The European Commission presented a revision of the Cybersecurity Act that introduces a phase-out of "high-risk suppliers" from critical infrastructure, targeting China-based technology groups, specifically Huawei and ZTE. The revised framework reflects mounting concern in Brussels over cyberattacks, foreign interference, and the EU's reliance on non-European technology vendors in sensitive sectors. Cyber threats have been on the rise, with officials citing a rising number of ransomware, espionage, and infrastructure attacks as part of the rationale for stronger, coordinated action across member states.

Chunghwa Telecom (CHT) signed a memorandum of understanding (MOU) on January 21, 2026, with Luxembourg-based medium Earth orbit (MEO) satellite operator SES to establish North Asia's first second-generation O3b mPower gateway in Taiwan.

Despite forecasts of a decline in sales of ICT products, including smartphones and notebooks, by 2026 due to memory supply shortages, China is introducing new purchase subsidies to sustain consumer demand. The government aims to bolster the market with trade-in incentives following policy measures implemented in early 2025.

Geopolitical uncertainty shows little sign of easing, driving continued adjustments across the global consumer electronics supply chain. In manufacturing, the industry is moving beyond simple capacity dispersion and entering a new phase marked by the geographic redistribution of engineering capabilities. Recent market reports that Google plans to relocate portions of new product introduction (NPI) work for select high-end smartphone models to Vietnam starting in 2026 have drawn close attention across the industry.

Apple, with its iPhone 17 series driving sales, has seen its monthly market share in China surge above 20%, while other major brands like Huawei, Vivo, Honor, Oppo, and Xiaomi have also delivered strong performances. However, inflation, high smartphone penetration, and extended replacement cycles contributed to a slight decline in overall smartphone shipments in China in 2025.

Asus announced on January 2, 2026, that it will not launch new smartphones in 2026, marking a strategic retreat from the mobile phone segment after more than two decades. Chairman Jonney Shih emphasized that Asus will continue to support existing smartphone users while reallocating resources toward longer-term strategic areas.

Due to memory shortages and price hikes, Chinese smartphone brands are expected to reduce their 2026 inventory by at least 10%, mainly affecting cost-sensitive mid-to-low-end models and related SoCs.

As generative AI (Gen AI) and sensing technologies mature, AI glasses are evolving from standalone wearables into a new generation of human-computer interaction interfaces. Featuring first-person perspective, scene recognition, and hands-free operation, these devices are seen as an ideal extension of smartphones with the potential to disrupt mainstream mobile hardware design.

Apple Inc., Qualcomm Inc., and MediaTek are all set to advance their smartphone system-on-chip (SoC) offerings to the 2nm process node in 2026. This coordinated move signals the three giants' determination to maintain technological leadership, even as the incremental benefits of process improvements come under scrutiny.

China's major smartphone manufacturers are revising their 2026 shipment forecasts downward amid tightening memory supply and surging prices, according to Jiemian News. Xiaomi, Oppo, Vivo, and Transsion have reportedly reduced their full-year smartphone shipment forecasts amid escalating upstream material costs that are increasingly pressuring mid- to low-end device segments, particularly those targeting overseas markets.

Leading smartphone system-on-chip (SoC) manufacturers will fully adopt the 2nm process node in 2026, a move expected to significantly increase production costs and reshape competitive dynamics beyond flagship devices.