Highlights of the day: Can Foxconn move production out of China?

The coronavirus outbeak that has disrupted the supply chains in China has again highlighted the need for manufacturers to diversify their production bases. But it is easier said than done when it comes to moving production out of China, particularly for a company as big as Foxconn. Digitimes offers a look at Foxconn's deployments in China to shed light on the difficulties it has trying to move production out of the country. And the wake of the coronavirus pandemic, chip vendors may still be optimistic about the 5G smartphone market, but their focus is shifting towards the entry-level to mid-tier segments. In the semiconductor sector, China-based foundry SMIC is stepping efforts transitioning to 7nm processes.

Relocating capacity out of China would be mammoth task for Foxconn: The US-China trade war sent many firms rethinking their global capacity deployments. And the ongoing coronavirus outbreak that has disrupted the supply chain in China has given them more impetus to move some - if not all - of their production out the world's factory. But that is easier said than done.

SoC solution providers eyeing mid- to entry-level 5G chip segment: SoC solution providers have recently shifted their focus to promoting mid- to entry-level 5G chips as 5G-enabled smartphones with a price tag below CNY3,000 (US$429) are likely to become a major market segment, at least in China, in the next three years, according to industry sources.

SMIC gearing up for 7nm process manufacturing: Semiconductor Manufacturing International (SMIC) has moved 14nm FinFET process to volume production with orders from Huawei's chip arm HiSilicon, and is gearing up for its next-generation FinFET process manufacturing, according to sources familiar with the matter.

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