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Huawei could stop buying Qualcomm chip in 2024: Kuo

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Huawei could stop buying new Snapdragon chip from Qualcomm next year, says industry analyst Ming-Chi Kuo. The latest prediction has been made after Huawei’s Kirin processor made a comeback.

According to Kuo, Qualcomm’s 3nm demand will be lower than expected due to the change in plans by Huawei. As the company could stop sourcing Qualcomm chips. A past report suggests that the chip maker has already forecasted a tough time ahead due to a shift in the Android smartphone industry.

Kuo also said that EUV equipment maker, ASML could cut shipment forecast by 20-30% in 2024. This includes a sharp decline in the semiconductor industry. Various companies are preparing to rescale their plans for the upcoming year and so on. Therefore, the uncertainty in future products will continue to be appear.

Huawei and Qualcomm:

Huawei has been using Kirin since the very beginning. In 2019, Huawei was sanctioned by the US, and the company was unable to print Kirin chipset from chip manufacturers including TSMC and Samsung.

This led to a wide decline in Huawei’s chip arsenal. Later on, Qualcomm received permission to ship new chip products to Huawei but there was a catch. Qualcomm could only sell 4G chips to Huawei.

The Chinese company used Qualcomm chip in Nova, and its main flagship – P50, Mate 50, and P60 series. All of these are 4G only devices.

Kirin:

With the launch of the Mate 60 series, Huawei switched over to Kirin. This is a surprising return and made headlines all over the internet. What’s more important is that Huawei is not using Qualcomm in the Huawei Mate 60 series. This new Kirin chip is capable of enabling a 5G network in the phone. But Huawei has not announced any official statement on this matter.

Even with 4G, Huawei had been buying a substantial quantity of Qualcomm chip but somehow, the company may stop sourcing a large chunk of orders if not all.

(source)

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