China breaks foreign monopoly with homegrown chipset

24 Aug 2004

According to a senior official of the Ministry of Information Industry (MII), China has developed its first mobile phone chipset, removing a long-standing monopoly of foreign companies over the technology. The new 3G chipset was developed by the Shanghai branch of Spreadtrum Communications and will reduce the country’s dependence on foreign intellectual property whilst lowering the amount of property fees it will be required to pay to international vendors. Chinese cellphone makers currently pay around USD10 billion to import chipsets and local cellpohne makers Amoi, Bird, Lenovo and Hisense have reportedly already signed agreements to take delivery of the so-called ‘China chip’.