Because of the sanctions imposed by the United States on Huawei, Huawei does not have its own chips, so it can only seek other chip manufacturers. It was obvious that he would not choose Qualcomm in the United States, so he finally chose MediaTek.
Currently, Huawei and MediaTek have reached an order for 21 million chips! Because of these orders, MediaTek received a large amount of funds, which put pressure on its rival Qualcomm. We need to know that in recent years, MediaTek has been getting worse day by day. It has lost its competitiveness in the global market. Qualcomm and Apple in the United States do not take MediaTek seriously at all. But now with the financial support of Huawei, MediaTek has instantly gained vitality. A Huawei's technology may not be as good as Qualcomm's, and a MediaTek's technology may not be as good as Qualcomm's, but Huawei and MediaTek's technology can definitely surpass Qualcomm in the United States. Therefore, this move makes Qualcomm very nervous.
On the other hand, because of Huawei's financial support, MediaTek has more funds to develop new chips, such as the current Dimensity series, which has strong capabilities in mid-range chips. As a result, most domestic Android phones use MediaTek chips in mid-range mobile phone chips. Qualcomm lost approximately $8 billion in orders. Therefore, Qualcomm told the US government: If sanctions against Huawei are not stopped, it will only suffer greater losses!
Let’s take a look at Huawei’s current situation. Yu Chengdong said that Huawei’s mobile phone shipments this year have reached 105 million units. To become the world's number one brand, it has surpassed Samsung. He also said that if there were no US restrictions, shipments would have surpassed Samsung's last year. At present, Huawei has actually reached a settlement fee of US$1.8 billion with Qualcomm, because Qualcomm has always wanted to do business with Huawei. If Huawei can use Qualcomm's chips after it has no chips, this move will allow Qualcomm to obtain tens of billions of dollars. profit. But we all know that Huawei chose MediaTek, which put a lot of pressure on Qualcomm.