Driver FixRecommendedSound, Wi-Fi or graphics acting up? Check drivers firstFind missing or outdated drivers fast.Check DriversOctober DealsAmazon USOctober deal check: compare before you payAmazon US: current deals, useful picks and tech finds.Check DealsPC HealthRecommendedCrashes, freezes, slowdowns? Check your PC nowSpot repairable issues before they interrupt work.Check PC×
Skip to content
The Finance Base
The Money Desk · Blog
Re:

China’s SMIC–Qualcomm 28-nm Deal: Why Now?

Qualcomm’s 2014 collaboration with SMIC paired a need for China-based manufacturing options with SMIC’s effort to mature its 28-nm process. Later milestones named the Snapdragon 410, 425 and MDM9x07.
From TheFinanceBase Team3 min to read
Special offer. See more information about Outbyte and uninstall instructions. Please review EULA and Privacy policy.

Qualcomm’s 2014 deal with SMIC gave it another China-based manufacturing option for Snapdragon chips while helping SMIC mature and expand a newly ready 28-nm process. The timing coincided with a Chinese antitrust investigation of Qualcomm, but available reporting does not establish that the probe caused the partnership.

What was the SMIC–Qualcomm deal?

On July 2, 2014, Qualcomm and Semiconductor Manufacturing International Corporation (SMIC) announced a collaboration on 28-nm process technology and wafer-manufacturing services in China. It was a foundry arrangement: SMIC would manufacture certain Qualcomm Snapdragon products, rather than launch a consumer device or a new Qualcomm chip.

The work covered two 28-nm process variants: PolySiON (PS) and high-k metal-gate (HKMG). Qualcomm said the collaboration would help accelerate SMIC’s process maturity and capacity. SMIC’s chief executive described the agreement as a milestone for the readiness and competitiveness of its 28-nm technologies.

Why did Qualcomm choose SMIC, and why then?

The announcement points to two connected business interests. SMIC had reached a stage where a major customer could help validate and load its 28-nm platform; Qualcomm gained an additional manufacturing option in China. Qualcomm also described SMIC as an important supplier and framed the arrangement as part of a regional supply-chain strategy to serve China, one of the world’s largest mobile-consumer markets.

Special offer. See more information about Outbyte and uninstall instructions. Please review EULA and Privacy policy.

In practical terms, the companies had complementary reasons to proceed: SMIC needed customer production to mature and build capacity around the process, while Qualcomm wanted local supply-chain capability for some Snapdragon products. The public announcement did not disclose a specific cost, volume commitment, or production schedule that would quantify those benefits.

Did the antitrust investigation push Qualcomm into the partnership?

China’s National Development and Reform Commission was investigating Qualcomm at the time, and Qualcomm was cooperating with the agency. EE Times reported that observers speculated the probe might encourage the company to deepen its engagement with China’s electronics industry.

Rank #2
Sale
The Psychology of Money: Timeless lessons on wealth, greed, and happiness
  • Ideal for Gifting
  • Ideal for a bookworm
  • Compact for travelling

That is context, not proof of cause. Qualcomm did not say the investigation prompted the SMIC agreement. Its public explanation was that it had collaborated with SMIC for several years and that the July 2014 announcement extended the relationship to 28-nm technology.

Which Qualcomm chips did SMIC make?

Qualcomm initially declined to identify the Snapdragon processors covered by the arrangement or say when production would start. Later company announcements supplied concrete milestones:

Special offer. See more information about Outbyte and uninstall instructions. Please review EULA and Privacy policy.
Date Product or process Reported status
July 2, 2014 Qualcomm Snapdragon products; 28-nm PS and HKMG variants Collaboration announced; exact chips and production start date not disclosed.
2015 Snapdragon 410 A later milestone release reported successful SMIC production on a 28-nm process.
June 22, 2016 Snapdragon 425 and MDM9x07 SMIC said both had passed customer qualification and begun mass production in Beijing.

SMIC said in 2016 that parallel 28-nm production in Shanghai and Beijing expanded its ability to serve Qualcomm and other global customers. These milestones show that the relationship moved beyond the initial announcement, though they do not reveal the scale of Qualcomm’s orders.

What the public record does not establish

The cited company announcements and reporting do not give a deal value, wafer volume, pricing, process yield, or Qualcomm’s share of SMIC output. They also do not establish that all Snapdragon products—or all versions of any named chip—were made at SMIC. The stated scope was some Snapdragon products, with the later releases identifying particular production and qualification milestones.

Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.Support on Ko-Fi

Why the deal matters

The agreement joined a customer’s need for regional manufacturing options with a foundry’s need to prove and scale a process technology. The later Snapdragon 410 production report and the 2016 qualification and mass-production milestone for the Snapdragon 425 and MDM9x07 show that the collaboration progressed into manufacturing. The antitrust investigation formed part of the surrounding business climate, but the evidence supports treating it as contemporaneous context—not as the demonstrated reason for the deal.

Quick Recap

SaleBestseller No. 1
SaleBestseller No. 2
The Psychology of Money: Timeless lessons on wealth, greed, and happiness
The Psychology of Money: Timeless lessons on wealth, greed, and happiness
Ideal for Gifting; Ideal for a bookworm; Compact for travelling
$10.99
SaleBestseller No. 5
I Will Teach You to Be Rich: No Guilt. No Excuses. Just a 6-Week Program That Works (Second Edition)
I Will Teach You to Be Rich: No Guilt. No Excuses. Just a 6-Week Program That Works (Second Edition)
It can be a gift option; Comes with secure packaging; Helpful in various ways
$9.15
Best Value
Sale
I Will Teach You to Be Rich: No Guilt. No Excuses. Just a 6-Week Program That Works (Second Edition)
  • It can be a gift option
  • Comes with secure packaging
  • Helpful in various ways

Product prices and availability are accurate as of the date/time indicated and are subject to change. Any price and availability information displayed on Amazon at the time of purchase will apply.

Special offer. See more information about Outbyte and uninstall instructions. Please review EULA and Privacy policy.

Leave a Reply

Your email address will not be published. Required fields are marked *

Special offer. See more information about Outbyte and uninstall instructions. Please review EULA and Privacy policy.

More post from the Money Desk

  1. The Money DeskBlogTheFinanceBase07 MAR 2625 minWhat Is a 457 Plan?
  2. The Money DeskBlogTheFinanceBase07 MAR 2621 minTime Value of Money: What It Is and How It Works
  3. The Money DeskBlogTheFinanceBase07 MAR 2627 minAre You Living in One of These Top 10 Most Expensive Cities to Retire?
Recommended PC Tool
Recommended PC Tool
PC Slower Than It Used to Be?Free scan - under a minute
Crashes, No Sound, or Screen Glitches?Free driver scan

Two free Windows tools

One Free Minute Could Fix That PC

Before you go - each of these free tools takes about a minute and tackles what quietly slows a Windows PC down.

Special offer. View Outbyte info, uninstall instructions, EULA, and Privacy Policy.