Apple's iPhone has recently seen a slowdown in its market momentum, while the third-largest smartphone manufacturer in mainland China continues to push for increased shipments this quarter, aiming to overtake Apple. Huawei's mobile chip factory, HiSilicon, is working closely with its parent company to boost chip self-sufficiency. Recently, it has expanded orders at TSMC, Yanpin, and KYEC, giving a much-needed boost to Taiwan's semiconductor industry during a slow season. According to industry sources, HiSilicon has been the most active mobile chip supplier in the first quarter. The main reason behind Huawei's rapid push toward chip self-sufficiency—increasing from 30% last year to 70% this year—is due to the growing demand for its smartphones. Compared to Apple’s recent struggles, Huawei has stepped in, playing a crucial role in the electronics sector during Apple’s low season. Huawei aims to sell over 130 million smartphones this year, with an annual growth rate of more than 20%. With a 70% self-sufficiency rate for mobile chips this year, HiSilicon must supply over 90 million wafers to Huawei. Although HiSilicon hasn't officially announced its chip sales targets for the year, it has already expanded its orders at TSMC, showing full commitment to supporting Huawei's growth. Last year, HiSilicon became the first TSMC supplier to adopt the 16-nm FinFET process, including its flagship chip series and Netcom processors. Its rear-end packaging is outsourced to subcontractors, with testing handled by KYEC. Both packaging and testing facilities have shown strong performance, even during the off-season. They have also actively expanded capacity for HiSilicon, delivering products during the Spring Festival. It is expected that revenue will see significant growth starting from March, with TSMC being one of the top semiconductor stocks in the first quarter. In recent years, Huawei has risen rapidly as a global brand, not only in mainland China but also in Europe. According to state-controlled enterprise surveys, Huawei sold over 108 million smartphones last year, surpassing Lenovo and becoming the largest mobile phone brand in China. Globally, it ranks third, behind only Samsung and Apple. Huawei is also making strong moves in emerging markets like India. It recently launched two new models—the Honor 5X and Holly 2 Plus—and set a goal to triple smartphone sales in India this year. Reports suggest that Huawei is optimistic about the Indian market and has established a Netcom equipment factory locally. Last year, it received approval from the Indian government to build a facility producing electronic and telecom hardware in the country.

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