of wireless chips for China Mobile’s OPhone will be relatively immaterial. “We believe the company is ramping several OEMs this quarter, with one being ASUS. Previously, management indicated that it had garnered design wins for 90% of current OPhone models across eight of the top nine OEMs. The company now expects to ship to over 12 customers this year with a design win rate of ~80%.” …
With that market capitalization of Marvell went from $9.2B to $10.2B in a single day.
Marvell Technology Group’s CEO Discusses Q1 2012 Results – Earnings Call Transcript [May 26, 2011] (emphasis is mine)
Given the recent market concern surrounding our Mobile and Wireless business, I would like to take a moment to address this up front. First, I would like to stress that the mobile end market is a key area for Marvell, and we continue to invest new product development and to strengthen our infrastructure to support new customers.
As an example, we are currently supporting over 20 handset designs at new customers. In addition to our current 3G and TD offerings, our investment in advanced technologies, such as LTE, are starting to pay benefits. We are already sampling our LTE solutions at some of our key customers and believe we are well positioned to benefit when the market ramps. Although quarter-to-quarter fluctuations are hard to avoid, we believe our business at our leading customers will be sustained, and we will continue to be a significant player in this space.
Second, I want to share with you the current status of the ramp in TD products. We are winning about 80% of the TD smartphone designs on the Android and OMS platforms. Our single-chip solutions address the entire spectrum of low- to high-end TD phones, and we are firmly entrenched in the high-volume sweet spot. We believe our solutions are compelling for this market and should translate into solid growth for our TD business this year.
We remain confident that our early investment in support of the TD has been extended in China will be very beneficial to us as the majority of China’s mobile 600 million subscribers continue migrating to the smartphone market on the TD standard.
In addition, we are working with our key carrier partners and handset customers on prototypes for our next-generation TD LTE, which we’ll be sampling later this year. These new products are best in class and fully backward-compatible. We believe these investments will further distance us from our competitors in TD.
During the last quarter, we achieved a significant milestone as the first company to ship TD single-chip solutions in production volumes. We expect these revenues to more than double in the second quarter. This should provide clear evidence that our strategy in TD is successful.
Question-and-Answer Session [of the above]
…
Let me add a little bit more color about why is TD so important to China. There’s a lot of people — a lot of people in outside China are skeptical about the opportunities of TD in China. The way I look at it, I can explain it from a technical point of view. But then, I can speak until I’m tired, and nobody will care anyway. So I’m trying to, this time, answer you from a different angle, from a non-technical point of view.
As you know, Chinese have been run — the society has been run for 4,000 or 5,000 years of history. And over those history, they invented many new technologies hundreds of years before anybody else invented those technologies. Yes, okay, recently, okay, in the modern eras, in the cell phone, they were behind. But they were behind only for a few years. The TD-SCDMA industry standard was developed a few years later than the WCDMA 3G standards. So it’s natural for the WCDMAs to be ramping up in the rest of the world first.
However, China, with understanding the Chinese, already waited 5,000 years in history. Waiting for a few more years for ramping up all the majority of their cell phones to use Chinese phone standard. Okay, it’s of the highest priority for the Chinese people. So this, compared to anything else, this is more important than, let’s say, speeding up the deployment of 3G into China by using outside technology. And they’re only few years. And from then on the Chinese people will be labeled do not have any 3G technology. So the way I look at it, okay, that’s not going to happen.
What’s going to happen is that TD is beginning to be deployed in China for the Chinese people. They’re ramping up huge number of subscriber, and as I mentioned earlier, 600 million subscribers. Over time, those subscribers will all move to TD-SCDMA and TD LTE. The base stations already been deployed. More than 220,000 base station last year being deployed throughout the whole China, not just in the big cities. Everywhere, throughout the whole China. That’s more than base stations, the number of base stations in the largest area in, let’s say, in the U.S. in total. And this is just the new base station for China Mobile, and they continue to invest in new base stations this year and next year.
So you can see that the opportunities for us is great. The only thing, as Clyde said, is we need to just wait and see when the rest of the customer will ramp up. As the products get more mature, as the prices goes down, it will be natural for those design wins to continue to go into production. And the beauty is that we have 80% of design wins. So at least we don’t have to worry about, okay, when it actually ramps, it will be somebody else, not only us.
…
… there’s a 800-pound gorilla that’s out there that’s very strongly the tablet business. So every other — the vast majority of companies there working on the tablet solutions do have a challenge on trying to get the tablet market in the short term.
In the long term. In the long term, I do believe that our strength in being able to integrate the modem and the application processors will be important not just in the cell phone, in the smartphone, but also in the tablet. There are so many — because after all, the tablet — if you think about what’s in the tablet, the tablet really is a smartphone with a bigger screen. So it’s just a matter of time.
You’re asking about in the next 2 or 3 years, I do believe in the next 2 years or so when things, the dust settle down, the tablet and the smartphones really looks just the same like we have design wins like we have significantly done with in the smartphones market, but we’ll have design wins, sizeable design wins, in the tablet. For the market, they are obviously, we’ll use the type of technology, the modem technology that we developed. For this market that we don’t use our own, the modem that we don’t develop, obviously, they’ll go somewhere else.
But as I said, TD-SCDMA, we invest in TD-SCDMA, LTE, TD LTE, as well, and WCDMA. So this is at least 70%, 80% of the market of the world anyway, so that’s enough. There’s a big enough time for us to address. And so if we can address our fair share of market share for those markets, we’ll be just fine.
And so for now, for us is to invest. We have to invest in the software. We have to invest and support of the customers. We have to design new chips with more advanced technology, better and higher integrations, and make the things lower cost and so on. So the standard stuff that we do in any other businesses. So sometimes these things takes time, longer time than we expect. I understand the frustration. I also wish I could get things get done sooner, but sometimes we win some. Sometimes, we lose some, and then things get delayed. We’ll come back and recover, and then we’ll become a stronger company as a result.
Microsoft’s next step in SoC level slot management
Update: Microsoft postpones IDP for 2 weeks to re-consult with chip players [June 2, 2011]
Microsoft has postponed its Integrated Development Program (IDP) for Windows 8 as the plan created significant dissatisfaction within the upstream supply chain. Microsoft is set to re-consult with the five major chip players about IDP, while Microsoft OEM vice president Steven Guggenheimer also paid visits to executives of Acer and Asustek Computer on June 1, to communicate and is set to re-release details of IDP after two weeks, according to sources from notebook players.
…
Sources from chip players pointed out that Microsoft’s actions have their reasons, but the way the company unfolded the plan to its partners could make its partners feel unpleasant since players that do not participate believe they will lose the opportunity to launch Windows 8-based products first hand, which could seriously affect their product lineup in the future.
The chip players also noted that the development of ARM-based Windows 8 has difficulties and if Microsoft adopts an open development program as in the past, the company may not have enough manpower to support and answer all the problems and questions chip and system players have.
Following Microsoft’s CES 2011 move to the SoC level slot management of the market, here is the next step in that direction:
Taiwan PC vendors seeking participation in developing Windows 8 [May 25, 2011] (emphasis is mine)
Microsoft has talked with Nvidia, Qualcomm, Texas Instruments (TI), Intel and AMD for their participation in its Integrated Development Program specifically for developing Windows 8 for use in tablet PCs and has asked each IC vendor to invite two PC vendors for joint development and testing, according to industry sources in Taiwan. Taiwan-based PC vendors who have been in long-term partnerships with Microsoft have complained to the Ministry of Economic Affairs (MOEA) because they were not invited to participate, and hope for the government’s negotiation with Microsoft, the sources added.
For each of the five IC vendors, Microsoft seems to have desirable PC vendors such as Samsung Electronics, Hewlett-Packard (HP) and Dell, the sources indicated.
The IC vendors are actually unwilling to invite only two PC vendors because they each have many PC clients and participation of more PC vendors is commercially favorable for them. Thus, the IC vendors have urged Microsoft to invite more PC vendors, but Microsoft has so far insisted on the quota of two for the initial period, the sources said.
Wu Ming-ji, director general of the Department of Industrial Technology under MOEA, indicated the department has heard about Microsoft’s move from Taiwan-based PC vendors although Microsoft has not confirmed it.
In view of the business performance and global reputation of Taiwan-based vendors Acer, Asustek and HTC, the Taiwan government recommends that Microsoft invite them to co-develop Windows 8 in the first round because this would be in Microsoft’s best interest, Wu emphasized.
However, Wu did not indicated whether the government will negotiate with Microsoft or make any arrangement.
What happened at CES 2011 has been described in my CES 2011 presence with Microsoft moving to SoC & screen level slot management that is not understood by analysts/observers at all [Jan 7, 2011] report.
Since that report is enormously large I will include here all the relevant excerpts regarding the SoC level of slot management:
Microsoft’s CES 2011 presence is summarized in two detailed parts below, one for the System on a Chip (SoC) support announcement and the other based on the Steve Ballmer’s CES 2011 opening keynote. The first one has, however, been a source of great confusion among the company watchers, analysts and observers, therefore before we start the detailed overview in these two parts we should look into that situation first.
While the company has clearly stated that Microsoft Announces Support of System on a Chip Architectures From Intel, AMD, and ARM for Next Version of Windows [Jan 5] even such an ardent Microsoft watcher as Mary-Jo Foles interpreted this as a simple message that CES: Microsoft shows off Windows 8 on ARM [Jan 5]. No wonder that Computerworld has written an article that an Analyst ‘baffled’ by Microsoft talk of Windows 8 on ARM [Jan 6]:
…
In an accompanying analysis article IDG News Services has even up the ante by declaring that Microsoft must get ISVs onto ARM bandwagon, Microsoft has a lot of work to do moving Windows to ARM chips [Jan 6]:
…
This is all absolutely wrong. The truth is that Microsoft made a strategic decision of moving its core slot management approach to the key System on a Chip (SoC) vendors. It is a decision of enormous significance because up to now the company was managing the slots created by the PC vendors. That is Microsoft had been trying to ensure all along that the client PCs shipped to the market, the “slots” in terms of Microsoft internal way of thinking:
- Are best when they are running Microsoft system software.
- Have that software already installed when the devices are out of the factory floor (with OEM versions)
From now on Microsoft will do a kind of similar thing on the SoC level (and on the screen level as well), this is my conclusion as I carefully compiled all the available information in the two parts available below. This became absolutely obvious to me as I compared the below details with the radically new “slot situation” represented in my previous post Changing purchasing attitudes for consumer computing are leading to a new ICT paradigm [Jan 5].
Look for example how PC vendors were underrepresented in the keynote compared to what had been before (see my earlier posts: Windows slates in the coming months? Not much seen yet [July 13 – Oct 6, 2010] and Windows 7 tablets/slates with Oak Trail Atom SoC in December [Nov 1 – 24, 2010]) as well as how on the electronics industry level things had been changed recently (see my earlier posts: Marvell ARMADA beats Qualcomm Snapdragon, NVIDIA Tegra and Samsung/Apple Hummingbird in the SoC market [again] [Sept 23 –Nov 4, 2010,] and Intel’s industry position and prospects for years ahead [Dec 9, 2010]).
Notes:
– Mary-Jo Foley started to discover some, but only some real motives in her latest With Windows coming to ARM, what happens to Windows Embedded Compact? [Jan 7]. There she mused about the really significant fact of the cancellation of Microsoft OEM chief’s planned appearance at the J.P. Morgan Tech Forum at CES (see the final agenda where Microsoft is missing) which was much anticipated by the investor community.
– Although for me that sign is important as well, the fact that HTML5 related announcements (as was anticipated in my previous post of Windows 7 slates with a personal cloud based layered interface for touch-first HTML5 applications on the CES 2011 [Dec 14, 2010] post) were postponed has even much bigger significance. Whatever will come regarding that upto the MIX 2011 of April 12-14 will be equally important to clarify the rest of the new strategic Microsoft picture. Particularly I am expecting that Silverlight technologies will nicely join the already known IE9/HTML5 push in a new platform technology setup.
Part I. The SoC support announcement
Microsoft Announces Support of System on a Chip Architectures From Intel, AMD, and ARM for Next Version of Windows [Jan 5], (emphasis is mine):
Microsoft Corp. today announced at 2011 International CES that the next version of Windows will support System on a Chip (SoC) architectures, including ARM-based systems from partners NVIDIA Corp. [Tegra platform], Qualcomm Inc. [Snapdragon platform] and Texas Instruments Inc [OMAP platform]. On the x86 architecture, Intel Corporation and AMD continue their work on low-power SoC designs that fully support Windows, including support for native x86 applications. SoC architectures will fuel significant innovation across the hardware spectrum when coupled with the depth and breadth of the Windows platform.
At today’s announcement, Microsoft demonstrated the next version of Windows running on new SoC platforms from Intel running on x86 architecture and from NVIDIA, Qualcomm and Texas Instruments on ARM architecture. The technology demonstration included Windows client support across a range of scenarios, such as hardware-accelerated graphics and media playback, hardware-accelerated Web browsing with the latest Microsoft Internet Explorer, USB device support, printing and other features customers have come to expect from their computing experience. Microsoft Office running natively on ARM was also shown as a demonstration of the potential of Windows platform capabilities on ARM architecture.
SoC architectures consolidate the major components of a computing device onto a single package of silicon. This consolidation enables smaller, thinner devices while reducing the amount of power required for the device, increasing battery life and making possible always-on and always-connected functionality. With support of SoC in the next version of the Windows client, Microsoft is enabling industry partners to design and deliver the widest range of hardware ever.
Next Version of Windows Will Run on System on a Chip (SoC) Architectures from Intel, AMD and ARM [Jan 5]
(emphasis is mine) Q&A: In a technology preview at CES, Microsoft demonstrates Windows running on new SoC x86 and ARM-based systems.
The Microsoft News Center team talked with Steven Sinofsky, president of the Windows and Windows Live Division, in advance of the announcement.
Microsoft News Center: Can you give us an overview of what led you to make this announcement today and what the specific news is?
Sinofsky: We are making this announcement now to allow greater collaboration across our expanded partner ecosystem so we can bring to market the widest possible set of PCs and devices, from tablets on up, with the next generation of Windows. We’re at a point in engineering the next release of Windows where we are demonstrating our progress and bringing together an even broader set of partners required to deliver solutions to customers.
We’ve reached a point in technology where everyone really does want everything from their computing experience — the power and breadth of software for today’s laptop, the long battery life and always-on promise of a mobile phone, and the possibilities from a new generation of tablets. Bringing these capabilities together to meet customer demand requires innovation in hardware as well as a flexible, evolving software platform to bring it to life.
…
Microsoft News Center: Tell us about your partners on ARM-based systems. How were they selected and what do they bring to the table?
Sinofsky: It takes experienced partners to help deliver Windows to a whole new set of devices and we’re pleased NVIDIA, Qualcomm and Texas Instruments have joined us in this technology demonstration. We look forward to even more robust collaboration between silicon partners and a broader set of partners as we work together to bring new PCs and devices – from tablets on up – to market with the next version of Windows.
Microsoft News Center: You’ve talked about these new systems being ready for the next version of Windows. What does this mean for future hardware innovation on Windows 7?
Sinofsky: Windows 7 continues to be extraordinarily well-received by customers – consumers and businesses – using a broad selection of PCs for a wide variety of usage scenarios. There is no better place to see this array of choice and innovation than at a show like CES. At the Windows 7 launch, we saw a terrific line-up of new offerings from partners, and this CES brings another wave of great Windows 7 PCs across a wide range of form factors and capabilities, including new designs on Intel’s 2nd Generation Intel® Core™ Processor Family and AMD’s Fusion APUs. OEMs are delivering great designs and personalized selection across the wide range of PCs including convertibles, gaming rigs, all-in-ones, ultraportables, everyday laptops, and tablet PCs. We know we’ll see additional waves of hardware innovation over the next several seasons as well and we look forward to continuing to work closely with our partners.
…
Microsoft News Center: What exactly are you demonstrating today as part of this announcement with respect to Windows on ARM?
Sinofsky: Today’s demonstrations will highlight the work we have done on the architecture of Windows to enable the richness of the Windows platform to run natively on the ARM platform. That includes support across a full range of scenarios like hardware accelerated media playback, hardware accelerated Web browsing with the latest Internet Explorer, USB device support, printing, and other features customers have come to expect from their computing experience.
The underlying architecture and engineering work includes a significant set of capabilities to run natively on ARM across the low-level subsystems of Windows as we bring Windows together with this new hardware platform.
Today’s demonstration represents the first showing of the next release of Windows. We know many of our most enthusiastic supporters are interested in learning more about the user interface, programming APIs, and other new features to come in Windows. The announcement today is just the start of our dialog with a broad community around Windows and, as with Windows 7, we will be engaging in the broadest pre-release program of any operating system. So there is a lot more to come.
Microsoft News Center: What can you tell us about Office on ARM?
Sinofsky: We’re committed to making sure that Windows on SoC architectures is a rich Windows experience. Microsoft Office is an important part of customers’ PC experience and ensuring it runs natively on ARM is a natural extension of our Windows commitment to SoC architectures.
Microsoft News Center: What else can you say about the next version of Windows?
Sinofsky: What we showed today was a technology preview of how Windows can adapt to run on SoC architectures. We are making this announcement now to enable our silicon partners, including new ARM partners, to collaborate across the ecosystem to bring innovation to market with the next version of Windows. We’re hard at work on all the aspects of the next version of Windows and we’ll share more information when the time is right.
Update: Intel CEO Paul Otellini addresses Microsoft’s ARM move in the wake of record earnings announcement [Jan 13] (emphasis is mine)
The plus for Intel is that as they unify their operating systems we now have the ability for the first time, one, to have a designed-from-scratch, touch-enabled operating system for tablets that runs on Intel that we don’t have today; and, secondly, we have the ability to put our lowest-power Intel processors, running Windows 8 or the next generation of Windows, into phones, because it’s the same OS stack. And I look at that as an upside opportunity for us.
On the downside, there’s the potential, given that Office runs on these products, for some creep-up coming into the PC space. I am skeptical of that for two reasons: one, that space has a different set of power and performance requirements where Intel is exceptionally good; and secondly, users of those machines expect legacy support for software and peripherals that has to all be enabled from scratch for those devices.
Part II. The Steve Ballmer CES 2011 opening keynote and all other Microsoft related
– Footage from the Microsoft keynote with some relevant keynote transcript excerpts included
– New Windows Laptops, Tablets and Slates Showcased
– The Next Generation of Microsoft Surface – LCDs That Can ‘See’
– New Xbox Avatar Capabilities on Display
– Copy-and-Paste Coming to Windows Phone 7
– Additional details for the three PCs demonstrated in the keynote
– Other new PCs
– Hardware acceleration for cloud clients (browsers etc.): AMD Fusion APUs, NVIDIA GeForce 500M [Jan 14]
– Xbox and Surface 2 additional information
– Windows Embedded Standard 7: the first wave of OEM partners exploiting the included Windows Media Center
…
See more in my CES 2011 presence with Microsoft moving to SoC & screen level slot management that is not understood by analysts/observers at all [Jan 7, 2011] report.
Intel’s SoC strategy strengthened by 22nm Tri-Gate technology
Asustek may have difficulties achieving 2011 notebook shipment goal See also: Intel: accelerated Atom SoC roadmap down to 22nm in 2 years and a “new netbook experience” for tablet/mobile PC market [April 17, 2011]
Update 5 [Ivy-Bridge related]
Intel Schedules Core i 3000 “Ivy Bridge” Desktop Processors Launch to Q2 2012 [Nov 30, 2011]
Intel Corp. has notified its partners about its decision to introduce of its next-generation code-named Ivy Bridge processors in the second quarter of 2012. Previously the company planned to release the Core i 3000-series central processing units (CPUs) for desktops in March – April timeframe, which left a possibility to unveil the chips in the first quarter.
…
Intel has also disclosed specifications of its next-gen Ivy Bridge chips for desktops to its partners. The initial family to be released in Q2 2012 will not include Core i3-3200-series chips and will consist of Core i7-3700 and Core i5-3500/3400 families.
…
Ivy Bridge will generally inherit Sandy Bridge micro-architecture and will sport a rather significant number of improvements. Firstly, it will have certain improvements that will boost its performance in general applications by around 20% compared to Core i “Sandy Bridge” chips (e.g., enhanced AVX acceleration). Secondly, the forthcoming chip will have a new graphics core with DirectX 11 and OpenCL 1.1 support, 30% higher performance compared to the predecessor as well as new video processor and display controllers. Thirdly, Ivy Bridge will feature PCI Express 3.0 x16 interconnection as well as PCIe 2.0 x4 controller. In fourth, the processor will support a number of power management innovations.
Update 4 [Cedar Trail-M related]:
Intel to ship new netbook platform in November [18 Aug, 2011]
Intel recently adjusted the launch schedule of its next-generation
netbook platform, Cedar Trail-M, from September to November because the platform has encountered some graphics driver issues and has not yet passed certification for Windows 7, according to sources from notebook players.The Cedar Trail-M platform will include two new CPUs, 32nm-based Atom N2800 (1.86GHz) and N2600 (1.6GHz), priced at US$47 and US$42, and will replace the existing Atom N475 and N455. The CPUs will also feature an integrated GPU that supports DirectX 10.1 technology. The platform will also adopt the existing NM10 chipsets for southbridge capability.
Since netbooks are no longer a mainstream product in the IT market, while AMD also has a similar-level solution, Intel’s delay of Cedar Trail-M will not affect notebook players much, the sources added.
In addition to the netbook platform, Intel’s new CPUs, Atom D2700 (US$52) and D2500 (US$42), for nettops will also be delayed to November.
Update 3 [CULV related]:
Intel’s CEO Discusses Q2 2011 Results – Earnings Call Transcript Q&A [July 20, 2011]
Uche Orji – UBS Investment Bank
Let me just ask you about Ultrabooks. Sean was quoted at the Computex as saying that this should be about 40% of the consumer mix by the end of next year. If one were to go back and compare this to CULV from a couple of years ago, what makes you more confident that this will achieve this level of success? Do you enjoy the form factor? I think CULV also had performance issues. So if you can talk about the level of confidence you have with Ultrabooks, and how you see that ramping from now until next year to get to that 40%?
Paul Otellini
Well, as I look at this, I don’t think that the Ultrabook strategy is anywhere near equal to the CULV strategy as you call it. That was really a kind of a point product. It was focused on form factor. We didn’t really put a lot of engineering into it with our customers, and we didn’t look at other features. If you will, it’s kind of a trial run in hindsight is the way I would look at it. The Ultrabook project is much more akin to Centrino. It’s a very holistic approach to moving the entire market to a different kind of form factor, not just in terms of its thinness, but in terms of the feature set. I talked about always on, always connected. So the machine is always aware of the networks around it. I talk about instant on, instant boot capability. We talked about building in integral touch into it, another feature set. So this is as much about the features around the skin, or inside the skin, as the shape of the skin. And as we look at this with our customers, we also see that there’s a great deal of engineering that has to be done. Because one thing we know is that today, these feature sets cost more money. But we don’t think that PC prices are going to go up over time. So what we have to do is work with the ecosystem to cost engineer these features for high-volume price point displacement. And that’s the only way you can achieve sort of a 40% number as Shawn predicted in that timeframe is by doing price point replacements. And then looking forward a year later, into the next generation, silicon, it gets cheaper to do it so we could penetrate more of the market.
Update 2 [MacBook Air related]:
– Asustek expects better business performance in 2H11 [Aug 17, 2011]
Asustek Computer expects its performance in the second half of 2011 to be better than that of fellow Taiwan-based companies, according to CFO David Chang.
Asustek is likely to hit record quarterly revenues in the third quarter and is optimistic about business operation in the fourth mainly due to the launch of second-generation Eee Pad Transformer tablets and ultrabook notebooks, Chang said.
Asustek aims at a 14% market share for notebooks in China, and
became the largest vendor in Eastern Europe’s notebook market in the second quarter. In addition, Asustek is poised to make forays into Latin America, especially Brazil and Mexico.Asustek expects to ship 14 million notebooks and 4.5-5 million Eee PCs in 2011, Chang indicated. Asustek shipped 11.4 million motherboards in the first half and expects to ship 22.5-23 million for the year.
– HP to pioneer launching Ultrabook-concept notebooks, say sources [July 11, 2011] “even ahead of the planned release of the UX21 Ultrabook by Asustek Computer slated for September“
– Asustek may have difficulties achieving 2011 notebook shipment goal [July 26, 2011] “of 20 million notebooks and netbooks combined … the shipments may only reach 18.5-19 million units“
– Notebook players to mass produce ultrabooks in September [July 26, 2011]
First-tier notebook players including Hewlett-Packard (HP), Acer, Asustek Computer, Dell and Lenovo are all set to launch ultrabooks in the second half of 2011 with mass production scheduled for September.
However, due to most players still suffering from low yield rates over panel production, Asustek, which already finished developing its ultrabook, is expected to become the fastest to mass produce the ultrabook, according to sources from the upstream supply chain.
For the second half of 2011, Asustek placed orders for 400,000-450,000 ultra-thin notebooks each month to its upstream component suppliers with 100,000 units being ultrabooks.
As for Acer and Dell, due to both players suffering from low panel yield rate at their partners, though the two firms plan to mass produce their ultrabook in September, the production volume and schedule may be delayed.
As for HP, although its ultrabook is rumored to be launched in August and produced by Foxconn Electronics (Hon Hai Precision Industry), the actual release time is estimated to be in the fourth quarter or early 2012.
Update: – Acer Ultrabook pushing for September launch, says paper [Aug 19, 2011]
Acer reportedly is aiming to launch its Ultrabook in September to compete against Asustek’s UX21, which is also set to appear in the month, and has been pushing its development schedule; however, because the Ultrabook has not yet entered mass production, the plan may still be changed, according to a Chinese-language Commercial Times report.
An Acer executive also pointed out that the company has already revised the internal design of its Ultrabook twice and the company will only launch 13-inch models initially, the paper added.
– Asus: Super-Thin ‘Ultrabooks’ Can Capture 50% Of Notebook Market [July 29, 2011]
“Ultrabooks may have a better market than people thought,” said Asus Chairman Jonney Shih in an interview during a rare trip to New York. Shih, who was Chief Executive of the Taiwan-based electronics giant until 2008, cites internal studies as support. The research indicates consumers are willing to pay “a little higher price” than Asus’ other laptops for ultrabooks, he said.
…
Shih declined to comment on the UX21′s price. But he was optimistic that ultrabooks would catch on — in fact, even more optimistic than Intel. When the chip giant introduced the ultrabook concept at the Taipei Computex trade show in June, its executives said the new devices could capture 40% of the global notebook market in 18 months. Shih believes that number could reach 50% though he didn’t specify a timeframe for reaching that goal beyond “eventually”.
Shih’s enthusiasm stems, in part, from Asus’ plan to expand its ultrabook selection to include other designs and prices. Future Asus ultrabooks need not be as super-thin as the UX21, Shih explained. Perhaps they will be 18 millimeters thick and come with different — likely, cheaper — processors, said Shih.
Consumers should get more information in a few weeks. Asus is targeting an on-sale date sometime this fall. Though recent reports have pointed to HP as the frontrunner to introduce an ultrabook, Shih said he believed Asus would be first. Asus, he noted, had already designed the UX21 when Intel began approaching manufacturers about making ultrabooks. That head start helped Asus land the distinction of being the first company to show an ultrabook prototype, at Computex.
– Asustek rebuts Intel forecast on low cost of Ultrabooks series [July 26, 2011]
Asustek Computer Inc (華碩), the world’s No. 5 PC brand, yesterday said its upcoming UX series Ultrabook platform would fail to carry price tags of less than US$1,000, as claimed by Intel Corp.
“Unless we use Intel Core i3 chips [the Ultrabooks will not be less than US$1,000]. The price tags will have to go beyond US$1,000 if [more advanced] i5 and i7 chips go into the notebooks,” a person familiar with UX development said.
…
Daiwa Capital Market’s analyst Calvin Huang (黃文堯) said on July 13 that Intel was merely cutting prices for its low-voltage processors to help thin and light notebooks make a comeback.
However, in Huang’s view, Intel’s help might not be enough because to make an Ultrabook, other more advanced and expensive components — such as ultrathin panels, solid-state hard drives, metal casings, high-density interconnect and polymer batteries — are required to make it comparable to the MacBook Air.
– Don’t count on ‘ultrabook,’ says Daiwa analyst [July 15, 2011]
“While some believe ultrabooks could revive notebook growth and Asustek [Computer Inc (華碩)], the first to introduce the ultrabook, should benefit, we think the ultrabook is killing notebook contract makers’ premium lines and may dilute their profit margins,” Daiwa Capital Market analyst Calvin Huang (黃文堯) said.
“We forecast zero growth for global notebook shipments for 2011 and believe the ultrabook alone may not be enough to revive notebook growth in 2012,” he said in a report dated Wednesday.
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These ultrabook notebooks are intended to compete with Apple Inc’s MacBook Air, whose worldwide shipments could easily top 600,000 units per month, the report said.
…
Daiwa said Intel was lowering the price of its low-voltage processors to make thin and light notebooks mainstream.
“In other words, Intel is cutting prices to stimulate notebook demand,” Huang wrote.
Intel’s subsidy is not enough because to make an ultrabook, other advanced and expensive components, like ultra-thin panels, solid state drives, metal casings and polymer batteries, are required to make it comparable to the MacBook Air.
Huang said these advanced components generally cost 50 to 100 percent more than mainstream components used in notebooks.
Because of this, to match the MacBook Air’s price tag, Taiwanese notebook contract makers may have to compromise and use second-grade components in the ultrabooks, which could compromise performance, he said.
The other deciding factor is that Microsoft Corp’s Windows 8 may or may not add to the overall user experience of ultrabooks, and consumers would only be able to tell when the operating system finally comes on the market late next year, Daiwa said.
– Apple Updates MacBook Air With Next Generation Processors, Thunderbolt I/O & Backlit Keyboard [press release, July 20, 2011]
Apple® today updated the MacBook Air® with next generation processors, high-speed Thunderbolt I/O technology, a backlit keyboard and Mac OS® X Lion, the world’s most advanced operating system. With up to twice the performance of the previous generation, flash storage for instant-on responsiveness and a compact design so portable you can take it everywhere,* the MacBook Air starts at $999 (US) and is available for order today and in stores tomorrow.
… The 11-inch model weighs 2.38 pounds and provides up to 5 hours of battery life, while the 13-inch weighs 2.96 pounds and provides up to 7 hours of battery life. … latest Intel Core i5 and Core i7 dual-core processors … Thunderbolt I/O technology provides expansion possibilities never before available to MacBook Air users. Through a single cable, users can connect to high performance peripherals and the new Apple Thunderbolt Display, the ultimate docking station for your Mac® notebook. Thunderbolt can easily be adapted to support legacy connections such as FireWire® and Gigabit Ethernet. … an innovative glass Multi-Touch™ trackpad … supports Lion’s new Multi-Touch gestures such as momentum scrolling, tapping or pinching your fingers to zoom in on a web page or image, and swiping left or right to turn a page or switch between full screen apps. … also features a brilliant, high resolution LED backlit display that is amazingly thin yet has the resolution of a much larger, bulkier screen.
The 1.6 GHz 11-inch MacBook Air is available in two models, one with 2GB of memory and 64GB of flash storage for a suggested retail price of $999 (US), and one with 4GB of memory and 128GB of flash storage for $1,199 (US). The 1.7 GHz 13-inch MacBook Air comes in two configurations, one with 4GB of memory and 128GB of flash storage for a suggested retail price of $1,299 (US), and one with 4GB of memory and 256GB of flash storage for $1,599 (US). Configure-to-order options and accessories include a 1.8 GHz Core i7 processor, additional flash storage, MacBook Air SuperDrive® and a USB Ethernet Adapter.
Additional technical specifications and configure-to-order options and accessories are available online at www.apple.com/macbookair.
– Mac OS X Lion Available Today From the Mac App Store [July 20, 2011]
Some of the amazing features in Lion include: new Multi-Touch® gestures; system-wide support for full screen apps; Mission Control, an innovative view of everything running on your Mac; the Mac App Store, the best place to find and explore great software, built right into the OS; Launchpad, a new home for all your apps; and a completely redesigned Mail app.
…
Additional new features in Lion include:
- Resume, which conveniently brings your apps back exactly how you left them when you restart your Mac or quit and relaunch an app;
- Auto Save, which automatically and continuously saves your documents as you work;
- Versions, which automatically records the history of your document as you create it, and gives you an easy way to browse, revert and even copy and paste from previous versions; and
- AirDrop, which finds nearby Macs and automatically sets up a peer-to-peer wireless connection to make transferring files quick and easy.
Mac OS X Lion is available as an upgrade to Mac OS X version 10.6.6 Snow Leopard® from the Mac App Store for $29.99 (US). Lion is the easiest OS X upgrade and at around 4GB, it is about the size of an HD movie from the iTunes Store®. Users who do not have broadband access at home, work or school can download Lion at Apple retail stores and later this August, Lion will be made available on a USB thumb drive through the Apple Store® (www.apple.com) for $69 (US). Mac OS X Lion Server requires Lion and is available from the Mac App Store for $49.99 (US).
– The web weighs in on iOS-like Mac OS X Lion [July 21, 2011]
iOS-inspired Multi-Touch gestures, full screen apps, Mission Control, Launchpad, autosave and a brand new Mail application are just a few of the most lauded features in the eighth major release of the Mac OS X platform.
Reviews ranged from one-line tweets from early adopters to in-depth, book-length reports covering every facet of the OS.
“Apple’s Lion Brings PCs Into Tablet Era,” said Walter S. Mossberg writing for AllThingsD. His enthusiastic tone was echoed throughout the blogosphere with only minor complaints getting any airtime.
Microbloggers praised Lion’s low price, “One perk about Lion, you buy it once, you can put it on all your machines (as long as you use the same App Store login),” and posted their initial thoughts.
– 8 Features Mac OS X Lion Borrowed from its Little Brother, iOS [July 25, 2011]
Apple is slowly but surely, making the transition from iOS or the mobile world as a whole, over to the Mac. We already know that Apple is selling more iPads than Macs, but what we did not know is that Apple is replicating the iOS experience on its Mac lineup, but that is clearly the case. Much has been said about the “post PC era” and we have seen many new features over the past few months making their way to mobile first and only Web or desktop second.
The following 8 features, or should we call them functionalities, that are built into Lion are clearly taken from the iOS experience and ported over to the Mac:
1: Multitouch Gestures
… In Lion, you can swipe between desktops using three fingers, go Back or Forward in Safari using two, and activate Mission Control using three fingers. … I am now using the Trackpad on my Macbook Air exclusively.
2: Multiple Home Screens
… the new Mission Control system behaves exactly like many mobile devices do in that you can easily swipe between active applications and work in parallel on different projects. …
3: Scrolling Method
… Basically, just like on iOS, in Lion you are dragging the content and not the scroll bar. … Personally, it has completely grown on me and now my PC is what seems foreign to me.
4: The Mail UI
… the UI, which is pretty much identical to the iPad Mail app, which is one of the best email UIs I have ever used. The new Lion Mail resembles the iPad Mail app in so many ways including the simple setup, the side by side user interface, and much more.
5: Jiggling Icons and Folders
I totally missed these features until someone on Twitter pointed them out to me. When you are in your LaunchPad in Lion, a long press on an icon will cause all the icons to jiggle (out of lack of a better word) and you can then move them around or delete them from Launchpad. You don’t need a good imagination to see that this is identical to iOS. Of course, you can also drag one icon on top of another and create a folder, again, exactly like in iOS.
6: Air Drop
Of course transferring files is not something new to computers, but Airdrop enables you to share a file with another Mac in your nearby vicinity. This is of course something we were able to do for years on mobile devices with some old school devices using Infrared and the newer phones using Bluetooth to share files. Yes, computers also have Bluetooth and can share files, but if you have used Airdrop, you must have felt that the experience very much resembled that of a mobile device sharing with another one in its proximity.
7: Full Screen Apps
I have been running Safari in full screen mode for the past few days and I can safely say, I cannot go back to the non-full screen mode. This new option of running Mac apps in full screen and certain options appearing as you hover over a certain location on the screen is yet another feature borrowed from iOS. Just think about the Photos app on your iPhone and how the pictures appear in full screen until you want the navigation options to appear and bring you back to the album or onto the next picture. Not convinced? Check out the Reader option in Safari on iOS5. That is exactly the same as full screen on Lion minus the removal of ads, which is not something included in Lion’s full screen mode.
8: No Wire Download
Maybe this one should be first on the list, but when have we ever seen a computer’s operating system that the user can download from an app store on the current operating system? Just trying to wrap my head around the concept is starting to give me a headache. How can I download the OS as an app within the current OS and then install it over the current OS without an external disk or USB drive? Yet, Apple pulled it off and made the whole upgrade process as seamless as any upgrade I have ever done. The whole experience of the app store and downloading updates over the air is so mobile-like, and just a few days ago, Apple enabled OTA updates for iOS with iOS5 beta 4.
Update 1 (Computex-related):
– Intel paying handsomely to attract downstream vendors into launching Ultrabooks [July 4] (emphasis is mine)
Intel has recently started planning a new marketing strategy for its Ultrabook concept and has invested heavily into the related budget and resources hoping to attract first-tier notebook vendors into developing Ultrabooks, according to sources from downstream notebook players.
Due to the failure of Intel’s Consumer Ultra Low Voltage-based (CULV-based) ultra-thin notebooks in 2009, while the notebook market has been severely impacted by tablet PCs, most notebook vendors are taking a conservative attitude toward Intel’s Ultrabook concept and Intel is hoping its heavy investment will be able to attract these vendors to launch Ultrabook products, the sources noted.
Intel announced its Ultrabook concept in June with a goal of having 40% of the global consumers notebooks using its Ultrabook concept at the end of 2012. Asustek is already set to launch its first Ultrabook concept-based notebook, UX21, in September.
Although Intel is providing a significant budget to support its partners launching Ultrabooks, the Ultrabook CPUs’ rather high prices are currently still affecting downstream vendors’ willingness to adopt as vendors are still concerned whether the Ultrabook product’s prices can reach as low as US$1,000 as claimed by Intel. Although the vendors have already started testing Ultrabooks, most of them are still conservative about opening projects for production.
Currently, most of the vendors are monitoring Asustek’s performance with its UX21 and will cut into the market when the timing is appropriate.
For the Ultrabook product line, Intel has recently launched four dual-core CPUs and is set to launch a single-core Celeron 787 CPU in September and Celeron 857 in the fourth quarter to replace Celeron 847, the sources added.
– The “Ultrabook™”
(part of Intel’s Maloney Talks Mobile Growth, Industry Opportunities at Computex [May 30, 2011], emphasis is mine)
Intel’s vision is to enable a new user experience by accelerating a new class of mobile computers. These computers will marry the performance and capabilities of today’s laptops with tablet-like features and deliver a highly responsive and secure experience, in a thin, light and elegant design. The Ultrabook™ will be shaped by Moore’s Law and silicon technology in the same way they have shaped the traditional PC for the past 40 years.
[Sandy Bridge / Ivy Bridge relevance is only from 00:48 on.]
Maloney described three key phases in the company’s strategy to accelerate this vision, which begins to unfold today with the company’s latest 2nd Generation Intel® Core™ processors. This family of products will enable thin, light and beautiful designs that are less than 20mm (0.8 inch) thick, and mainstream price points under US$1,000. Systems based on these chips will be available for the 2011 winter holiday shopping season and include the UX21, ASUS* Ultrabook™. ASUS Chairman Jonney Shih joined Maloney on stage to showcase the company’s new ultra-thin laptop based on the latest 2nd Generation Intel Core processor.
“At ASUS, we are very much aligned with Intel’s vision of Ultrabook™,” said Shih. “Our customers are demanding an uncompromised computing experience in a lightweight, highly portable design that responds to their needs quickly. Transforming the PC into an ultra thin, ultra responsive device will change the way people interact with their PC.”
Building on the latest 2nd Generation Intel Core technology, Maloney outlined the next generation Intel processor family codenamed “Ivy Bridge,” which is scheduled for availability in systems in the first half of 2012. Laptops based on “Ivy Bridge” will bring improved power efficiency, smart visual performance, increased responsiveness and enhanced security. “Ivy Bridge” is the first high-volume chip based on Intel’s 22 nanometer (nm) manufacturing technology that uses a revolutionary 3-D transistor design called Tri-Gate announced in May. Maloney also highlighted complementary USB 3.0 and Thunderbolt™ technologies which are part of Intel’s ongoing work to drive the PC platform forward.
Following “Ivy Bridge,” planned 2013 products codenamed “Haswell” are the third step toward achieving the Ultrabook™ and reinventing the capabilities of the laptop in ultra thin and light, responsive and more secure designs. With “Haswell,” Intel will change the mainstream laptop thermal design point by reducing the microprocessor power to half of today’s design point.
End of the updates
Intel Reinvents Transistors Using New 3-D Structure [May 4, 2011] (emphasis in red is mine)
For the first time since the invention of silicon transistors over 50 years ago, transistors using a three-dimensional structure will be put into high-volume manufacturing. Intel will introduce a revolutionary 3-D transistor design called Tri-Gate, first disclosed by Intel in 2002, into high-volume manufacturing at the 22-nanometer (nm) node in an Intel chip codenamed “Ivy Bridge.” A nanometer is one-billionth of a meter.
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The 22nm 3-D Tri-Gate transistors provide up to 37 percent performance increase at low voltage versus Intel’s 32nm planar transistors. This incredible gain means that they are ideal for use in small handheld devices, which operate using less energy to “switch” back and forth. Alternatively, the new transistors consume less than half the power when at the same performance as 2-D planar transistors on 32nm chips.
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Just as skyscrapers let urban planners optimize available space by building upward, Intel’s 3-D Tri-Gate transistor structure provides a way to manage density. Since these fins are vertical in nature, transistors can be packed closer together, a critical component to the technological and economic benefits of Moore’s Law. For future generations, designers also have the ability to continue growing the height of the fins to get even more performance and energy-efficiency gains.
“For years we have seen limits to how small transistors can get,” said Moore. “This change in the basic structure is a truly revolutionary approach, and one that should allow Moore’s Law, and the historic pace of innovation, to continue.”
World’s First Demonstration of 22nm 3-D Tri-Gate Transistors
The 3-D Tri-Gate transistor will be implemented in the company’s upcoming manufacturing process, called the 22nm node, in reference to the size of individual transistor features. More than 6 million 22nm Tri-Gate transistors could fit in the period at the end of this sentence.
Today, Intel demonstrated the world’s first 22nm microprocessor, codenamed “Ivy Bridge,” working in a laptop, server and desktop computer. Ivy Bridge-based Intel® Core™ family processors will be the first high-volume chips to use 3-D Tri-Gate transistors. Ivy Bridge is slated for high-volume production readiness by the end of this year.
This silicon technology breakthrough will also aid in the delivery of more highly integrated Intel® Atom™ processor-based products that scale the performance, functionality and software compatibility of Intel® architecture while meeting the overall power, cost and size requirements for a range of market segment needs.
Newsroom: Intel 22nm 3-D Tri-Gate Transistor Technology, Version 29 [May 2-5, 2011]
Fact Sheets & Backgrounders
- Fact Sheet: Global Intel Manufacturing Fact Sheet(PDF 414KB)
- Presentation: Intel Announces New 22nm 3D Tri-gate Transistors(PDF 6.4MB)
- Presentation: 22nm Details(PDF 1.1MB)
- Fun Facts: How small is 22nm?(PDF 150KB)
- Backgrounder: History of the Transistor (PDF 218KB)
Event Replay
Photography
Related Information on Intel.com
Video Animation: Mark Bohr Gets Small: 22nm Explained [May 4, 2011]
First Demonstrations of Intel’s 22nm 3-D Tri-Gate Transistors [May 3, 2011]
FinFETs Extend Intel’s Technology Lead [Tom R. Halfhill of the Linley Gwennap Group, May 6, 2011] (emphasis in red is mine)
Cadillac introduced tailfins to evoke high-tech style in the 1950s, but Intel’s new finned transistors are far from cosmetic. Purely functional, highly efficient, yet equally brash, these fin-shaped field-effect transistors (finFETs) are sure to be copied as widely as Cadillac’s useless appendages—and they will play a similar role in defining an era.
Intel calls finFETs “tri-gate” transistors, touting them as the first true three-dimensional devices built on planar integrated circuits. A tri-gate transistor folds a conventional planar gate into an inverted U-shaped fin that protrudes above the silicon substrate. By coating all three sides of the fin with metal, Intel builds a 3-D gate structure that has much more volume than a planar gate while still squeezing into the same horizontal space.
Tri-gate transistors can handle greater drive currents, allowing higher clock frequencies. They can switch states at a lower threshold voltage without sacrificing as much switching speed, which reduces dynamic power consumption. In addition, the thicker gate leaks less current, reducing static power. As always, chip designers can trade off these factors in various ways to achieve the best balance of performance and power consumption for the target application.
Intel will use the new transistors for both logic circuits and memory arrays in all its microprocessors built in the next-generation 22nm process, which debuts later this year. The company has demonstrated PC and server processors built with the new technology and is already shipping samples to OEMs for system design. Volume production is scheduled to begin in the fourth quarter and ramp quickly next year. And Intel isn’t hedging its bets: contrary to rumors, the new chips will use tri-gate transistors universally, abandoning planar transistors forever.
FinFETs reinforce Intel’s significant lead in chip fabrication. In addition to using new transistors, Intel is moving to the 22nm mode about two years ahead of the rest of the industry, which is only now beginning the transition to 32/28nm technology. The independent foundries serving virtually all of Intel’s competitors have no plans to use finFETs before the 14nm node—and adoption may be tentative even then. It appears that Intel has gained a head start of at least four years, much as the company achieved in 2007 by introducing high-k metal-gate (HKMG) transistors at the 45nm node. FinFETs could boost Intel’s position in the mobile and consumer markets, where it needs an edge to overcome entrenched competitors. —Tom
Multigate device – Varieties – FinFETS [wikipedia excerpt on May 10, 2011]
The term FinFET was coined by University of California, Berkeley researchers (Profs. Chenming Hu, Tsu-Jae King-Liu and Jeffrey Bokor) to describe a nonplanar, double-gate transistor built on an SOI substrate,[6] based on the earlier DELTA (single-gate) transistor design.[7]The distinguishing characteristic of the FinFET is that the conducting channel is wrapped by a thin silicon “fin”, which forms the gate of the device. The thickness of the fin (measured in the direction from source to drain) determines the effective channel length of the device.
In current usage the term FinFET has a less precise definition. Among microprocessor manufacturers, AMD, IBM, and Motorola describe their double-gate development efforts as FinFET development whereas Intel avoids using the term to describe their closely related tri-gate [1]architecture. In the technical literature, FinFET is used somewhat generically to describe any fin-based, multigate transistor architecture regardless of number of gates.
A 25-nm transistor operating on just 0.7 Volt was demonstrated in December 2002 by Taiwan Semiconductor Manufacturing Company. The “Omega FinFET” design, named after the similarity between the Greek letter “Omega” and the shape in which the gate wraps around the source/drain structure, has a gate delay of just 0.39 picosecond (ps) for the N-type transistor and 0.88 ps for the P-type.
Multigate device – Varieties – Tri-gate transistors (Intel) [wikipedia excerpt on May 10, 2011]
Tri-gate or 3-D are terms used by Intel Corporation to describe their nonplanar transistor architecture planned for use in future microprocessors. These transistors employ a single gate stacked on top of two vertical gates allowing for essentially three times the surface area for electrons to travel. Intel reports that their tri-gate transistors reduce leakage and consume far less power than current transistors. This allows up to 37% higher speed, and a power consumption at under 50% of the previous type of transistors used by Intel.[8]
Intel currently plans to release a new line of CPUs, termed Ivy Bridge, which feature tri-gate transistors. [9] Intel has been working on its tri-gate architecture since 2002, but it took until 2011 to work out mass production issues. The new style of transistor was described on May 5, 2011, in San Francisco.[10] Intel factories are expected to make upgrades over 2011 and 2012 to be able to manufacture the Ivy Bridge CPUs.[11] As well as being used in Intel’s Ivy Bridge chips for desktop PCs the new transistors will also be used in Intel’s Atom chips for low powered devices.[10]
In the technical literature, the term tri-gate is sometimes used generically to denote any multigate FET with three effective gates or channels.
Intel(‘s) Take(s) On Tablets & Other Mobility Devices [May 6, 2011]
Part of being an Intel Advisor is getting insights and information directly from inside Intel. This month’s conference call with Intel and other Intel Advisors was no different and we learned about a hot topic in the Tech industry – the tablet race. Leading our discussion was Mark Miller, director of outbound marketing from Intel’s Netbook and Tablet team. Not only did we learn Mark’s take on tablets and other mobility devices, but also he explained Intel’s vision to take ON tablets and these devices and move the space forward.
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Miller breaks down the “Mobility” category into 3 segments: Netbooks, Tablets and a new third category which they are simply calling a “Hybrid Device.”
Exploring the Categories
What’s below is obviously not an exhaustive discussion of these categories, as the specs, features, ideas and concepts are still being decided on and written. But the Advisor briefing definitely got the gears spinning.
Netbooks
… there still is demand, especially for an even lower price point…the magic number of $199 for a netbook targeted towards emerging markets, schools & education or even as a second PC. But users might not be waiting simply for a lower price, they want better performance from the CPU and more powerful graphics capabilities. To accomplish this, Intel will be introducing a new Atom processor, code named “Cedar Trail” which is expected to be released in the second half of 2011. Core to this updated netbook infrastructure will be the addition of more PC-like features like Wi-Di or PC sync. I saw Wi-Di (“Wireless Display”) in action at a couple of shows; it’s an impressive way to share multimedia content from a computer to a big screen TV. Simply start playing a movie, for example, on a Wi-Di enabled computer and then with an appropriately configured TV, your media starts streaming. It’s very similar to Apple’s AirPlay.
Tablets
… In April of this year, Intel introduced a new Atom processor for tablets, code name “Oak Trail” which should start hitting tablets in May. Most of Intel’s efforts has been around Windows 7-based tablets but there are definitely efforts underway to handle other mobile OSes like Android.
… Miller acknowledges that Intel is a bit behind the game in the tablet race. However, they do seem to also have a differentiating vision, in my opinion. With Apple, it’s pretty much one size fits all, meaning the experience is focused more around the device and less around a particular user’s use case. I think that this is fine for Apple, as this is where they want to be, providing an elegant and easy to use, but controlled environment. Intel believes, however, that tablets should be as individual as you are, meaning that you should be able to customize and tailor a tablet to better fit a given user. With the iPad, IT is the center as opposed to the person using it being the center. This concept actually is even more appropriate for the 3rd category below.
Intel will be working to make the processor technology within tablets faster, while designing their chipsets to use less power and be smaller, thus allowing for thinner tablets. Some benchmarks outlined by Miller was getting below 8mm in thickness (e.g., “thinness”) and having 10 hours active battery life with 30 days of standby – pretty much a good standard. If they can pull this off running a mobility version of Windows 7, that would be impressive.
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“Hybrid Device”
This next category is really the intriguing one and represents a merging of the best features and technology available to netbooks and tablets. There are already devices like this in the market, in fact, Microsoft had supported this type of computer many years before the iPad even came out. We have seen swivel-display computer from Fujitsu, for example, that had a screen that pivots to cover a keyboard. This “hybrid” style is exactly something that Intel believes is worth investing in. Think about coupling a touch screen display (e.g., a tablet) with a keyboard (e.g., a clamshell or netbook) and you have this hybrid device. The Dell Inspiron Duois a current example of this type of form-factor.
However, Miller believes that there is much more to be done with this form-factor and the underlying OS and software driving it. Without offering many details, he did say they will be ultra thin with low power consumption, which seems to be a common thread on all new consumer electronics devices coming out these days. But what was presented was the idea of this device really meeting multiple yet individual needs. For example, you could have it so that if when you are using the keyboard and are at work, you would use Windows 7 as the OS, but when you went home and move more to a tablet-appropriate environment, the OS might shift to Android. Also, as kids are growing up using these devices much the same way we used pen and paper, there could be appropriate “user environments” within this hybrid device to satisfy their needs.
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So What’s Next?
12 to 18 months ago, tablets didn’t exist (although there are plenty of people who will disagree with this statement). So, to qualify that a bit more, I would say the modern, consumer-friendly tablet didn’t exist. In another 12-18 months, the tablets (like the iPad) that we know and love currently will be long gone and replaced with devices that are more powerful, thinner, multi-function with batteries that last 20 hours of active use, and capable of powering full entertainment systems and replace computers. Well, I could be dreaming a bit.
Oh, and one more thing…on Wednesday, Intel introduced a new design to their transistor chip. Called “Tri-Gate,” this revolutionary 3-D designclearly shows Intel’s innovation at work. While the concept of this design has been discussed for several years, Intel is the first manufacturer to move this design into production. It provides not only performance improvements, but also allows for power reduction within 22nm-based devices that include the categories mentioned above.
Above you can see an illustration of the 32nm transistor (on the left) compared to the new 22nm (on the right). The yellow dots represent how the current flows. The 32nm illustrates current flowing along a plane while the 22nm shows it flowing on 3 sides of a vertical fin.
But back to the tablet race, Apple seems to have the lead…for now. But as companies regroup and look to improve, I’m expecting some pretty innovative products coming out. I think with Intel working to drive the innovation from within, providing more powerful and smaller chipsets to power these emerging tablets, we are just beginning to see a really exciting market develop and emerge.
ASUS, China Mobile and Marvell join hands in the OPhone ecosystem effort for “Blue Ocean” dominance
Follow-up: First real chances for Marvell on the tablet and smartphone fronts [Aug 21 – Sept 25, 2011]
Information about China Mobile’s related efforts on this blog:
– OPhone OS (OMS) 2.0 based on Android 2.1 [July 5 — Dec 13, 2010]
– 3.9G TD-LTE rollout in 2012 with integrated 2G, 3G and 4G? [July 19 — Dec 14, 2010]
– Could China close the gap in mobile Internet? It should! [July 21 — Oct 21, 2010]
– IMT-Advanced (4G) for the next-generations of interactive mobile services, China is triumphant [Oct 24 — Nov 24, 2010]
– Cloud Computing Strategy for Digital China: Taiwan is leading the way except IOT [Nov 8 — Dec 30, 2010]
– Marvell beaten by Chinese chipmakers in sub 1,000 yuan handset procurement tender of China Mobile [Nov 15, 2010]
Follow-up: High expectations on Marvell’s opportunities with China Mobile [May 28, 2011]
Marvell and ASUS Team Up to Enable Mass Market Availability of TD-SCDMA Smartphones [Marvell press release, Feb 23, 2011] (emphasis is mine):
Marvell … today announced that ASUS has chosen Marvell as a strategic partner to launch a new series of TD-SCDMA (Time Division-Synchronous Code Division Multiple Access) smartphones in China. ASUS‘ new T10 and T20 series smartphones are powered by Marvell(R) PXA920 platform, the first commercially available single-chip solution which supports China Mobile’s latest version of OPhone OMS system. … delivers gigahertz speed, dynamic multimedia for mobile TV, live video, gaming and many exciting new applications, all to be unified by Marvell’s beautiful and easy-to-use Kinoma(R) software experience.
In fact there were additional three devices, T25, T60 and T Pad, as well. See the following Forbes blog article (and even more below, or a very detailed event report with plenty of photos in Chinese, or look at an English translation by Google):
Asus Brings Five Android [rather OPhone OMS, see later] Devices To China In Bid For Billions Of New Customers [Feb 23, 2011] (emphasis is mine)
On Thursday afternoon in Beijing, Asus plans to announce a wide-ranging partnership with China Mobile that will make four Asus smartphones and one tablet available to the carrier’s millions of customers.
The deal is the cornerstone of Asus’ newest strategy to boost its mobile devices business. Though Asus is widely known for its computer parts, laptops and netbooks, it remains a bit player in the global cellphone and smartphone markets.
The company hopes a tie-up with China Mobile, which is both China’s largest wireless operator and the world’s biggest carrier by subscribers, will raise its mobile profile. “China will be our biggest mobile market,” said Benson Lin, Asus’ head of mobile devices, in an interview. “China is very important to our future.”
The partnership will be something of a gamble for Asus. China Mobile, like all Chinese carriers, uses a unique technology standard (TD-SCDMA) for its 3G cellular network. That means the phones Asus is providing to China Mobile — known as T10, T20, T25 and T60 — can’t be offered to any other operator.
Lin said the potential is worth the risk. He declined to share specific sales goals, but noted that China Mobile currently has nearly 590 million subscribers. Capturing 10% or even just 5% of that audience is “still a huge number,” he said.
Though all handset makers are interested in China, many are waiting for the country to upgrade its networks to the 4G technology LTE, said Lin. Asus believes it will benefit from forging a relationship with China Mobile now, when other phone vendors “aren’t paying attention,” added Lin. Europe is currently Asus’ largest mobile market, but Asus anticipates China will replace it soon.
The opportunity has pushed Asus to customize its “T” series of phones to Chinese tastes. Instead of automatically connecting to Google for browsing, the devices will link to the popular Chinese search engine Baidu. And instead of Facebook, they will access the Chinese social network RenRen.
…
All of the T phones run on the 2.0 version of China Mobile’s Ophone operating system, which is a variant of Google’s mobile platform, Android [not a variant since it has a Linux core and another user interface, as the most different aspects, but compatible with Android through source code reuse – see much below]. They also utilize special processors from California-based chipmaker Marvell. The design, which combines a CPU and modem on a single chip, is more affordable, efficient and compact than systems that use two chips, said Lin.
…
Developing the T phones took a year and a half of intense development at Asus’ Taipei campus, said Lin. Asus already has some phones in the Chinese market, but they are at a smaller carrier, China Unicom, which uses a different 3G standard called WCDMA.
Asustek to sell new line of smartphones through China Mobile [Feb 25, 2011] (emphasis is mine)
Designed specially for the TD-SCDMA network in China, this chip [the PXA 920] will help bring down the cost, size, and power consumption of Chinese mobile devices, Asustek said in a statement by email.
“The information technology industry is turning from personal computing to cloud computing, and mobile phones are expected to become the most important cloud computing devices due to a wide range of applications,” Asustek chairman Jonney Shih said in the statement.
This type of industry collaboration [with China Mobile and Marvell] represents a shift in Asustek’s strategy for its smartphone line. Last October, Asustek, which had been selling smartphones under the Garmin-Asus brand since early 2009, said it would not introduce any more co-branded handset models.
Media reports estimate that China Mobile will purchase a total of 12.2 million TD-SCDMA-based handsets this year. This includes 4 million phones designed for entertainment use, 3.2 million multi-media smartphones, 3.2 million entry and mid-level smartphones, 1.5 million high-end connected devices, and 300,000 dual-network phones.
ASUS Four New TD-SCDMA Smartphones in China [Feb 27. 2011]
The ASUS T10, T20, T25 and T60 smartphones are powered by an 806MHz Marvell PXA920 processor and known as the world’s first single chip supporting TD-SCDMA. These new handsets are utilizing a Marvell Avastar 88W8787 chip for enabling Wi-Fi 802.11b/g/n, Bluetooth 3.0, and FM radio.
ASUS T10 smartphone has a 3.2-inch resistive touchscreen display with resolution of 320 x 480 (HVGA), 5-megapixel autofocus camera, front-facing camera for video calls, 512MB RAM, 512MB ROM, MicroSD card slot, and GPS.
The ASUS T20 similar the T10 handset, but it has 3.2-inch capacitive touchscreen display, TV tuner, CMMB and a more powerful battery. The Asus T25 comes with a 3.5-inch display, while the Asus T60 feature a 4-inch display.
Beside that, ASUS has also showcased the fifth handset that sports a 4-inch screen and support 4G TD-LTE network. All five smartphones are running on OPhone OS 2.0 which modified version of Android 2.1.
Marvell PXA920 Mass Market Smartphone Communication Platforms [Feb 17, 2011] (emphasis is mine)
The Marvell® PXA920 communication platform [also called Pantheon platform elsewhere, see the same Pantheon Platform Brief [Feb 17, 2011] as well] is an advanced, highly integrated 3G platform for multimedia-centric handsets. The PXA920 platform solutions incorporate the performance of Marvell’s mobile application processor with Marvell’s mature and proven 3.5G technology to provide low-cost Linux™ and Android™ handset platforms. The combination of Marvell’s advanced, high-performance, low-power application processor technology with Time Division Synchronous Code Division Multiple Access (TD-SCDMA)/High Speed Downlink and Uplink Packet Access (HSxPA)/Enhanced Data for GSM Environment (EDGE) communication support for next-generation cellular services enable breakthrough end-user experiences for imaging, HD video, music, games, and other popular handset applications.
With Marvell’s 3G technology, seamless wireless connectivity, application processing, and support for next generation cellular data services — the new PXA920-powered smartphones offer exceptional performance for browsing, instant live video, access to personal music, 3D gaming, and other popular handset applications at attractive price points. The PXA920 supports Android and other major mobile operating systems (OS).
Tri-core, Shared Memory Hardware Architecture
- Dedicated Modem and Applications Processor Cores
– Modem RISC Core: Marvell-designed ARM9 [their pre-Sheeva core] with packet processing accelerators and L1/L2 caches
– Modem DSP Core: Micro-Signal Architecture VLIW DSP core with L1/L2 caches
– Marvell [Applications] CPU Technology with ARMv5 core [Sheeva PJ1 core, which is the less performant synthesizable Sheeva core, see: Marvell ARMADA beats Qualcomm Snapdragon, NVIDIA Tegra and Samsung/Apple Hummingbird in the SoC market [again] [Sept 23, 2010]] supports up to 806 MHz operation (1130 DMIPS)- Shared External Memory Interface
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Multimedia (video, 3D, audio, imaging, display)
- Video Playback 720p at 30 fps for H.264, WMV, MPEG-4, H.263; Video Capture D1 at 30 fps for H.264, WMV, MPEG-4, H.263
- 3D Graphics capability up to 10Mtriangle/s sustained and 20Mtriangle/s at 50% cull rate; Integrated 2D accelerator; Supports industry standard APIs.
- Marvell’s unique Audio Accelerator Subsystem offers low power audio playback via audio streaming
- Image Sensor support for primary and secondary smart image sensors with MIPI CSI-2 and parallel interfaces; Supports one MIPI-CSI2 serial interface
- LCD Controller supports parallel LCD displays over an 8/16/18-bit parallel smart panel interface or a 16/18/24bit parallel active matrix interface with sync signals; Primary/secondary display supports up to 4 simultaneous overlays with base + rotation scaling
All details about Marvell’s System-on-a-Chip (SoC) products and related strategies on this blog:
– Marvell ARMADA beats Qualcomm Snapdragon, NVIDIA Tegra and Samsung/Apple Hummingbird in the SoC market [again] [Sept 23, 2010 — Jan 17, 2011]
– Marvell ARMADA with sun readable and unbreakable Pixel Qi screen, and target [mass] manufacturing cost of $75 [Nov 4, 2010 — Jan 11, 2011]
– Marvell beaten by Chinese chipmakers in sub 1,000 yuan handset procurement tender of China Mobile [Nov 15, 2010]
– Marvell to capitalize on BRIC market with the Moby tablet [Feb 3, 2011]
– Kinoma is now the marvellous software owned by Marvell [Feb 15, 2011]
Blue Ocean Strategy [Wikipedia] (emphasis is mine, see also: What is Blue Ocean Strategy? Ten Key Points) ![]()
Blue Ocean Strategy is a business strategy book first published in 2005 and written by W. Chan Kim and Renée Mauborgne of The Blue Ocean Strategy Institute at INSEAD. The book illustrates what the authors believe is the high growth and profits an organization can generate by creating new demand in an uncontested market space, or a “Blue Ocean”, than by competing head-to-head with other suppliers for known customers in an existing industry.
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Unlike the “Red Ocean Strategy”, the conventional approach to business of beating competition derived from the military organization, the “Blue Ocean Strategy” tries to align innovation with utility, price and cost positions. The book mocks at the phenomena of conventional choice between product/service differentiation and lower cost, but rather suggests that both differentiation and lower costs are achievable simultaneously.
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The authors criticize Michael Porter‘s idea that successful businesses are either low-cost providers or niche-players. Instead, they propose finding value that crosses conventional market segmentation and offering value and lower cost. Educator Charles W. L. Hill proposed this idea in 1988 and claimed that Porter’s model was flawed because differentiation can be a means for firms to achieve low cost. He proposed that a combination of differentiation and low cost might be necessary for firms to achieve a sustainable competitive advantage.
China Mobile 2010 Interim Results [Aug 19, 2010]
China Seeks Blue Ocean Dominance in Mobile Internet [Borqs company news, Jan 8, 2011]
China Mobile is striving for blue ocean dominance in China’s mobile Internet, during which, the launching of OPhone has become an important milestone. At a recent conference, Xi Guohua, Vice Minister of Industry and Information Technology of China, recognized the development and achievements of OPhone over the past two years since its birth, and expressed his wish for introducing OPhone to the global market.
… the mobile Internet is the largest breakthrough innovation in the communication industry in the 21st century. Those who have dominated any blue ocean of the industry will obtain the greatest benefits and lasting advantages. The strategy and development of the mobile Internet is essential to China if the country wants to win an appropriate industry position and take the power to reshuffle the communication industry.
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With the help of iPhone, China Unicom has achieved great market performance in a very short time. However, the success of iPhone attributes more to the worship of Steve Jobs by millions of Apple fans than to the product innovation of Apple. … China Unicom has no say on iPhone and has not entered into any cooperation in technology during the cooperation with Apple. Therefore, in my view, a great risk may sneak in the success of iPhone since China Unicom rests its market on a single product from its partner. This is almost against the “Blue Ocean Strategy” of the mobile Internet industry.
Quite differently, China Mobile has avoided this dependency relation wisely. Based on Android, an international advanced operating system, it develops a technical platform within its control, further cooperates with upstream and downstream vendors, and creates a global system featuring complete industrial chain with its advantage of leading position in user base. That is the origin and development strategy of OPhone.
Talking about OPhone, Mr. Li Yue, new President & CEO of China Mobile, defines the company’s short-term strategy as “Giving priority and building quality in par with competitors”. This strategy reveals the correct attitude and understanding of China Mobile in terms of the development of OPhone: The exclusive support policy used in China before shall be thoroughly abandoned to help OPhone become a powerful weapon for controlling mobile Internet. With priority given, OPhone must be built with the same and even higher quality than its competitors. OPhone, from its version 1.0 to 2.0, is reported to undergo an extensive rage of development and test in the aspects of web data processing, multimedia performance, graphic/entertainment performance, and full-range service processing. For China Mobile, whether mobile Internet is the “last ocean” in the communication industry remains unclear. But I believe that we will never act before it’s too late.
Guided by the idea of “Giving priority and building quality in par with competitors”, OPhone is breaking the monopoly of iPhone in mobile Internet. Thus, our understanding of mobile Internet is experiencing slight changes. … mobile Internet users have no real “loyalty”: they have switched to iPhone from Blackberry today, and in future they may again switch from iPhone to OPhone. Sticking to the strategy proposed by President Li , OPhone will substitute for iPhone, and easier to use. Openness is the key to realize these two advantages. The first character “O” of “OPhone” does stand for “open”.
Other strategy related communication of relevance from the new CEO Li Yue:
– China Mobile chief not optimistic on industry’s growth [Nov 18, 2010] (emphasis is mine)
“There are some who think the increase in data usage will lead to growth, but I am not so optimistic,” Li said at the GSMA Mobile Asia Congress conference in Hong Kong yesterday.
The head of the world’s biggest phone carrier by market value said operators need to offer services that integrate well with the daily lives of consumers and businesses.
Li is adding services such as a search-engine for mobile phones and wireless payments to sustain growth at China Mobile, where he took over as chief executive this year.
– New China Mobile CEO builds bridges [Nov 17] (emphasis is mine)
There is a big opportunity for mobile operators to act as the bridge between different partners within the telecoms space and between the telco industry and others, and future revenue is to be found in penetrating the daily lives of mobile users, according to the new man at the helm of the world’s largest mobile operator, China Mobile.
“The mobile market will become the future channel for all walks of life,” said Li Yue, president and CEO of China Mobile, in his first international keynote speech since taking over at the telco in August.
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He also highlighted some of China Mobile’s new services, including the mobile reading offering launched by the telco in May. The service has attracted more than 30 million users, and now has 6 million paying customers, Li explained.
In a bid to drive mobile data services forward, China Mobile has created a platform to engage with content creators and partners, including a pool of terminals and operating systems to aid applications developers. The company believes it can create a “win-win situation” in the mobile marketplace, where all members of the value chain benefit.
China Mobile aims to be “a bridge with all suppliers… and also a hub,” said Li, adding that the telco is working on signing up more partners.
“[The mobile Internet] is changing our traditional ecology as a mobile operator,” said Li, since it has changed the way end users collaborate. And changing customer behaviour provides “a lot of opportunities” for mobile providers, he said.
Those opportunities also include vertical markets.
“[We will] try whatever possible to penetrate into all kinds of industries,” said Li. “We are the connecting bridge with all kinds of industries.”
Related development: Government Drives New Chinese Search Engine [Feb 24, 2011]
Transcript by http://www.newsy.com
BY KELSEY WAANANEN
You’re watching multisource tech video news analysis from Newsy.
If you want something done right, you have to do it yourself. That seems to be China’s approach to the Internet. State-owned news agency Xinhua and state-owned China Mobile – China’s largest phone carrier – are teaming up to run Panguso – China’s newest – and government-approved search engine.This joint venture was announced last summer – right after Google decided to pull out of China because the search giant refused to continue censoring material. A CBS report details the repercussions of Google’s departure.
“Now when users in mainland China go on to use this site, like this, they’re automatically redirected to a different site based in Hong Kong, where Google isn’t legally required to censor itself. … China’s own filter, known as the ‘Great Firewall of China’ is still at work screening out sensitive material. In fact there are concerns that China could now clamp down even harder…”
And it certainly looks like they have. In terms of just what Panguso is leaving out, PC Magazine notes…
“According to Panguso, Nobel Peace Prize Laureate Liu Xiaobo doesn’t exist. The same is true for the People’s University in Beijing, the first university founded after the 1949 communist revolution. “Dalai Lama” returns only tourism sites or state-sponsored criticism.”
But Panguso isn’t the only search engine on the market. Baidu, the current prominent search engine, accounts for more than 75 percent of web searches. But as TMCnet notes, Panguso offers a platform that Baidu doesn’t.
“…Baidu only controls about 36 percent of the mobile search market. By partnering with China Mobile, Xinhua may soon have a leg up on its competition in the mobile space.”
But a blogger for Download Squad suggests the Chinese government might have an ulterior motive — trying to get a slice of the search engine market.
“China already has a very strict policy on censoring politically-sensitive material, which Baidu strictly abides by — so unless it wants to further extend its control of information inside its borders, why would the Chinese government be interested in offering an alternative?”
According to Xinhua, the search engine will primarily focus on news for now. Xinhua will provide the news content — and China Mobile – the mobile subscriber base.
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ASUS Joins Hands with China Mobile to Launch ASUS TD Smart Phones [Borqs company news, Feb 28, 2011] (emphasis is mine)
On February 24th, ASUS held the ASUS TD Smart Phone Launch & Strategy Press Conference jointly with China Mobile and Marvell in Beijing. At this conference, the strategic cooperation of ASUS with China Mobile and Marvell has become the industry focus in addition to the launch of new TD smart phones and a TD slate.
Distinguished attendants at the conference include Mr. Wang Jianzhou, Chairman of China Mobile, Ms. Li Huidi, Chairman Assistant, Mr. Wu Wining, General Manager of Terminal Business Department of China Mobile, Mr. Huang Xiaoqing [also known as Bill Huang], President of the Research Institution of China Mobile, Mr. Shi Chongtang, ASUS President, Mr. Pat Chan, President & CEO of Borqs (accompanied by some other vice presidents of the company), and Ms. Dai Weili, President of Marvell.
Mr. Wang Jianzhou, Chairman of China Mobile, comments that China Mobile is very pleased to work with ASUS for the TD industry; since the emergence of this industry, terminal vendors have helped drive China’s TD industry. All terminals launched by ASUS at this time use OPhone OS and Marvell’s chips with significantly reduced costs, meeting the demand of China Mobile for low-price smart terminals. Also, Chairman Wang says that China Mobile will promote TD terminals this year, and purchase middle- and high-end TD terminals following its purchase of middle- and low-end TD terminals in 2010, bringing more choices to consumers.
At this conference, ASUS launches five new TD-SCDMA smart phones, including T10, T20, T25, T60 and TD-LTE, and one TD slate [TD Pad]. Based on the latest OPhone OS, these products adopt Marvell PXA 920 – the first TD-SCDMA single chip solution in the industry as core processor. TD smart phones with a single chip-based processor feature a slim body, high efficiency, and low price. By applying single chip solution into TD smart terminals, ASUS has maintained a benign partnership with Borqs and Marvell. This helps them meet the market demands for both quality but price. Furthermore, ASUS has become the first TD smart phone manufacturer applying single chip solutions in the world.
China Mobile has maintained a good share in China’s communication market and a great potential in OPhone OS system. This may be the main reason that ASUS has chosen to partner with it. As an open operating system developed by China Mobile, OPhone OS allows users to create personalized interfaces and install applications upon their demands, delivering users the operating experience of “My phone, my decisions”. By empowering mobile terminal products to deliver innovative, easy-to-use applications and enhanced experience, OPhone OS is a better choice for Chinese users.
The joining of ASUS has further expanded China’s TD camp, signifying a brand new beginning in the TD-SCDMA industry between the Mainland and Taiwan. This will promote and expand the development of the TD industry and OPhone-based terminals, also showcasing ASUS’s robust competitiveness in the Mainland market.
Borqs OPhone OS Roadmap [Feb 2011]
Greatest Shanzhai may prove to be an OS, not a handset [March 2, 2011] (emphasis is mine)
OMS is based on the Linux Kernel, and uses Android source code and integrated Java application framework to provide a complete software platform for application developers and users. … OMS is the first Android customization project where the developer (China Mobile and partners like Borqs) customized the entire user interface and applications of Android for a non-English language (in this case, Chinese).
… In a short span of time, China Mobile has been able to rope in the world’s leading mobile manufacturers to launch smartphones in China based on OPhone mobile OS. Motorola, LG, Philips, Dopod, Lenovo, ZTE, Samsung, and Sony are just a few of the distinguished makers of China Mobile’s OPhone range.
The extensive range of phones running the OPhone OS, based on the OMS platform, supercharged the 3G business and value added services of China Mobile. The OPhone OS, although it’s a variant of Android, doesn’t support Android Market; however, it has been tailored to include a built-in mobile app market called Mobile Market (MM), and other exclusive applications like Flying Letters, 139 Email, wireless music players and many more value-added services.
China Mobile is happy with the progress of the OPhone OS and unlike the rumors of it being shelved [see: China Mobile’s Ophone is Dead [Dec 16, 2010]], they have plans to provide new upgrades in 2011. Lu Zhihu, a deputy director at the China Mobile Research Institute, confirmed new updates at the 2010 International Mobile Internet Conference in Beijing. Version 2.5 will be out somewhere in February or March 2011 and version 3.0 later in 2011, with advanced features like voice recognition and better connectivity to mobile services.
China Mobile’s partner, Borqs, has already rolled out an international version of OPhone, which has been used by Dell and will run on AT&T. China Mobile has also established an industry alliance, the OPhone Innovation Alliance, to encourage developers and manufacturers to the OMS platform and OPhone OS. Rumor has it that China Mobile now want to show more convergence with Papa Android and they are planning to bring support for Android Market and many Android features into future releases to attract more users.
Important and quite illustrative information about the significant user interface improvements in 2.0 version:
Mobile OPhone2.0 design documents Exposure: compatible Android2.1_China Mobile China Mobile G3 / TD-SCDMA [June 4, 2010]
All other details about Ophone (OMS) on this blog:
OPhone OS (OMS) 2.0 based on Android 2.1 [July 5 — Dec 13, 2010]
Asustek announces 4 TD-SCDMA smartphones [Digitimes, Feb 24, 2011] (emphasis is mine)
… and the Taiwan-based company noted that it will participate in telecom carrier China Mobile’s open bid for TD-SCDMA handsets in February with result announcement scheduled for April.
The smartphone launch marks Asustek’s first foray into the TD-SCDMA segment. The devices include the T10, T20, T25 and T60. At the press event, the company also showcased a TD-LTE smartphone, and indicated it plans to incorporate TD-SCDMA modules in its tablet PC for China Mobile networks.
Asustek’s TD-SCDMA line is based on the Marvell 920 chip. The T10 is Ophone OS 2.0 enabled.
AsusTek Announces New Handsets, Partnership with China Mobile [Feb 25, 2011] (emphasis is mine)
Taiwan’s AsusTek Computer Inc announced a strategic partnership with China Mobile in Beijing on Feb. 24 while unveiling several customized products for the Chinese telecom operator.
At a press conference, AsusTek launched five smartphones and one tablet computer, using the Chinese time division-synchronous code division multiple access (TD-SCDMA) standard for mobile communication, with China Mobile chairman Wang Jianzhou attending the event.
This is the first time that Wang has taken part in such a product launch, which market observers viewed as a move by China Mobile to show the importance of its cooperation with AsusTek.
Wang’s presence was also seen as a positive sign for the Taiwan company, which made a bid with three of its models — the T20, T25 and T60 — in response to China Mobile’s announcement on Feb. 23 that it wanted to place orders for 12.2 million smartphones.
While China Mobile is not expected to announce its decision on suppliers until April, Wang said that the company plans to purchase more high-end smartphones to offer better options to its customers using third-generation (3G) mobile services.
Meanwhile, Benson Lin, general manager of AsusTek’s hand-held devices business, said that the company’s T-10 smartphone will make its debut on the market in March.
China Mobile to procure over 10 million TD-SCDMA handsets [March 2, 2011] (emphasis is mine)
China Mobile will announce suppliers in the second quarter, with large shipments slated for the second half of 2011, the sources indicated.
China Mobile had previously placed more emphasis on low-end smartphones since international handset vendors lacked higher end devices supporting the TD-SCDMA platform. Smartphones represent less than 20% of China Mobile’s revenues versus 40% for China Unicom and more than 20% for China Telecom, according to the sources.
Since China Mobile plans to procure higher-end TD-SCDMA handsets this time, both international and China-based vendors will see orders, unlike last round of procurement when China-based companies dominated the mainstream segment.
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Both Taiwan’s HTC and Asustek Computer have already formed strategic alliances with China Mobile, the makers said, adding that the two companies should receive orders as long as their pricing and specifications match the procurement criteria.
Marvell Technology Group’s CEO [dr. Sehat Sutardja] Discusses Q4 2011 Results – Earnings Call Transcript [Seeking Alpha, March 3, 2011] (emphasis is mine):
Last year, we introduced the PXA920 [see: Marvell Drives $99 Smartphones to Market With New Pantheon Platform [Feb 12, 2010] and Marvell Empowers Mass Market TD-SCDMA OPhones with PXA920 Chipset [Sept 8, 2009]]. 920 is a single-chip solution enabling mass-market availability of high-end TD smartphone markets specifically to the China market. These solutions that we provide includes a modem, application processor, management and RF devices. We are the first and only suppliers in the world with the complete high-performance TD smartphone solution for this market.
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At the Mobile Congress last month, we announced the follow-on of the 920 device. The 978 [PXA978] device is a single-chip solution of TD-SCDMA but now is combined with rigorous performance and advanced 3D graphics and 1080p multimedia, as well as the traditional 3G UMTS release [indiscernible] solution to address the requirements of the rest of the world. With these new solutions, cellphone OEMs will now no longer need to design separate development platforms to accommodate different wireless standards for the rest of the world and China. And they will be able to target markets around the world saving at the same time in development cost.
Now hopefully, you can see how our TD platform strategy unfolding. The 920 introduced last year initially targeted TD high-end and as well as medium-end smartphones. However, over time, as we reduce cost of the silicon, the wafers that used to build the 920, this platform will quickly transition to low-end and high-volume smartphones replacing the feature phones, which is the sweet spot market for many of the smartphones in this market. While the 978 will emerge as the new high-end TD-SCDMA phone, as well as high-end global phone.
… At Mobile World Congress, we, Marvell, introduced Kinoma, a software platform that is dedicated to dramatically transform the consumer interactions with electronic devices. Kinoma is a new foundation for creating and delivering fast, simple user experience for a wide range of devices and offers an experience and solution that is truly integrated of silicon to applications, creating new opportunities for OEMs and manufacturers.
…. Last year, when they [China Mobile] introduced the first-generation OPhones, the first-generation OPhones were selling for $300, $400, even $500, U.S. dollars. … In contrast, today, the 920 devices … are high-end smartphones targeted for prices the range of $100 to $150 smartphones. So now, we just need to figure out. The time will tell what will be the difference in the volumes of the TD smartphones when it’s priced between $100 to $150 versus when it was priced at $300 to $500.
Update: The PXA920 opportunity was realized only in September 2011, two years later than the September 2009 launch. See:First real chances for Marvell on the tablet and smartphone fronts [Aug 21, 2011]
ARM at MWC 2011 with Marvell – Kinoma [Feb 25, 2011]
All details about Kinoma on this blog:
Kinoma is now the marvellous software owned by Marvell [Feb 15, 2011]
Marvell Announces First ‘World Phone’ Single Chip Solution: 3G TD-SCDMA Baseband Combining High Performance 1.2 GHz Application Processor with Advanced 3D Graphics and 1080p Multimedia [Feb 14, 2011] (emphasis is mine)
Marvell (Nasdaq: MRVL), a worldwide leader in integrated silicon solutions, continues to build on its heritage of mobile communications innovations with the announcement of its world phone platform based on the Marvell® PXA978 communications processor with Marvell HSPA modem. Marvell’s PXA978 is the industry’s first single-chip solution to feature 3G UMTS (Universal Mobile Telecommunications System) and China’s TD-SCDMA (Time Division Synchronous Code Division Multiple Access) standard with HSPA (High-Speed Packet Access) support and is intended to enable mobile developers to design 3G cellular devices and tablets that can be used and supported globally.
“… It’s truly amazing that a tiny chip like the PXA978 integrates both 3G and TD-SCDMA basebands, a powerful application processor, all advanced 3D graphics capability, with a very low-power profile and affordable cost structure ideal for mobile devices, such as smartphones and tablets,” said Weili Dai, Marvell’s Co-Founder. “With the addition of Kinoma‘s elegant and intuitive software experience and integration of cutting-edge mobile technologies, Marvell has enabled the entire ecosystem – in both its depth and breadth – to convert conventional cell phones into multi-functional mobile gadgets ideal for gaming, video chatting, live news, and more. This small device has the potential to make a huge impact on our world. I envision that a true world phone will transform the global economy by lowering the cost and barriers to entry for billions more consumers and innovators.”
Unlike current technology on the market, the Marvell world phone development platform is the world’s first and only available solution of its kind featuring R7 3G UMTS and TD-SCDMA with HSPA. Additionally, the platform will feature the industry’s first Mobile MIMO, Avastar(TM) 88W8797, an 802.11n 2×2 dual-band Wi-Fi SoC designed to support high data rates for next-generation mobile devices.
Original equipment manufacturers (OEMs) no longer need to design separate development platforms to accommodate different wireless standards and target markets around the world, saving months of design time and cost. Instead, they can focus on creating a wide portfolio of 3G UMTS supported phones that can be used globally with other UMTS carriers worldwide – all based on a single development platform.
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Marvell’s PXA978 single chip solution uses advanced 40nm process technology and is designed to deliver 3G TD-SCDMA baseband combining high performance 1.2 GHz application processor with advanced 3D graphics and 1080p multimedia, ensuring a feature-rich, fast and exceptionally smooth user experience. Additionally, the processor’s extremely high power efficiency and true multitasking capabilities is intended to enable OEMs to design mobile devices that represent a significant leap beyond today’s most advanced smartphone and tablet devices. The platform will support all leading OS platforms.
Marvell to capitalize on BRIC market with the Moby tablet
Follow-up: First real chances for Marvell on the tablet and smartphone fronts [Aug 21 – Sept 25, 2011]
Brazil, Russia (sort of), India, and China (BRIC) are the current leading lights for most of the businesses looking for high growth markets in 2011. This is not different for the ICT industry either. See more about that in the “Analysts about the BRIC market potential” part of this post far below. This will also be showing how promising is the new BRIC-oriented end-customer strategy of Marvell.
If one knows very little or nothing about Marvell it is recommended first to read my preceding post Marvell ARMADA beats Qualcomm Snapdragon, NVIDIA Tegra and Samsung/Apple Hummingbird in the SoC market [again] [Sept 23, 2010 with updates upto Jan 17, 2011].
Follow-up: High expectations on Marvell’s opportunities with China Mobile [May 28, 2011]
No wonder that Marvell has started to implement one of its long-range end-customer strategies, the so called Moby (see above and/or click) first in India then in other parts of the BRIC. As PC World (IDG News) reported in its Tablets Using Marvell’s Moby Design in India Soon [Jan 27] article (emphasis is mine):
Tablet computers built to Marvell’s Moby reference design should launch in India in the first half of this year, an executive of the company said on Thursday.
The chip company is partnering in India with consumer electronics vendors, mobile handset makers, and mobile service providers who will be offering the product under their own brands, said Anand Ramamoorthy, Marvell’s country head of sales and marketing in India, on Thursday. He did not disclose the names of the partners.
Marvell announced in March last year a US$99 prototype for a multimedia tablet targeted at education.
The basic configuration in India is likely to be priced closer to 10,000 rupees ($216) because of the high import duties and the cost of distribution in the country, Ramamoorthy said. In emerging markets, there isn’t a model whereby hardware costs are subsidized by service contracts, he added.
India and China will be the first among emerging markets where the tablets will ship, with plans to also introduce the products in Latin America and Eastern Europe.
As emerging markets are price-sensitive, Marvell’s strategy is to position a low-cost configuration as a volume product.
In India, the company is expecting its partners to deliver for 10,000 rupees a 7-inch tablet with a capacitive LCD screen, that will be built around the Armada 168 processor at 800 MHz, and offer 720p video and Wi-Fi connectivity. It will run the Android operating system and other open source software, Ramamoorthy said.
The actual price in these markets will depend on partners and their business and margin models, Ramamoorthy said. Some partners may decide to offer high-end, more expensive devices as well, he added.
Marvell will have two primary manufacturers globally, including Foxconn. Partners selling the tablets will however be free to choose manufacturers from a pool of Marvell’s manufacturing partners, Ramamoorthy said.
Follow-up: Kinoma is now the marvellous software owned by Marvell [Feb 15]
Marvell’s current on-line press kit [Jan 9] contains the following documentation and images related to the Moby design:
– Mobylize Prototype – It’s Time to Mobylize for America’s Students! [Fast Facts, Jan 3]
– Marvell Showcases Moby Tablet and Extensive Line of Other Advanced Connected Devices for the Always-On Lifestyle at International CTIA Wireless 2010 [CTIA Press Release, March 23, 2010]
– Marvell Drives Education Revolution with $99 All-in-One Mobile Tablet Designed for the World’s Students [Press Release, March 18, 2010]

Marvell Moby White Vertical: students screen
In the latest Jan 3 Fast Facts (linked above) the following prototype features and technical specifications are given:
Moby Prototype Features
• Future-Proof Learning: Mobylize leverages the powerful and open Android OS platform to ensure an open and growing ecosystem of learning technologies
• Multi-Sensory Interaction: Mobylize’s touchscreen interface, as well as video and audio capabilities, creates a highly interactive and engaging learning experience.
• Always-On Technology: With 802.11 b/g wireless connectivity and web browsing with Adobe® Flash® Lite 3.1, students can learn seamlessly with online and offline technologies in today’s always-on environment.
• Multimedia Education: Integrated multi-media player, photo viewer, instant messaging and more drive learning potential exponentially beyond the classic textbook.
• Drives Green Classroom: Marvell technology provides high energy-efficiency that energizes hours of learning.TECHNICAL SPECIFICATIONS
• ARMADA 168 (1 GHz), WMMXTM multi-media acceleration engine
• 256MB DDR2 RAM
• Android OS
• 2D graphics engine, WMMX, QdeoTM intelligent color, remapping technology
• 10.1” TFT LCD display, 1024 x 600 resolution, Capacitive touch panel
• 4GB NAND flash, Micro-SD up to 16GB
• Two stereo speakers (1W each), built-in microphone
• USB 2.0 (x1 host, 1x device) • Micro SD card, MIC and Ear phone jack, 12V DC-in
• 802.11 b/g connectivity
• 2800mAh; 7.4 volts battery
Note however that in the press release of last March (also linked above in PDF form) the higher ARMADA™ 600 class processor has been indicated:
About Marvell Moby Tablet
Powered by high-performance, highly scalable, and low-power Marvell® ARMADA™ 600 series of application processors, the Moby tablet features gigahertz-class processor speed, 1080p full-HD encode and decode, intelligent power management, power-efficient Wi-Fi/Bluetooth/FM/GPS connectivity, high performance 3D graphics capability and support for multiple software standards including full Adobe Flash, Android™ and Windows Mobile. The ultra low power Moby tablet is designed for long-battery life.
as well as for the Moby MED reference design announced in another press release Marvell Drives ‘Telehealth” Revolution with Moby MED Always-On Medical Tablet [Apr 21, 2010]. Note that Moby MED devices are quite different since (as per the press release):
Healthcare-focused Tablets With Multiple Simultaneous Viewing Screens Including Video Conferencing and Live TV Allow Consumers to Manage Medical Records, Conduct Live Physician Consultations, View 3D Images and Sonograms, Collect Real-Time Data From Personal Monitoring Devices, Access Information From Online Sources, and More.
which is currently looking much more suitable for the developed markets.
The remark, that “Some partners may decide to offer high-end, more expensive devices as well” could — however — point to the fact that even for the education market Marvell partners could use a higher end tablet offering as well, at least as an alternative. This could also explain why a Moby2 prototype design is already existing as evidenced by the image gallery shown above.
On CES 2011 the ARMADA 168 based Moby prototype has also been called Marvell 100 series tablet [Jan 6, 2011].
[CES 2011] Marvell’s foray into the tablet market sees this rather cute and well designed model, the 100 series. Unlike other tablets that are in the market, this one comes with Android 2.2 (instead of 2.1), while sporting a rather young, all-white design with all the lines in the right places. A microSD memory card slot is there for expansion purposes, and you won’t get multi-touch support on the 10” display which is a bummer, so forget about zooming in or out in Angry Birds. There is 1GB of internal memory inside, while Wi-Fi connectivity is supported although 3G will not be present when it hits the market sometime this year for $199 a pop [with $99 manufacturing cost — see in the below video]. Of course, as with Marvell’s OLPC project, the 100 series will target the educational environment more. It is pretty heavy, but it won’t weigh a ton like most textbooks. Looks hardy enough to stand up to the rigors of restless kids, too! Interestingly enough, being an Android-powered device, it has more than the usual 4 buttons of Home, Menu, Back and Search, but will include the “Up” and “Down” buttons, too.
while the more performant one which is based on ARMADA 600 is also called 600 series accordingly. More information:
– Marvell 600 series tablet has interesting implications [6 Jan]
– Marvell 600 Tablet Series Graphics Performance Demo at CES 2011 [Jan 24]
– and the video Mobylize Tablet on ABC News: Good to Know [Jan 10, 2011]
Note while watching the video that the LCD screen used in the tablet has wide viewing angle.
The title of the above is mentioning “Mobylize” instead of “Moby”. This is a typical confusion. The truth is that Mobylize is:
a campaign aimed at improving technology adoption in America’s classrooms
which was announced with the One Laptop per Child and Marvell Join Forces to Redefine Tablet Computing for Students Around the World [May 27, 2010] by which:
Marvell and OLPC Empower Education Industry to Revolutionize the Classroom Experience through Advanced, Affordably-Priced Tablets
and which was extensively discussed in my post Marvell ARMADA with sun readable and unbreakable Pixel Qi screen, and target [mass] manufacturing cost of $75 [Nov 4, 2010].
The campaign (http://www.mobylize.org/) has a Tablet Demos page which absolutely clarifies the education tablet offering as:
7″ Tablet with a 7″ TFT LCD display of 800 x 480 resolution, Bluetooth 2.1 and with form, size and weight as shown below:
10″ Tablet with a 10.1″ TFT LCD display of 1024 x 600 resolution and with form, size and weight as shown below:
with the rest of the specifications the same, i.e.
– Processor: ARMADA 168 (1 GHz), WMMX™ multi-media acceleration engine
– Memory: 256MB DDR2 RAM
– OS: Android
– Graphics/Video: 2D graphics engine, Various format video decode up to 720p through S/W, Qdeo™ intelligent color remapping technology
– Display: with resistive touch panel
– Storage: 4GB NAND flash, Micro-SD up to 16GB
– Audio: Built-in microphone, Two stereo speakers
– Sensors: Accelerometer [s ?for 10″ one?]
– Ports: USB 2.0 (x1 host, 1x device), 2-in-1 card reader, MIC and Ear phone jack, 12V DC-in
– Connectivity: 802.11 b/g
– Battery: 2200mAh; ~8 hour use
– Example Features: Complete web browsing experience with Adobe® Flash® Lite 3.1, Multi-media player, Photo viewer, Instant messaging
Currently the Mobylize Development Kit with the 10″ version is available for pre-order from Aluratek for $299. Till Feb 28 there is CES Promotion with 20% off. It is shipping April 15th. Aluratek will introduce a similar 10″ product of its own in February, called Cinepad, which is ensuring Moby tablets availability in the US as well:
– CES 2011: Aluratek Announces Libre Air eBook Reader with Wi-Fi and
New Cinepad Android Tablet [Jan 6]
– Aluratek Cinepad & Libre Coming In April [VIDEO] [Jan 13]
– CES 2011 – Aluratek Cinepad [Jan 10]
– The Year of the Tablet [Jan 18]
Within Mobilize there was also an app competition (see: Marvell to Fund Next Generation Education Apps [Sept 27, 2010]) with recent results as per Marvell Announces Winners of Its ‘$100K Challenge’ Tablet App Competition [Jan 6]:
The winner of the $50,000 top prize is the application Battleship Numberline, a multitouch educational game that helps strengthen math skills. “Improving your ability to estimate along a number line correlates with math performance all the way up to 6th grade,” said lead developer Derek Lomas, a 29-year-old Ph.D. student at the Human-Computer Interaction Institute at Carnegie Mellon University. “Marvell is doing great things for the future of education by seeding a development community for educational apps.”
The winner of the second-place prize of $30,000 is the application Imagine Mathematics, which illuminates math disciplines like algebra, trigonometry and calculus by taking students behind the scenes and showing them how these disciplines are used in the creation of animated movies from studios like Disney and Pixar. The creator of the app is 36-year-old Seth Piezas, a former technical director at Pixar Animation Studios who now runs his own interactive agency, Colabi.
“I want high school students to see the practical applications of math and the cool things they can create,” said Piezas. “The tablet computer really is an amazing platform for the classroom. I just wish I had something like it when I was a kid.”
The third-place prize of $20,000 goes to Homework Management System, an application that allows students to create quiz questions based on what they have learned in the classroom, which teachers then can distribute to other students for quiz-show style gaming or for homework assignments.
More information:
Marvell ARMADA beats Qualcomm Snapdragon, NVIDIA Tegra and Samsung/Apple Hummingbird in the SoC market [again] [Sept 23, 2010 with updates up to Jan 17, 2011] with all SoC product information including background
Marvell ARMADA with sun readable and unbreakable Pixel Qi screen, and target [mass] manufacturing cost of $75 [Nov 4, 2010]
Marvell beaten by Chinese chipmakers in sub 1,000 yuan handset procurement tender of China Mobile [Nov 15, 2010]
Analysts about the BRIC market potential
In recent Forrester report (see the Forrester: Global Tech Economy Will Substantially Outgrow The Overall GDP In 2011 [Feb 2] press release copy since on the Forrester’ site it is not more available) the #1 prediction is that:
The Tech economy will substantially outgrow the overall GDP.
with the following details:
The global technology industry is in a multiyear up-cycle of industry innovation and growth, during which tech investment grows faster than overall economic growth. This cycle, which is already under way in the US and other developed countries, is based on adoption of a new generation of Smart Computing and Cloud Computing technologies. We expect this cycle to ensure 7.5% growth in US IT purchases, and 7.1% growth globally (measured in USD), despite economic worries in Europe, uncertainties about the strength of economic recovery in the US, and the potential for slowing growth in China.
… in 2011, Brazil, Russia (sort of), India, and China (BRIC) will see some of the fastest (11%) growth in IT purchases in 2011, with other emerging markets such as South Africa, Saudi Arabia, Indonesia, Chile, and Mexico seeing similarly strong growth.
The 2011 Accenture Consumer Electronics Products and Services Usage Report which came out under the title “Finding Growth: The Emergence of a New Consumer Computing Paradigm” [Jan 3] has some very significant survey results regarding the BRIC market (in text empasis is mine):
[p. 4, Executive Summary part] A widening enthusiasm gap
The urban consumers in Brazil, Russia, India and China (the BRIC markets) have leapfrogged the average mature market consumer in their use of technology. They have a much greater appetite for consumer technology from many measures, including the devices they own, their purchase plans and their use of applications. Counter to common misperceptions, a large segment of BRIC consumers are more interested in the newest and most innovative technologies than in the lower price point technologies with less functionality. BRIC market consumers have a higher rate of adoption of the newest technologies and a greater willingness to pay premiums for features and enhancements. For instance, a full 84 percent of Indian respondents say they will pay a premium for enhanced smartphone capabilities. That translates into roughly 148 million consumers.
In the BRIC markets, in particular, prospects are bullish for spending on consumer electronics in 2011. This is especially true in China, where this year’s purchasing plans for technologies such as smartphones and high-definition TVs are staggering. Assuming China has an estimated 167 million urban households and an estimated urban population of 434 million people in the consuming age, 38 million high-definition TVs and 63 million smartphones will be purchased there in 2011.
In contrast, mature markets are more conservative and price sensitive. Consumers in the US, Japan, Germany and France have less ambitious plans to purchase new devices in 2011, use fewer applications overall, and are far less willing to pay premiums for new features and enhancements. And, while consumers 55 years or older in mature markets tend to have higher disposable income (and therefore greater ability to spend on technology), they more often wish to spend as little as possible to keep up on the technology adoption curve. In contrast, younger consumers in BRIC markets demonstrate a huge appetite for electronics, but like millennials around the globe, they are often harder to please, less loyal and have less disposable income to spend.
…
A new consumer technology paradigm
…
Another benchmark of the new technology paradigm is that as new technologies emerge, consumers are increasingly quick to stop using particular devices if they feel they have the same functionality in another device that performs the same function better—especially in BRIC markets. Twelve percent of consumers surveyed in the BRIC markets stopped using mobile phones in 2010 because they had another device with the same functionality. This compares with only five percent of consumers in mature markets who jettisoned their mobile phones. And, in both mature and emerging markets, younger people appear to be far more willing to let go of duplicative devices.
…
[p. 5] In summary, in the fast-changing consumer electronics industry, exploiting big growth opportunities is becoming increasingly difficult. Our research helps consumer tech companies with this challenge by offering information on the hottest current and emerging geographic, product and application markets for consumer technology. For instance, the highest spending in 2011 (and we believe for years to come) is projected to be in urban and semiurban BRIC markets. Demand for mobile applications such as banking continues on a strong growth trajectory. And new technologies (such as tablet PCs and e-book readers) and next-generation technologies (such as smartphones, 3-D and Internet-capable TVs) are projecting substantial growth.
…
[p. 13] Interestingly, one-quarter of respondents globally don’t plan to purchase any consumer technologies in 2011. More than one-third (37 percent) of those 55 and older don’t plan any purchases, compared with only 15 percent of those between 18 and 24 years of age. And a stark contrast in purchasing plans exists between mature and BRIC markets: 40 percent of respondents in mature markets don’t plan to purchase any consumer electronics in 2011, compared with only 9 percent of those in the BRIC markets.
…
[p. 16] Our study shows that BRIC markets have far greater enthusiasm for technologies and appetite for purchasing them than non-BRIC countries, especially the latest devices such as tablet PCs. One could infer that the lower use of computers in BRIC countries is an indication that these consumers are finding alternate devices to do those activities formerly done on the computer—and may, in fact, have simply leapfrogged the step of owning a computer that those in mature markets had to take because at the time there were no other options.
…
[p. 24] When reviewing information on “heavy users” of activities—those who do the activity at least five hours per week—interesting patterns emerge. For instance, among millennials in the BRIC markets who are heavy watchers of shows and videos, a larger share (44 percent) watch them on a PC or laptop than on a television (chosen by 30 percent).
… Of those who don’t own an e-book reader, more than half said that it is because they prefer paper books. But 20 percent said they preferred other electronic devices than an e-book reader
for reading books, such as a phone, PC or tablet PC. In emerging markets, the percentage of respondents who prefer other electronic media for e-book reading is much higher: 34 percent in BRIC markets versus 7 percent for mature-market countries.…
[p. 34] The tablet PC: The hot consumer electronic
The tablet PC is gaining market momentum. One need only look at the millions of sales of iPads and Galaxy Tab tablet computers since they were each launched in 2010 to know that this device is rapidly becoming popular among consumers.
According to Accenture’s research, 8 percent of consumers surveyed now own a tablet PC and about one-third of those individuals (3 percent total) purchased their tablet PC in 2010 (Figure 21). Eight percent of respondents globally plan to purchase a tablet PC in 2011—a purchase rate that would double tablet PC ownership globally in just one year.
BRIC market consumers are more enthusiastic purchasers of tablet PCs than are mature-market consumers. More than double the percentage of BRIC consumers currently own one, and double the consumers plan to buy one in 2011, than consumers in mature markets. But what is most astounding about tablet PC consumption is that nearly one-quarter of Chinese respondents (across ages within urban areas) currently own one. That is nearly three times the global average. The purchase rate in China was more than double the global average in 2010. And looking forward, China is potentially the strongest market for tablet PCs this year, with 18 percent of Chinese respondents planning to purchase one in 2011. If one does the math, tablet PC ownership would reach almost 40 percent of the urban adult population of China by 2012.
Although far behind China in consumption, India has the second-highest penetration of tablet PCs globally, with 10 percent of consumers owning one. Future growth for tablet PCs in India also looks strong: 10 percent of Indian respondents plan to purchase a tablet PC in 2011. Interestingly, Indian consumers seem less committed to the new technology than other countries. Five percent of those owning a tablet PC quit using it last year because they had the same functionality in another device (globally, the defection rate for tablet PCs was 2 percent).
ZTE Light Tab T9 ZTE Light Tab T9 

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