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Re: Samsung in-sourcing ModAP
docdivakar   7/21/2014 9:41:40 PM
@Junko: I want to bring up another perspective to this... Samsung will be forced to be on the forefront of mobile chips' design features including future versions like 5G, low power etc. Even if its components are internally supplied items in the BoM, cost is a real factor that will be put in perspective by Samsung's product managers!

Samsung will be forced to upgrade its R&D team with competent and productive people who can pull this off against Q... which explains the recent hiring spree for its R&D centers in Silicon Valley:


Samsung needs to do this fairly quickly if it intends to compete with Qualcomm in the LTE chipsets race!

MP Divakar

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Re: Samsung in-sourcing ModAP
junko.yoshida   7/15/2014 10:22:09 AM
@sranje, thanks for your detailed additional info! Yes, you are absolutely right, Samsung has enough of its own market share to justify developing its own modem/app processor for "mass market," as you pointed out. But you and I both know the mass market could be a vulnerable market, because others like Huawei are also going after it. If Samsung Mobile starts to lose its market share in that segment, so are Samsung's combo chip... Look no further than how Nokia lost control not only in smartphones but more specifically in mid to low-end markets.

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Samsung in-sourcing ModAP
sranje   7/14/2014 10:10:01 AM
Dear Junko,

As expected - Samsung is now ready to in-source Mid-Low end (Mainstream) mobile processors. The company stated it plans to do so more than a year ago

   -- for Premium smartphones - it will use its own stand-alone AP and purchase stand-alone BB

   -- for Mainstream it will make its own ModAP (integrated BB plus AP).

So - like Huawei, Samsung has apparently delivered on the in-sourcing objective -- to lower its cost and become more competitive with China's smartphone OEMs. What is left to see is -- are these processors meeting performance required.

However, it is difficult to understand why your sources claim that Samsung should now find additional customers for their processors - in order to achieve scale ?!  Samsung sells ~300M++ Mainstream smartphones now -- that is more than plenty of scale...


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Re: Can Apple and Intel do same?
Sheetal.Pandey   7/14/2014 4:08:14 AM
Samsung seems to be on the path of autonomy. Soon people will wonder is there anything that Samsung doesnt make. I think instead of getting into everything its nice to keep your area of business focussed. But looking at how Samsung is been expanding it can become self satisfying.

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Re: Can Apple and Intel do same?
Gondalf   7/12/2014 4:17:42 PM
I think it is the high end nature of Apple products that do not gives incentives to buy the necessary modem technology. Apple main goal is custom cpus to have a better control of its own OSs, the discrete modem is only a little piece of a puzzle sold for an insane price.

As Apple will ship in low range, yes! there isn't a single problem in asking for patents from a good communication company......or acquire the whole company :).

Apple has enough money in Ireland to purchase i.e. TSMC in a single payment.

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Re: Can Apple and Intel do same?
_hm   7/12/2014 8:33:00 AM
@Gondalf: Why not Apple? Apple can acquire ssome little guy and save in billions with one more degree of freedom.

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Re: Can Apple and Intel do same?
Gondalf   7/12/2014 5:38:48 AM
Things change fast in this world. Apple care nothing to succed in LTE modems. Intel yes, because it wants to sell SOCs and Modems in bundle or a good line of fully integrated SOCs in Q1/Q2 2015. About Samsung, it wants to be free from Qualcomm and it will in a not so distant future. Honestly Qualcomm charge a lot on its SOCs, expecially fully integrated ones. I think that in a couple of years ALL major contenders will have their own SOCs for phones; Qualcomm SOC market share obviously will drop quickly with large gains for Mediatek and Rockchip in medium brand segment. In modem only market IMO Qualcomm will stay at the top with Intel at the second place.......still all depends on prices, as Intel will shift the modems on a in house process the whole thing will change.

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Can Apple and Intel do same?
_hm   7/11/2014 6:16:24 PM
Qualcomm has too big a market share. Alongwith desire of Samsung, can Intel and Apple be interested in this?

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