Huawei, hit hard by the US trade ban that is depriving it of support from various semiconductor companies, including TSMC, has slowed down its pace of orders to its handset ODMs. Huawei now stands to lose a major portion of its shares to its competitors in China's smartphone market. The handset brand is not the only Chinese firm troubled by the US trade ban. Foundry startup HSMC's fate is in limbo after its investors - reportedly with connection to China's military - suspended funding, wary of possible US sanctions. The 5G era may not have seen a flying start, thanks to the coronavirus pandemic, but optical components makers expect order momentum from the 5G sector to start picking up in fourth-quarter 2020.Huawei slows down orders to handset ODMs: Huawei has slowed down the pace of its orders to handset ODMs in China, as the impact of the latest US trade ban against the Chinese brand intensifies, according to sources at China-based handset ODMs.China foundry startup facing uncertain future: Wuhan Hongxin Semiconductor Manufacturing (HSMC), a logic IC foundry founded in late 2017, has had its available production facilities left idle with its expansion project put on hold due to financial issues, according to sources familiar with the matter.Order momentum for 5G, datacenter optical components to pick up in 4Q20: Demand for optical components from the datacenter and 5G sectors has been slow in third-quarter 2020, but order momentum may start picking up in the fourth quarter, according to industry sources.

Brogent Technologies has created a 5G cloud computing-based dynamic simulation VR gaming system and set up such a gaming facility at Kaohsiung Software Technology Park in southern Taiwan.Brogent said the system was developed with help from a 5G edge computing R&D team under government-sponsored Industrial Technology Research Institute (ITRI).The system is a light-weight 3D dynamic simulation platform equipped with high-performance computing capability to enable VR online game players to experience real-time 3D dynamic simulation by virtue of 5G high transfer speeds and low latency, in a bid to bring value-added amusement and deeper immersive feeling in gaming, Brogent said.Brogent said it has a global market share of over 85% for flying theaters at present. The company has set up nearly 40 iRide flying theaters in theme parks and sight-seeing venues around the world and is setting up another 40 with a target cumulative number of 100 for 2023.A Brogent-developed 5G cloud-based dynamic simulation VR gaming facilityPhoto: Company

FlowView Tek, a startup business spun off from Taiwan's government-sponsored Industrial Technology Research Institute (ITRI), has attracted investments from Taiwan's National Development Fund and Japan-based Sumitomo.Founded in 2017, FlowView specializes in liquid inspection solutions for applications ranging from semiconductors, energy storage to biomedical drugs. FlowView's liquid sample inspection technology is patented in Taiwan, Japan and the US.FlowView has introduced artificial intelligence (AI) into its services, using automated particle analysis technology to take liquid material detection to a whole new level, the company noted.In addition, FlowView has combined its technology and AI analysis software to provide Flow AOI services for chipmaking wet-process inspection tools. Flow AOI can be utilized for material feeding, production line and waste material inspections to enable production quality and efficiency.FlowView is eyeing a bigger presence in the semiconductor web-process inspection field, said the company, adding that it is stepping up business deployments in not only Asia but also Europe and the US.FlowView liquid nanoparticle monitoring systemPhoto: Company

The US trade sanctions against Huawei are reshaping the Chinese smartphone market. Digitimes Reseach expects weak 5G mobile AP shipments to China in fourth-quarter 2020, with Huawei standing to lose more than half of its share in China's smartphone market to its domestic competitors. But Taiwanese PCB makers still expect steady shipments to China's 5G handset sector through November 2020, dismissing rumors about Chinese clients cutting orders. And IC substrate makers are set to scale up their shipments next yea to support AiP production for 5G mmWave phones.US trade ban to impact China 5G smartphone AP shipments, says Digitimes Research: The US trade restrictions on Huawei are set to affect the overall shipments of 5G mobile APs to the Chinese market in fourth-quarter 2020, and to significant change the landscape of China's smartphone market in 2021, according to Digitimes Research.PCB makers to see steady shipments for 5G handsets till November: PCB makers will enjoy steady seasonal demand from the handset sector through November as handset makers are expected to launch more 5G devices, according to industry sources.Taiwan makers poised to scale up AiP substrate shipments in 2021: Taiwan-based IC substrate makers Unimicron, Nan Ya PCB and Kinsus Interconnect are expected to significantly scale up their AiP (antenna-in-package) substrate shipments in 2021, driven by demand for mmWave AiP modules rolled out by Qualcomm for 5G iPhones and by MediaTek for Chinese vendors, according to industry sources.

The US trade restrictions on Huawei are set to affect the overall shipments of 5G mobile APs to the Chinese market in fourth-quarter 2020, and to significant change the landscape of China's smartphone market in 2021, according to Digitimes Research.Demand for smartphone APs by Chinese handset makers is poised to reduce significantly in the fourth quarter of 2020 affecting the market share of related AP suppliers.MediaTek is expected to see its share in China's smartphone AP market drop to 23% for the second half of 2020, while Qualcomm will manage to ramp up its share to 28% during the same period, Digitimes Research estimates.Thanks to the trade ban, Huawei smartphone market share in China is expected to lose almost 30pp to its domestic rivals Oppo, Vivo and Xiaomi in 2021.Chinese chipmaker Unisoc Technologies could emerge as an alternative AP source for China's handset makers at the expense of Huawei's chipmaking arm, HiSilicon Technologies, which is also subject to the US trade ban. However, Unisoc is still lagging behind other vendors in terms of 5G technology, preventig it from becoming a major player in the mobile AP market in the short term.Although Oppo has established an R&D team to develop chips in house, the company's initial aim is to develop chips for AIoT applications instead of APs for smartphones.

Asustek Computer's AIoT Business Group showcased AI-based solutions for product quality inspection at Taipei International Industrial Automation 2020 during August 19-22, with the solutions characterized by dynamic/static inspection and use of fewer samples to train AI models.AOI (automated optical inspection) systems usually rely only on invariable logic judgment and frequently mistake defects for normal conditions or vice versa, said Tseng Li-fang, senior strategic product and partner development director at Asustek.Quality inspection and preventive maintenance are the two least smart operational processes amid manufacturing, but AI can be used to reach smart manufacturing with both automation and intelligence, Tseng indicated.Asustek's AI-based quality inspection solutions are based on responses from its 200-300 supply chain makers. Use of ears to inspect quality of cooling fans, for example, incurs high cost including training of inspectors for 3-6 months, and their services may be short, Tseng said.To address the issue, Asustek has developed an AI-based inspection model, letting AI learn how to judge quality based on sound waves of working cooling fans, Tsing noted. The AI-based model is trained using only three 30-second sound files and can reach 100% accuracy, Tseng indicated.In addition to sound wave, the technology can be applied to other physical properties such as electric current, voltage and vibration for quality inspection, and Asustek has used it in predictive and preventive maintenance of manufacturing equipment and key components, Tseng said.Asustek has also developed an AI vision-based solution for inspecting defects on surfaces. While AOI entails use of hundreds to thousands of images of sample defects in training to set up inspection basis, the Asustek solution needs only 50 of such images for modeling of inspection, Tseng noted.Beginning with pilot use by its supply chain makers, Asustek has extended application of AI-based quality inspection solutions among steel, machinery and retail industries. Asustek provides both standard and customized versions.Tseng Li-fang, senior strategic product and partner development director for Asustek Photo: Chloe Liao, Digitimes, August 2020

TSMC is set to open its R&D center for 2nm and more advanced manufacturing processes in Hsinchu in 2021, with plans to build its 2nm wafer fab nearby. TSMC has disclosed it is working closely with a major client to accelerate its 2nm R&D, but it did not name the client. Demand for USB chips has been robust, fueled by strong demand for PCs supporting stay-at-home economy in the wake of the coronavirus pandemic. In the displays market, Taiwanese LCD makers are banking on mini LED applications in their competition against the OLED camp. Innolux has just unveiled a rollable mini LED public information display.TSMC stepping up 2nm R&D for major client: TSMC is working closely with a major client to accelerate its 2nm R&D and facilitate related investment procedure, the foundry disclosed at its online technology symposium on August 25.Demand for USB chips staying robust in 3Q20: Demand for USB chips has been robust and will boost Taiwan-based IC design houses' sales by over 30% both quarterly and annually in the third quarter, according to sources from the upstream supply chain.Innolux unveils rollable AM mini LED display: LCD panel maker Innolux has unveiled a 55-inch rollable active matrix (AM) mini LED public information display (PID), which will be commercialized in first-quarter 2021.

TSMC is fast advancing its manufacturing processes. With volume production for 3nm node planned for second-half 2022, TSMC has disclosed that it has already obtained land in Hsinchu for a project to build its 2nm wafer fab. The new project will take the foundry's most advanced manufacturing capacity back to the northern Taiwanese city that houses its headquarters, but its expansions for 5nm and 3nm nodes continue at the Southern Taiwan Science Parks, where TSMC has acquired several plant buildings from other companies. In China, Chinese DRAM maker CXMT is aggressively expanding its capacity, with monthly production likely to reach 70,000 wafers by year-end 2020.TSMC to build 2nm fab in Hsinchu: TSMC plans to build its 2nm wafer fab in Hsinchu, where land has already been obtained for the facility, according to YP Chin, senior vice president for operations at the foundry house.TSMC steps up factory site expansion in southern Taiwan: TSMC has stepped up its expansion at the Southern Taiwan Science Park (STSP), having acquired several factory buildings, with the latest being a plant from an LCD panel maker.CXMT scaling up 19nm DRAM output with better yield rates: China-based DRAM chipmaker ChangXin Memory Technologies (CXMT) is scaling up its 19nm chip output with better yield rates, with the monthly production likely to top 70,000 wafers by the end of 2020, according to industry sources.

Taiwan-based Spirox and Molecular Sensoring Technology (Molsentech) have announced their joint development of a MOSFET-based COVID-19 rapid test system, which is slated for launch at the end of 2020.Based on ultra-high sensitivity biomedical detection technology, Molsentech's COVID-19 rapid test kit, including a biosensor chip and a test device, can run a rapid test with accurate result in three minutes, even in early stage infection or asymptomatic infection, according to the companies.The rapid COVID-19 test systems will kick off next-stage clinical trial at Kaohsiung Veterans General Hospital (KSVGH), and is expected to be launched by year-end 2020, the companies said.Jack Chen, chairman of Spirox, said, "The launch of COVID-19 Rapid Test System is a success of cross-domain integration of biomedicine and semiconductor industries. In addition to providing the customized test solution Molsentech needs, the relationships and channels Spirox has in the industry make it possible to connect the supply chain and overcome every obstacle Molsentech confronted while releasing this product to mass production, and make this first MOSFET-based COVID-19 rapid test system together."Molsentech CEO Chia-Jung Chu said Molsentech uses bio-FET and its ultra-high sensitivity to electric charge feature, along with surface modification and probing molecules, to provide the result by reading current signal change.Besides, there are thousands of test points on every biosensor chip, so micro sample can be tested for over thousands of times simultaneously, Chu said. By analyzing large current signal data, high accuracy test result can be provided. It will be the best solution for COVID-19 early-stage test for it can greatly reduce the time needed to conduct PCR tests, providing the same accuracy as Nucleic acid tests, Chu added.

TSMC has been devoting a lot of efforts to developing packaging technology in line with its efforts to extend the validity of Moore's Law. The foundry house's packaging technology development is expected to remain focused on SoIC and organic interposer in 2021. Its major foundry rival, Samsung, is also stepping up development of packaging technology. For Intel, Moore's Law remains an inspiration for its chip development, according to the company's chief architect Raja Koduri.TSMC packaging development to remain focused on SoIC, organic interposer in 2021: TSMC is expected to continue its advanced packaging development focus on 3D SoIC (system on integrated chips) technology and organic interposer in 2021, although it has fabricated WSE (wafer-scale engine) AI chips for Cerebras with InFo-SoW packaging process and second-generation 7nm node, according to industry sources.Samsung stepping up efforts for advanced chip packaging: Samsung is stepping up its deployments in the 3D IC packaging field, looking to compete against TSMC starting 2022 for advanced chip packaging in-house, according to industry observers.Six pillars bolstering Moore's Law: Q&A with Intel chief architect Raja Koduri: At the inaugural Architecture Day held in late 2018, a new technical group headed by Intel senior vice president and chief architect Raja Koduri first came up with six strategic pillars of technology innovation - process, architecture, memory, interconnect, security and software - for the firm's future development roadmaps. Koduri served as SVP and chief architect of the Radeon Technologies Group at AMD before joining Intel in 2017.