Global shipments of 5G-enabled smartphones are expected to reach over 250 million units in 2020, accounting for over 20% of global smartphone shipments for the year, according to Digitimes Research's latest estimation.Digitimes Research also maintains its April forecast that global smartphone shipments for 2020 will contract 15.2% to 1.15 billion units as global economic activities remain weak amid the lingering impacts of the pandemic.Shipments of 5G phones in the China market alone will total 170 million units in 2020 as Chinese handset vendors have been keen on rolling out entry-level and mid-tier 5G models to spur replacement demand in the local market.5G models will account for 52.7% of total smartphones shipped to China in 2020 and two-thirds of the total 5G phone shipments shipped worldwide in the year, Digitimes Research's figures show.Bolstered by stronger-than-expected 5G phone sales, China's smartphone shipments are likely to stay flat or fall slightly in second-half 2020 as compared to a year earlier, finishing out the year with a 10.3% decline in its smartphone shipments.5G phone shipments outside China will reach only 82.3 million units or below 10% of global smartphone shipments in 2020 as the rollouts of 5G networks in most other parts of the world have been delayed by the pandemic.Overall smartphone shipments outside China also took a hit from the virus experiencing a 25.9% on-year decline in second-quarter 2020 and are expected to come out the year with an on-year decline of 17.1%.

Hantop Intelligence Tech has developed ultrasonic machining module for CNC processing of various composite materials, according to company founder and CTO Michael Chen.Many new materials have come into use, such as SiC and GaN for automotive semiconductors, Chen said. Composite materials are increasingly used in place of traditional aluminum alloy to reduce aircraft weights and more wearable and harder materials are used to make artificial joints and dentures, he added.Conventional CNC machine tools are designed to process metallic materials, and using them to process new materials, mostly with fragile textures, will result in high friction, reducing efficiency and quality of processing, Chen noted.Ultrasonic machining technology, in addition to high-speed rotation of main axes, features reciprocation of cutting tools in a fixed direction at frequencies of 20,000-40,000 times per second to let resonance effect disperse cutting force to reduce resistance, Chen explained.The Taiwan-based firm adopts non-contact power transmission technology, similar to wireless power charging in principle, for its machines, Chen indicated.The modular design enables users to add modules onto any CNC machine tools without purchasing entire machine tools to save cost, Chen indicated.Hantop was spun off from National Chung Hsing University under sponsorship of Ministry of Science and Technology (MOST) in 2018.Hantop founder and CTO Michael ChenPhoto: Chloe Liao, Digitimes, August 2020

Taiwan makers' share of global notebook panel shipments is expected to rise further in second-half 2020 after hitting a high of 43% in the second quarter of the year, according to Digitimes Research.Taiwan's panel makers have been making headway in the notebook segment, leveraging their advantages in the manufacture of mini LED-backlit notebook panels and other models for gaming and Chromebook applications.Overall, shipments of large-size LCD panels (9-inch and above) by Taiwan-based makers (excluding Sharp) totaled 64.38 million units in second-quarter 2020, up 35% sequentially and 10.8% on year, driven by growing demand for IT devices supporting remote work, study and entertainment, Digitimes Research figures show.With stay-at-home activities becoming a new normal in the wake of the pandemic, panel demand for Chromebook devices alone will more than double on year in the second half of 2020, with Taiwanese makers being the primary suppliers.Taiwan's makers also have advantages in the manufacture of monitor panels, particularly those for gaming and curved monitor applications, with AU Optronics (AUO) alone seeing its shipments of curved monitor panels spike over 40% on year in the second quarter.AUO, which ranks second for curved monitor panel shipments globally, will benefit from the top vendor Samsung Electronics' decision to withdraw from the LCD panel market.Notebook applications as a proportion of Taiwan's large-size panel shipments will increase to 38.1% in second-half 2020 from 36.6% a year earlier; monitor panels will remain at over 20%; and TV panels will drop by 2pp.

Global shipments of servers are estimated to contract 5.6% sequentially in the third quarter of 2020 due to a deceleration in demand for cloud servers from datacenter operators and for enterprise servers, according to Digitimes Research.In second-quarter 2020, worldwide server shipments spiked 27% on quarter to 4.55 million units, driven by fulfillment of orders deferred from the first quarter and strong demand for cloud service and remote work applications amid the coronavirus pandemic.But server shipments to Microsoft, Facebook, Google and Amazon are expected to trend downward in the third quarter as their inventories still stay at high levels following strong pull-ins of shipments in the second quarter. In addition, enterprise server vendors Dell, Lenovo, Inspur and Supermicro will also see their clients in the US and China cut expenses in second-half 2020.Digitimes Research estimates global server shipments for the first three quarters of the year to grow 17% on year due to a low comparison base for the same period in 2019, though first-quarter 2020 shipments were disrupted by the outbreak in China and third-quarter demand is slowing down.As datatcenter operators and enterprise users are expected to further cut their server shipment pull-ins in the fourth quarter, overall global server shipments for 2020 are expected to grow at only 6.8% to over 16 million units.

Bracing for fresh US trade bans, Huawei is making contingency plans, increasing purchases of third-party mobile application processors for its 5G smartphones, according to Digitimes Research, as it looks to maintain its product competitiveness, stable supply and profitability. Apple, one of Huawei's major rivals in the smartphone space, is set to launch its 5G iPhones later than usual. PCB suppliers expect to see their shipments peak for the new iPhones in fourth quarter 2020. TSMC, a major foundry service supplier for Apple and many other device vendors, has offered a rosy outlook for its business in second-half 2020. TSMC's materials and equipment suppliers are set to see strong results as well. Huawei diversifying purchases of 5G APs: Huawei is increasing the proportion of mobile application processors (APs) from third-party suppliers for its smartphones, reducing use of Kirin chips from its subsidiary HiSilicon Technologies, as a contigency against the US trade ban, according to Digitimes Research.PCB shipments for new iPhones to peak in 4Q20, say sources: Taiwan's PCB makers in the supply chain for Apple devices will see their shipments for new iPhones not peak until the fourth quarter this year as Apple has confirmed its iPhone 12 lineup will debut later than normally scheduled in September, according to industry sources.Silicon wafer materials and equipment suppliers see orders pull in from TSMC: With TSMC scaling up its 7nm and 5nm chip output, related silicon wafer materials and equipment suppliers have seen significant orders from the pure-play foundry and are ramping up their shipments to fulfill the new orders.

Global shipments of AIO (all-in-one) PCs increased 28.7% sequentially to three million units in the second quarter of 2020 thanks to fulfillment of orders deferred from the first quarter by production disruptions amid the coronavirus outbreak. But AIO PC shipments are expected to see a sequential growth of only 4% in the third quarter as notebooks have become mainstream models for remote work and education applications, according to Digitimes Research.With shipments of other desktop PCs losing momentum amid economic downturns, the ratio for AIO PCs among overall shipments of desktops rose to 15% in the second quarter and is expected to advance further in the third quarter.HP saw its AIO PC shipment volume outstrip other vendors in the second quarter due partly to fulfilling the most deferred shipments and partly to replacement demand. HP and Lenovo together commanded over 50% of the global AIO PC shipments in the second quarter.HP will see a slowdown in its AIO PC sales in the third quarter, but Apple is expected to sustain its sales momentum in the quarter thanks partly to its launch of new offerings, with its shipments likely to reach the same level as HP's.Among AIO PC ODMs, Quanta Computer saw its second-quarter shipments surge 56% sequentially on drastic increases in shipments to HP and Apple, with its global market share rising to over 40%.Wistron's second-quarter shipments posted an even higher sequential increase of 80%, driven by strong momentum for shipments to HP, Acer and Lenovo.Compal Electronics witnessed second-quarter shipments expand 37% sequentially on increased orders from Lenovo and Asustek.Both Quanta and Compal are expected to register sequential growths of over 10% in third-quarter AIO PC shipments, according to Digitimes Research.

Huawei is increasing the proportion of mobile application processors (APs) from third-party suppliers for its smartphones, reducing use of Kirin chips from its subsidiary HiSilicon Technologies, as a contigency against the US trade ban, according to Digitimes Research.Multiple sourcing for mobile APs is a necessity for Huawei to maintain its product competitiveness, stable supply and profitability, and the Chinese vendors is likely to add 1-2 vendors to its supplier list for smartphone APs.While Taiwan-based MediaTek is already a third-party 5G AP supplier for Huawei, the possibility is high for the Chinese vendor to also purchase 5G APs from Qualcomm if the US chipmaker is able to obtain a US license to ship to Huawei.Huawei has ramped its purchases of MediaTek's midrange Dimensity 800 5G SoCs for the production of its Enjoy and Honor smartphones since the second quarter of 2020 and may also start buying MediaTek's high-end 5G APs in second-half 2020 and 2021.Digitimes Research has found that Qualcomm were selling more of its premium Snapdragon 865 APs than MediaTek's Dimensity 1000 chips in China in the first half of 2020 thanks to its brand and product image.Samsung Electronics and China's Unisoc Technologies could also be alternative sources of 5G APs for Huawei, but the two firms will face challenges for selling chips to the Chinese top smartphone vendor. Samsung is a strong competitor of Huawei in the global smartphone market, while Unisoc still lags other rivals in terms of technology development.Shipments of 5G phones in the China market are expected to reach over 170 million units in 2020 and will continue to grow in 2021.

The ultimate purpose of applying IoV (Internet of vehicle) to urban traffic is to maximize its efficiency, according to Thomas Stein, CEO for the Taiwan branch of Siemens Mobility.Software/hardware transportation solutions are like building blocks that are deployed around cities and connected based on various scenarios of using roads, Stein said.Because of limited physical properties, onboard sensors cannot detect abruptly appearing objects to prevent autonomous cars from hitting them, and therefore IoV devices, including those onboard and installed at fixed locations, are needed for multi-purpose detection to provide real-time warning, Stein indicated.Siemens Mobility has provided many transportation solutions for use in many countries, including ones which combine car plates rcognition with IoV, and those which use SCOOT (split cycle offset optimization technique) algorithm to quickly coordinate traffic signals to give priority to light-rail transit coaches, Stein said, adding such solutions can be used in Taiwan to provide traffic data for government reference in its decision-making.Thomas Stein, CEO of the Taiwan branch of Siemens MobilityPhoto: Shihmin Fu, Digitimes, July 2020

The 5G iPhone may be coming a few weeks later than usual because of COVID-19 impacts, but development for Apple Watch 6 reportedly has been going smoothly, with ASE Technology obtaining a major portion of the backend service orders for the new wearable devices. Pandemic-triggered stay-at-home needs are said to be decelerating, but Acer is confident that demand for Chromebooks will remain robust in the third quarter. LCD panel maker AUO, who saw its loss narrow in the second-quarter 2020, is also upbeat about its business in the third quarter.ASE reportedly grabs major SiP orders for new Apple Watch: ASE Technology has obtained major backend orders for Apple Watch Series 6 slated for launch later this year, according to industry sources.Acer to enjoy robust Chromebook sales in 3Q20: Despite a deceleration in demand from the work-from-home segment, Acer's notebook orders from the education segment, particularly those for Chromebooks, remain robust in the third quarter as educational procurements from North America, Europe, India, Indonesia and Japan are all rising rapidly, according to company chairman and CEO Jason Chen.AUO gives positive outlook for 3Q20: AU Optronics (AUO) has given a positive outlook for third-quarter 2020, citing significant improvements in its business operations and order visibility as well as a recovery of global economic activities.

Smartphone shipments to the China market more than doubled sequentially in second-quarter 2020 following a period hard hit the coronavirus pandemic earlier in the year, according to Digitimes Reseach's latest findings. But the market still faces economic uncertainties, smartphone shipments to China will shrink in the third quarter. In the semiconductor sectgor, pure-play foundry UMC has disclosed that inventory replenishment is continuing across multiple market segments in the wake of COVID-19-induced supply chain disruptions. For LCD panel maker AUO, its second-quarter finances improved, with revenues going up and loss narrowing, both sequentially, thanks to stay-at-home demand.China smartphone shipments to contract in 3Q20, says Digitimes Research: Smartphone shipments to the China market are expected to decline both sequentially and annually in the third quarter of 2020, after experiencing a robust on-quarter growth in the previous quarter, according to Digitimes Research.UMC expects flat 3Q20: Pure-play foundry United Microelectronics (UMC) expects its wafer shipments and ASPs to stay flat sequentially in the third quarter of 2020, with its capacity utilization rate remaining high at about 95%.AUO loss narrows in 2Q20: AU Optronics (AUO) has reported net loss of NT$2.96 billion (US$100.99 million) for second-quarter 2020, an improvement from net loss of NT$4.99 billion for th eprevious quarter.