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Alibaba's Pingtouge Partners with Allwinner, Set to Ship 50 Million Chips
COVID-19 and China
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Chinese chipmaker Allwinner (300458:SZ) will develop a new computing chip based on the Xuantie CPU developed by Pingtouge, a semiconductor unit of Alibaba (BABA:NYSE). The device can be applied in various fields, including smart home and consumer electronics. The companies are planning to ship 50 million chips in 3 years. In addition, the two parties are working together on open-source processor architectures.

Headquartered in Zhuhai, Allwinner is a fabless designer of smart voice integrated circuits (ICs). 

Considering that IC plays an important rule in the Internet of Things (IoT), the local Internet giants have entered the IoT and semiconductor fields at the same time. For instance, Baidu (BIDU:NASDAQ) launched Kunlun, its first AI accelerator, in 2018.

On the one hand, the development of technology is boosting the demand for semiconductors. Meanwhile, the competition in the space is getting fiercer all the time.

Editor: Luke Sheehan

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