Huawei intends to equip more of its upcoming Android smartphones with chips manufactured by its subsidiary HiSilicon, according to recent reports from China. Insiders claim the Beijing-based tech giant intends to commit itself to its in-house modules to a larger degree so as to help HiSilicon rival the likes of Qualcomm and MediaTek, both of which are presently leading the mobile chip market in Asia, with the San Diego-based chipmaker also being a globally dominant force in the industry. Huawei is estimated to have shipped 70 million Android phones equipped with HiSilicon-made chips in 2017, with such devices hence amounting to approximately 45-percent of its global shipments which reached 153 million units last year. Going forward, the company is reportedly adamant to have at least every second one of its devices use its in-house silicon and continue increasing the percentage of such offerings in its portfolio on an annual basis.
The vast majority of the firm's flagship devices are already powered by HiSilicon-made Kirin chips which are also found in the most powerful handsets produced by its subsidiary Honor. Its push to adopt more of its own hardware can hence only affect its projects in the mid-range and entry-level segment of the market, with the former being more likely to begin utilizing Kirin chips in the near future. HiSilicon is already said to have been notified of the development and revised its foundry supply contracts with TSMC in order to account for the increased demand for its offerings it's now expecting to see over the course of this year. HiSilicon is presently the seventh largest mobile platform provider on the planet with annual revenues of approximately $4.7 billion, according to recent estimates.
The company's chips are expected to be found inside the P20 and P20 Plus, Huawei's next pair of Android flagships scheduled to be announced in Paris, France, on March 27. The tech giant itself remains the world's third largest smartphone vendor by shipments but its profit margins are understood to be significantly lower than those of Samsung even though it's still part of the only OEM trio that's making significant money on handset sales. HiSilicon's most powerful chip to date is the octa-core Kirin 970 which debuted inside the Mate 10 lineup late last year.