Apple explores moving 15-30% of production capacity from China

Malaysia among countries eyed by Apple to move production capacity

The countries being considered include Mexico, India, Vietnam, Indonesia and Malaysia. India and Vietnam are among the favorites for smartphones, Nikkei said, citing sources who did not want to be identified as the discussions are private.

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TOKYO: Apple Inc has asked its major suppliers to assess the cost implications of moving 15%-30% of their production capacity from China to Southeast Asia as it prepares for a restructuring of its supply chain, according to a Nikkei Asian Review report on Wednesday.

Apple's request was a result of the extended Sino-U.S. trade dispute, but a trade resolution will not lead to a change in the company's decision, Nikkei said, citing multiple sources.

The iPhone maker has decided the risks of depending heavily on manufacturing in China are too great and even rising, it said.

Earlier this month, credit rating agency Fitch said it views Apple, Dell Technologies Inc and HP Inc as potential blacklist candidates if China blacklists U.S. companies in retaliation for restrictions on Huawei.

Key iPhone assemblers Foxconn, Pegatron Corp, Wistron Corp, major MacBook maker Quanta Computer Inc, iPad maker Compal Electronics Inc, and AirPods makers Inventec Corp, Luxshare-ICT and Goertek have been asked to evaluate options outside of China, Nikkei reported.

The countries being considered include Mexico, India, Vietnam, Indonesia and Malaysia. India and Vietnam are among the favorites for smartphones, Nikkei said, citing sources who did not want to be identified as the discussions are private.

Last week, Foxconn said it had enough capacity outside China to meet Apple's demand in the American market if the company needed to adjust its production lines, as U.S. President Donald Trump threatened to slap further $300 billion tariffs on Chinese goods.

Analysts at Wedbush Securities said in a best case scenario Apple would be able to move 5%-7% of its iPhone production likely to India in the next 12 to 18 months.

Given the complexity and logistics involved, brokerage said, it would take at least 2-3 years to move 15% of iPhone production from China to other regions.

"We believe this is all a poker game and Apple will not diversify production out of China overnight and certainly a long-term US/China trade deal is key for Cook & Co to sleep well at night," Wedbush analysts said.

China is a key market for Apple as well as a major production center for its devices. The company got nearly 18% of its total revenue from Greater China in the quarter ended March.

Earlier in June, Trump met with Apple Chief Executive Officer Tim Cook to discuss trade and other hot-button issues facing the tech company as Trump deliberates whether to make good on his threat to hike tariffs on imports from China.

A group of more than 30 people from Apple's capital expense studies team have been negotiating production plans with suppliers and governments over monetary incentives that could be offered to lure Apple manufacturing, the report said.

A deadline has not been set for the suppliers to finalize their business proposals, Nikkei said, adding that it would take at least 18 months to begin production after choosing a location.

Apple and Foxconn did not respond to requests for comment. - Reuters

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Minds without borders: A coffee with Huawei Ren: We will be reborn by 2021

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They say a good conversation could be just like drinking a cup of black coffee and as stimulating as it is hard. Today's conversation is certainly stimulating intellectually and thought-provoking. The panelists on stage are trailblazers in their respective fields and certainly very outspoken about the challenges that we are facing today. First up, Ren Zhengfei, the founder and CEO of Huawei. Next, Catherine Chen, the senior vice president and director of the board of Huawei. Also on stage are George Gilder, a tech guru and futurist and Prof. Nicholas Negroponte, a tech visionary who's the co-founder of the MIT Media Lab.

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Category:  News & Politics

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A phoenix has risen from the ashes - THE RISE OF CHINA

The oppression of a civilization:

The world was turned into an ocean of colonies of subject people during the few centuries of ‘friendly’ European conquest. The Africans were turned into slaves, the natives of both Americas massacred. The ancient civilization of China was crippled and dismantled into pieces. After the Western powers brought down the decadent Qing Dynasty with the might of modern firearms, the Chinese civilization was turned into a pariah race of nothingness by the invaders in their country. The foreigners did not bring anything good but oppression, bullying and raiding China ’s wealth and dignity by all kinds of barbarian and deceptive means, and by the barrel of the gun. The Japanese joined in and even thought of conquering and ruling the whole of China as their colony.

There was a moment of salvation when Japan attacked Pearl Harbour and declared war on the Western power. China and its peasant soldiers were needed to open another front to sap the fighting power and resources of the Japanese. A large part of the Japanese Imperial Army was held down in China by the peasant soldiers. History would not be the same if the Japanese could run through China without resistance and conquer the whole of Asia .

After the war there was a brief moment of equality for China as a key member of the Allied Forces that fought against the Japanese. Chiang Kai Shek was seated with the Allied leaders like Churchill, Stalin and Roosevelt in Potsdam and Cairo to divide the world among the victorious Allied Powers. China was lucky to have its lost territories back. But Chiang was more like a flower vase and inconsequen-tail, would not be deserving of any war loot. His presence among the leaders of the big powers was a consolation that gave China a little recognition as a big nation.

This little moment of dignity did not last long when Mao Zedong defeated Chiang and China adopted communism as a state ideology. This turn of event led to a renewed and concerted Western effort to brand and condemn the Chinese civilization as peasants, rogues, dumb, uncivilized, aggressive and the pariahs of the human race, a good for nothing race that was lack of talent, unproduc-tive and unimaginative, and unfit to join the advanced nations of the West.

This was the hopeless China painted by the West. They kept repeating the misinfor-mation daily in all western media, like they are doing to North Korea today, that the whole world simply believed so. Chinese are useless, Chinese are lame, Chinese are bad.

Cold Wars, containment policies, encirclement, depriving China of its rightful seat in the UN, blocking China from joining international organizations like the WTO and the Groupings of rich nations, were history now. In the last 40 odd years, China came storming back on its own despite all the sanctions and barriers and threats against its rise as a nation and the Chinese people as a civilization, old, ancient, but not useless and remote of talents.

Throughout the two hundred years of Western oppression and suppression, the Chinese civilization was not allowed to surface, no opportunity to break out and be the equals of other nations. The Chinese civilization was down and out, the Chinese in despair. Many Chinese had doubts in themselves, and were ashamed to be Chinese. The Westerners reinforced this belief by sneering at them, contributing negative literature furiously to debase the Chinese, discriminated against them in practically every human endeavour and industry. In the USA there were racist laws forbidding the Chinese from higher skill jobs. The image and perception of useless and untalented Chinese became a self fulfilling prophecy. The Chinese civilization was a joke, a condemned race that was lacking in industry and innovation.

On its own, slowly and steadily the Chinese rebuilt their nation and their civilization, with little foreign talents and assistance, China has overtaken Japan and is closing in on the US as the number Two world power, economically and militarily. They have proven that they could match the West in every field of industry. The oppression and suppression of a civilization have failed, and a revitalized China has assumed its rightful place as a proud nation among nations. The Chinese civilization is no longer to be spitted at, to be kicked around by the Western powers or by teeny weeny little Asian states. It is now a force to be reckoned with and to be respected on its own merits.

The tag of being the Sick Man of Asia, a semi colony of the West, a broken country with nothing, no inventions, no modern industries, no talents except poverty and all the trappings of a poor and backward third world country vanished over a few decades. There is renewed pride as a people, a nation and a civilization in the new China. A phoenix has risen from the ashes. There is no turning back. The Chinese have found their way back and will leap frog over the West in science and technology and in all things, while the West are still trying to restrain their advances by hook and by crook.

Today, the overseas Chinese are also starting to rediscover themselves, their pride and dignity as a respectable people. They too find some renewed confidence that they are not rubbish and useless as the West wanted to hole them in, to be bullied by even little third world people, to be told to go home in western countries. They too share the pride of an ancient civilization seeking a second chance in renaissance, to achieve in whatever they seek to do, to be a respectable people and civilization on par with the best in the world. They no longer lower their heads in shame as they go about their lives. They are standing tall, heads and shoulders to the Western civilization with the knowledge that they are just as good if not better. The Chinese civilization is reviving and will no longer be oppressed and suppressed again.

After reading this, you can now benefit from a short history lesson of mankind and their actions on earth and the generations to come....DONT BE DECEIVED ANYMORE BY THE WEST…

Trade war spurs 1,360% investment jump in Malaysian state of Penang

https://www.bloomberg.com/news/videos/2019-06-11/trump-says-he-s-holding-up-trade-deal-with-china-video

The Malaysian state of Penang is winning from global investors’ search for safe havens, amid the U.S.-China trade tensions.

Foreign direct investments into its manufacturing sector surged 1,360% to 8.47 billion ringgit (US$2 billion) in the first quarter from a year ago, more than for the entire 2018. The state stands to gain from changes in the global supply chain as it’s well-connected with a strong talent pool and supportive public policies, Penang Chief Minister Chow Kon Yeow said in a Wednesday statement.

The state, already home to companies from Intel Corp. to Dell Technologies Inc., makes up 42% of Malaysia’s manufacturing FDI. Recent investments in Penang include U.S. semiconductor company Micron Technology Inc's new solid-state drive assembly and testing centre, and Florida-based Jabil Circuit Inc's purchase of 20 acres of land to expand its facility.

“Malaysia is reaping benefits from business relocation, as well as trade and investment diversions caused by the trade war,” Finance Minister Lim Guan Eng said in a Thursday statement, adding that the rise in investments as well as industrial production signal “healthy” economic growth in the second quarter.

Chow is wary of the near-term outlook and cautions that the investment surge may not be repeated in the second or third quarters. While some companies benefit from the trade war, others are negatively affected as their customers take a wait-and-see approach, he said. Penang’s investment outlook remains “on the right track” over the medium to long term, Chow said.

The state had moved quickly to court investors amid the trade war, signing a cooperation deal with China Chamber of International Commerce, giving subsidized rental rates for small businesses and setting up a seed fund for technology start ups.- Bloomberg

Penang bags big jump in investments 

More than RM8bil recorded in the first quarter of the year

Penang Chief Minister Chow Kon Yeow and State Tourism Development, Arts, Culture and Heritage Committee chairman Yeoh Soon Hin speaking during a press conference at KOMTAR. - LIM BENG TATT/The Star

THE state recorded RM8.85bil in total approved manufacturing investments in the first quarter of 2019, exceeding the RM5.78bil it received for the whole of last year.

Chief Minister Chow Kon Yeow said the investments in the first quarter were 768% higher than the investments in the same period in 2018.

“Penang garnered 41 projects at the start of this year,” he said at a press conference held at his office in Komtar.

“They amount to RM8.85bil and will bring in more than 10,000 jobs.

“The state is a key contributor to the country’s foreign direct manufacturing investment (FDI), representing 42% of the country’s total FDI.”

Chow highlighted the many attractions of Penang for investors.

“We boast a robust supply chain, strong talent pool, well-established infrastructure and support services to investors.

‘The combination of all these advantages makes Penang a preferred destination for investments.”

He was quoting the latest data from the Malaysian Investment Development Authority (Mida).

However, Chow was more cautious about the business climate later this year.

He said that while Penang could remain a preferred investment destination in the mid to long run, the US-China trade war would have a huge impact in the coming two quarters of the year.

“We believe the meeting between Presidents Donald Trump and Xi Jinping later this month will be crucial.

“We feel our stellar performance in the first quarter might not be repeated in the second and third quarters of this year.

“Nevertheless, Penang’s investment outlook is on the right track over the medium to long term.

“The state government will continue to focus on bringing in high quality investments that can create high-value jobs and suit the state’s industry profile,” he said.

Penang's approved manufacturing investments rise more than seven-fold in 1Q19

Penang attracted approved investments worth RM8.8 billion in the manufacturing sector in the first quarter (1Q) of 2019, up 763% from RM1.02 billion in the same period last year.

Chief Minister Chow Kon Yeow said despite the intensifying trade and technology disputes between the United States and China that created uncertainties in the global trade and economic outlook, Penang remained a favoured investment destination.

"According to the Malaysian Investment Development Authority (MIDA), from January to March this year, Penang successfully garnered 41 projects amounting to RM8.85 billion, which represented 35% of Malaysia's total approved investments in manufacturing," he told a press conference here today.

The approved manufacturing investments in 1Q19 had already surpassed the full-year approved investment figure of RM5.8 billion in 2018, he said, adding that they were expected to create 10,073 job opportunities in Penang.

Of the total investments approved in the quarter under review, foreign direct investment accounted for RM8.47 billion while the rest was domestic investment, Chow said.

"The optimal combination of robust supply chain, strong talent pool, well-established infrastructure and the state's support services to investors makes Penang a preferred destination for investments," he said.

However, Chow, who is also the chairman of the Penang Strategic Investment Advisory Council, said while Penang could be a preferred investment destination in the middle to long run, he was cautiously optimistic on the near-term outlook due to the latest trade war development.

He said there was a truce in the trade war in 1Q but the situation had worsened since.

"US President Donald Trump has threatened to slap tariffs on another US$300 billion of Chinese exports to the US, and the meeting between Trump and China's leader Xi Jinping later this month is crucial," he said.

He also cautioned that the superb investment performance in the manufacturing sector in 1Q might not be repeated in the second and third quarters; however, Penang's investment outlook would be on the right track over the medium to longer term.

"Through InvestPenang, the Penang government will continue to focus on bringing in high quality investments that would create high value jobs and suit the state's industry profile," he said.- The Edge Market.


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LIMA/SHANGHAI: China's Huawei has applied to trademark its "Hongmeng" operating system (OS) in at least nine countries and Europe, data from a U.N. body shows, in a sign it may be deploying a back-up plan in key markets as U.S. sanctions threaten its business model.

The move comes after the Trump administration put Huawei on a blacklist last month that barred it from doing business with U.S. tech companies such as Alphabet Inc, whose Android OS is used in Huawei's phones.

Since then, Huawei - the world's biggest maker of telecoms network gear - has filed for a Hongmeng trademark in countries such as Cambodia, Canada, South Korea and New Zealand, data from the U.N. World Intellectual Property Organization (WIPO) shows.

It also filed an application in Peru on May 27, according to the country's anti-trust agency Indecopi.

Huawei has a back-up OS in case it is cut off from U.S.-made software, Richard Yu, CEO of the firm's consumer division, told German newspaper Die Welt in an interview earlier this year.

The firm, also the world's second-largest maker of smartphones, has not yet revealed details about its OS.

Its applications to trademark the OS show Huawei wants to use "Hongmeng" for gadgets ranging from smartphones, portable computers to robots and car televisions.

At home, Huawei applied for a Hongmeng trademark in August last year and received a nod last month, according to a filing on China's intellectual property administration's website.

Huawei declined to comment.

CONSUMER CONCERNS

According to WIPO data, the earliest Huawei applications to trademark the Hongmeng OS outside China were made on May 14 to the European Union Intellectual Property Office and South Korea, or right after the United States flagged it would stick Huawei on an export blacklist.

Huawei has come under mounting scrutiny for over a year, led by U.S. allegations that "back doors" in its routers, switches and other gear could allow China to spy on U.S. communications.

The company has denied its products pose a security threat.

However, consumers have been spooked by how matters have escalated, with many looking to offload their devices on worries they would be cut off from Android updates in the wake of the U.S. blacklist.

Huawei's hopes to become the world's top selling smartphone maker in the fourth quarter this year have now been delayed, a senior Huawei executive said this week.

Peru's Indecopi has said it needs more information from Huawei before it can register a trademark for Hongmeng in the country, where there are some 5.5 million Huawei phone users.

The agency did not give details on the documents it had sought, but said Huawei had up to nine months to respond.

Huawei representatives in Peru declined to provide immediate comment, while the Chinese embassy in Lima did not respond to requests for comment.

(Reporting by Marco Aquino in Lima and Brenda Goh in Shanghai, Additional Reporting by Sijia Jiang in Hong Kong; Shanghai Newsroom and Mitra Taj in Lima, Editing by Himani Sarkar)

Source: Reuters

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Huawei is fighting back with the US by introducing their new Operating System Hongmeng which is 60 % faster than Android. Which will release in 2020.

According to Huawei, they had been working on their own OS for the last seven years and further said that the production of the new operating system is far more than ready.

Google has currently lifted the ban on Huawei for 90 days, meaning the current Huawei customers will continue to get updates for the next 90 days, including their Android app and all.

As CTO of Huawei confirms that their OS will be able to run the android apps, this will be the biggest setback for Android. And to achieve that cause, Huawei is in talks with Apptoide which is a standalone alternative for Google play.There are some rumors which are suggesting that not just Android but this new OS will be able to run iOS applications too.

So will Hongmen be really better than Android? We’re still unsure as we didn’t get any UI/UX of their new OS so right now it is not the perfect time to comment on this situation. But after listening to a number of conferences done by Huawei, we’re sure that this new Operating System Hongmeng is indeed that can shake the foundations of Android, and Android may suffer a lot.

But, this is clear that Android will put up a great trouble to come ahead of this Hongmeng. This is surely going to be one hell of a rift between Huawei and Android to get the market lead. If Huawei succeeds in making their new OS better and more reliable than android than the world will soon see a revolution in the field of technology and innovation.

Huawei’s Android replacement is not, apparently, ready to be launched.

After reporting that Huawei was preparing their own new operating system for a possible launch, Huawei has told TechRadar that its home-grown Operating System will not be rolled out next month. Instead, the company plans for the OS to be ready in China later this year, with an international launch in 2020 with a few modifications in it.

Like most manufacturers, Huawei relies on Google’s Android to power its Huawei phones. Earlier this month, Google announced that it would no longer grant an Android license to the Chinese company by following a White House executive order that effectively blocked the company in the US.

The company has been working on its own Operating System since 2012, a report from CNET sister site TechRepublic revealed in 2018.

“Huawei knew this was coming and they were preparing. The OS was ready in January 2018 and this was our ‘Plan B’,” Alaa Elshimy, managing director and vice president of Huawei, told TechRadar.

“We did not want to bring the OS to the market as we had a strong relationship with Google and others and did not want to ruin the relationship.”

According to the report, existing Android applications will work with the new OS, which could mean it is based on the open-source version of Android. Huawei has its own app store on Android, called Huawei AppGallery, which could host the new apps of future world.

Huawei phones in China do not use Google service so there’s a high chance of adoption of its own Hongmeng OS. But how does Huawei plan to deal with not being able to use popular applications like YouTube, Maps, Gmail, etc. on its Hongmeng OS outside China? Will the company develop competing apps for its Operating System or has Huawei done that already?

So many questions are asked now-a-days. But I guess we may never find out until Huawei unveils the supposed “Hongmeng” operating system expected to substitute Android on its own powered devices.

Huawei’s decision to sue the US government comes as they face increasing rift from the US and its allies over the security of its telecoms network equipment. The Shenzhen-based firm has been banned in the US from supplying to federal agencies under the country’s National Defence Authorization Act.

“The US government has long branded Huawei as a threat. It has hacked our servers and stolen emails and source code,” said Guo. “Despite this, the US government has never provided any particular evidence supporting the accusations that Huawei poses a cybersecurity threat. Still, the United States government is sparing no effort to smear the company and mislead the public about Huawei .” May be the reason behind this could be an expected defeat from Huawei in the race of becoming the king of IT world.

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Moscow’s strongman this week welcomed Mr Xi to the Kremlin for a three-day state visit to sign new trade deals and investment promises. After the Chinese President touched down in Russia on Wednesday, Mr Putin led him on a tour of Moscow Zoo, where two pandas loaned to Russia by the Chinese for a 15 year project are staying. The offer of Ru Yi, a male, and Ding Ding, a female, who will live at the zoo with the aim of reproducing, was a “gesture of particular respect and trust in Russia,” Mr Putin said.

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But while it make take some time for the animals’ partnership to bear fruit - pandas are known to be reluctant breeders - the two leaders’ fellowship has hit “an unprecedented high level”.

Beijing is embroiled in a bitter trade war with Washington while Moscow is suffering the consequences of sanctions imposed by the West over the Ukraine conflict.

As their talks kicked off, Mr Putin told Mr Xi : “Our strategic partnership, we believe, has reached an unprecedented high level.

Mr Trump's hard stance against Russia and China has brought the two countries closer together (Image: GETTY)

 Mr. Putin led Mr Xi on a tour of Moscow Zoo to see the two pandas (Image: GETTY)

“We are living in the best of days, in terms of our country’s relations… Our interests are very similar.”
The fond words came at the start of the trip which will see the Chinese leader attend Russia’s flagship economic forum in St Petersburg later this week.

Mr Putin and Mr Xi vowed to deepen military technical cooperation at the talks in Moscow, as businesses from both nations signed off deals.

In a statement published by the Kremlin, Mr Xi said: “Over the past six years we have met almost 30 times … Putin is my best friend and a good colleague.”

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The two pandas will stay in Moscow for 15 years (Image: GETTY)

The two men displayed a relaxed demeanour as they toured the zoo to begin the visit hailed as a “milestone” for the two countries’ alliance.

Last week, China’s deputy foreign minister, Zhang Hanhui, said: “The close and effective co-ordination of Russia and China on international affairs… has been an anchor and stabilising force amid rapid changes in the international situation.”

Beijing is Moscow’s top trading partner while Moscow is Beijing’s tenth-largest trading partner.
Later this year, the Power of Siberia pipeline connecting Russia to China is due to be complete, which is reportedly valued at £315bn ($400bn)

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CHINA AND INTERNATIONAL SECURITY COOPERATION by Gen. Wei Fenghe, State Councilor and Minister of National Defense, PRC

China issues 5G licences in timely boost for Huawei

The battle over 5G network suppliers is part of a broader push by the Trump  administration to check China's rise as a global technology powerhouse.PHOTO: REUTERS 

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SHANGHAI/HONG KONG (REUTERS, BLOOMBERG) – China granted 5G licences to the country’s three major telecom operators and China Broadcasting Network Corp on Thursday (June 6), giving the go-ahead for full commercial deployment of the next-generation cellular network technology.

The approvals will trigger investment in the telecommunications sector which will benefit top vendors such as Huawei Technologies, just as the Chinese network equipment provider struggles to overcome a US blacklisting that has hurt its global business.

China approved four operating licences for 5G networks, setting the stage for the super-fast telecommunications system amid simmering tensions with the US over technology and trade.

The country’s three state-owned wireless carriers and China Broadcasting Network Corp were granted licences for full commercial deployment, according to state broadcaster CCTV.

The operators, China Mobile Ltd, China Telecom Corp and China Unicom Hong Kong Ltd, have been testing the technology in several cities including Beijing and Shenzhen.

Full deployment of 5G networks in a country with almost 1.6 billion wireless phone subscriptions is expected to boost local companies designing gear for applications in autonomous driving, robotics, remote surveillance and virtual reality. The faster-than-expected approvals also come as Shenzhen-based Huawei Technologies Co, the world’s largest manufacturer of networking equipment, has vowed to maintain its lead in the face of a US campaign pressuring allies not to use the company’s products.

Shares of some 5G-related companies fell in Hong Kong and Shanghai trading after the licence announcement, trimming gains made earlier in the week on expectations the companies would benefit from the push for the new networks.

China Tower Corp, the three major carriers’ infrastructure provider, fell 3% as of 10.50am in Hong Kong, paring its advance in the past four days to 9.1%. ZTE Corp, which makes handsets and telecom gear, dropped 4.3%, trimming its four-day rally to 7.1%.

Betting on the fate of the nation’s next generation of telecom networks has been one of the year’s hottest trades in China and Hong Kong. An index of telecom-related shares is up 20% this year, led by a 54% rally in ZTE’s Shenzhen-traded stock.

Beijing-based Xiaomi Corp in March said it would introduce China’s first 5G phone in May or June. Huawei and ZTE, have also said they intend to offer handsets compatible with the technology this year.

Introducing 5G will directly add 6.3 trillion yuan (US$912bil) to economic output and 8 million jobs by 2030, the China Academy of Information and Communications Technology estimates. — Bloomberg

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US President Donald Trump's latest confrontation with China's telecoms giant Huawei may plunge the world into a long-term technology “cold war,” forcing global companies to pick sides between the US and China.

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All parties suffer during the trade war, a game of “killing 1,000 enemies while losing 800 of our own.” Many institutions have forecast the impact of increased tariffs on China's economic growth to be around 1 percentage point. While there is no need to panic, we should also prepare for worst-case scenarios.

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Chinese consumers expected to use affordable 5G phones next year

After 5G commercial licenses have been officially issued, how long will Chinese people have to wait before they can use 5G smartphones?

The official issuance of the licenses shows that China -- the world's largest mobile phone market -- has entered the 5G era. Industry analysts predict that Chinese consumers will be able to use 5G smartphones at prices ranging from 2,000 yuan ($290) to 3,000 yuan next year.

"Some 5G smartphone products will be released this year, but will be quite expensive, over 10,000 yuan," Xiang Ligang, director-general of the Bei-jing-based Information Consumption Alliance, told the Global Times on Thursday. Consumers can buy 5G phones at affordable prices in a year, he noted.

Major regions such as Beijing, Shanghai and South China's Guangdong will be the first places covered by 5G networks. Based on previous in-formation unveiled by the three carriers, smartphone users will have access to 5G high-speed internet and voice services without having to change SIM cards.

China's telecoms industry regulator officially re-leased the first four 5G business licenses to Chi-na Mobile, China Union, China Telecom and Chi-na Broadcast Network on Thursday, helping the country get into the fast lane in commercializing the next generation of wireless technologies.

China released licenses a year earlier than scheduled to boost the economy while strengthening the overall telecoms sector in light of the US-led crackdown on Chinese telecoms vendors, Xiang noted.

"It will also help boost the sluggish smartphone market," he said.

Chinese smartphone makers such as OPPO and vivo have shown confidence by releasing the first batch of 5G phones as soon as possible, and will adjust shipments in line with demand, media re-ported on Thursday.

- Global Times

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