Huawei tops global list of patent applications

    03 04, 2021

    Shenzhen-based telecom giant Huawei Technologies topped the global list of patent applications in 2020 with 5,464 published applications, according to a report released by the World Intellectual Property Organization (WIPO) on Tuesday.It was followed by South Korea's Samsung Electronics with 3,093 applications, Japan's Mitsubishi Electric Corp. with 2,810 applications, South Korea's LG Electronics Inc. with 2,759 applications and the U.S.'s Qualcomm Inc. with 2,173 applications.In terms of education institutions, Shenzhen University took third place with 252 applications. It was the third consecutive year for the university to enter the top three, following the University of California and MIT. Tsinghua and Zhejiang universities took fourth and fifth places with 231 and 209 applications, respectively. Among top 10 universities, five come from China, four from the U.S. and one from Japan, according to the report.WIPO data shows Huawei has been ranked first in the number of patent applications under the Patent Cooperation Treaty (PCT) from enterprises worldwide for four consecutive years since 2017.Despite the COVID-19 pandemic, WIPO received a record of 275,900 applications in 2020, up by 4 percent over the previous year.China remained the top PCT user with 68,720 applications for 16.1 percent year-on-year growth in 2020. In 2019, China filed 59,193 PCT applications.Other top users of the PCT system in 2020 were the U.S. with 59,230 applications, Japan with 50,520 applications, South Korea with 20,060 applications and Germany with 18,643 applications.It is reported that 12 Chinese companies, including six from Shenzhen, entered the top 50 Global PCT patent applications in 2020. They are Huawei (1st), ZTE (16th), Ping An Technology Shenzhen Co. Ltd. (17th), DJI (21st), China Star Optoelectronics Co. Ltd. (24th) and HKC Co. Ltd. (35th).According to WIPO data, the applications in the computer technology sector took up 9.2 percent of the published PCT applications, and it is followed by digital communications (8.3 percent), medical technologies (6.6 percent), electrical machinery (6.6 percent) and measurement (4.8 percent).Among the top 10 technologies, the PCT applications of audiovisual technologies increased by 29.5 percent, which is followed by digital communications for 15.8 percent year-on-year growth and measurement for 10.9 percent year-on-year growth.

    Huawei unveils 5G-powered factory in southern China

    02 25, 2021

    Shenzhen-based tech giant Huawei unveiled its 5G-powered factory in South China at the opening ceremony of the Mobile World Congress Shanghai 2021 (MWCS2021) on Tuesday.Benefiting from advanced technologies like 5G, this factory will be a smart plant with many benefits. The smart plant is able to reduce over 80 percent of labor force, boost the overall productivity by 300 percent and have quality checks finished in six seconds.According to a presentation about the plant, few people are seen working on Huawei's 130-meter mobile phone production line.Moreover, automated guided vehicles (AGVs) were seen delivering goods at the factory.It is said that over 500 factory equipment has been connected to the 5G network, enabling a real-time data exchange among them.In addition, 5G and artificial intelligence can help increase product quality.In the past, manual work takes at least two to three minutes to check up around 2,500 items on a hand-sized circuit board. At present, an automatic check on a circuit board takes only six seconds, with a product yield reaching 99.55 percent.Hu Houkun, deputy chairman of Huawei, said during a keynote speech at the opening ceremony that the pandemic will speed up the digital transformation of industries and bring in more demand to build digital infrastructures.Against this background, 5G and other technological innovations will build more solid digital infrastructures to add new value to business, life and society."Through our practices, we make full use of the 5G technology to achieve 800 Mbps of upload speed. In the future, the speed will reach 6 Gbps. We will also build Huawei cloud AI training platform. All these will make our production lines smarter and more efficient," said Hu.It is expected that 97 percent of big global companies will deploy artificial intelligence. Some 55 percent of China's GDP will be driven by the digital economy, said Shenzhen Special Zone Daily.Huawei also officially released its 5GtoB solution recently which is aimed at creating new value for every player across the industry value chain.This solution will simplify transactions for enterprise users, help operators monetize their network capabilities, and allow partners to innovate more efficiently, creating new value for every player involved, according to information released by Huawei.

    City to give MNCs up to ¥6m for setting up regional headquarters

    02 24, 2021

    Shenzhen has introduced a spate of measures to encourage multinational companies (MNCs) to establish regional headquarters and organizations with headquarters functions in the city, according to the latest government gazette issued Monday.The measures, which highlight a tiered reward system with a maximum reward of 6 million yuan (US$928,000), will become effective March 1.The measures have made detailed provisions on the definition and identification standards of MNC regional headquarters.MNC regional headquarters refer to the only head office set up in Shenzhen by a parent company registered offshore by way of investment or authorization, with the headquarters performing the functions of management and services provision for enterprises in more than one country (or region), as per the measures.MNCs may establish regional headquarters in the form of enterprise with independent legal person status such as wholly owned investment-type or management-type company.An organization with headquarters functions in an MNC refers to a foreign-invested enterprise (including a branch) that do not fall under the standards of regional headquarters of MNCs and actually undertakes the functions of expanding R&D, sales, trade, settlement and data of an overseas-based parent company in more than one country (or region).Qualified regional headquarters and organizations with headquarters functions established by MNCs will be recognized by the Shenzhen Municipal Commerce Bureau and issued with certificates.The recognized headquarters firms of MNCs will be rewarded based on a tiered reward system.According to the measures, firms registering US$20-30 million, US$30-50 million and above US$50 million in annual actual use of foreign capital will be rewarded 3 million yuan, 5 million yuan and 6 million yuan, respectively.The firms shall continue to meet the recognition conditions of headquarters enterprises within five years after obtaining the cash reward.Shenzhen will also launch a package of incentives including preferential policies for R&D, simplified entry-exit procedures, talent introduction, staff training, and more convenient trade and supervision measures.Shenzhen has long been a magnet for foreign investment. In 2020, the city's actual use of foreign capital exceeded US$8.6 billion, representing about 6 percent of the actual amount of foreign capital utilized in China, official data showed.It is home to nearly 300 of the Fortune Global 500 companies, according to the local commerce bureau.

    Private firms, SME support program released

    02 23, 2021

    The Shenzhen Municipal Government has recently decided to implement the 2022 Private and Small- and Medium-sized Enterprises Innovation and Development Support Program to financially support these companies' growth, Shenzhen Economic Daily reported yesterday.The Municipal Industry and Information Technology Bureau released application guidelines for the support program. The significant grants will target the restructuring, IPO (initial public offering) and financing guarantees of private and small- and medium-sized enterprises (SME). They include a subsidy for the restructuring and IPO training, and a subsidy for loan guarantee costs.The amounts of subsidies will be subject to the maximum limit of the fund for annual grants as well as the results of special audits.Companies that plan to issue IPOs on the Chinese mainland and have completed the stock-into-market tutorship will be subsidized at up to 1.5 million yuan (US$232,000).Companies that plan to issue IPOs on overseas securities markets will be given a grant of up to 800,000 yuan.Companies that have been newly listed on the National Equities Exchange and Quotations (NEEQ, or the New Third Board) will receive a subsidy of a maximum of 500,000 yuan.Those selected into the "innovation level" of the NEEQ will be rewarded with an extra incentive, which is up to 300,000 yuan. High-end listed companies from other regions that move into Shenzhen will be funded up to 5 million yuan.Listed companies from other regions restructured by local firms under market operation principles and transfer their registration to Shenzhen will be given incentives with a maximum of 5 million yuan.The subsidies for loan guarantee are aimed at encouraging these companies to obtain bank loans via financial guarantee institutions.For these enterprises, bank loans with a guaranteed amount of 5 million yuan or below will have the guarantee fee fully subsidized. Loans with a single guaranteed amount between 5 to 8 million yuan (inclusive) will be covered at up to 80 percent of the actual guarantee fee. The maximum annual subsidy for an enterprise shall not exceed 300,000 yuan.

    Huawei, Foxconn, Tencent make national industrial Internet list

    02 09, 2021

    Three industrial Internet platforms in Shenzhen, namely FusionPlant of Huawei Technologies, Fii Cloud of Foxconn and WeMake of Tencent, have been listed on the 2020 cross-boundary industrial Internet platforms accredited by the Ministry of Industry and Information Technology.The ministry selected 15 cross-boundary industrial Internet platforms in the country through self-application, recommendations, expert reviews and online publicity.It is the second year for Huawei and Foxconn to be selected for the list.The Huawei Cloud FusionPlant platform applied algorithms to wood cutting in the process of furniture manufacturing and improved its utilization rate. Taking Oppein as an example, the new technique can save costs of 40 million yuan (US$6.18 million) for the company.Based on technologies like IoT, cloud computing, AI and big data, WeMake provides solutions for six different scenarios including connectivity, intelligent systems, WeChat, marketing and credit safety for industrial enterprises.Fii Cloud, as one of the 10 biggest cross-boundary industrial Internet platforms in China, is an extension of the BEACON industrial Internet platform.Fii is one of the world's leading professional design and manufacturing service providers for communication network equipment, cloud service equipment, precision tools, industrial robots, AI and machine leaning. It is dedicated to building a new ecosystem of AI-driven "advanced manufacturing + industrial Internet," with technological platforms centered on cloud computing, mobile terminals, the Industrial Internet of Things, big data analytics, AI, high-speed networks and robotics.

    City's industrial output takes the lead

    01 21, 2021

    The industrial added value of enterprises at designated- and above-level scale reached 3.7 trillion yuan (US$572 billion), up by 2 percent year on year, Shenzhen Radio said Tuesday, citing a local official.At the program, Bridge of Voice, Jia Xingdong, director of Shenzhen Industry and Information Bureau, said it was the second year for the city to be at the top of the Chinese cities in industrial output.In 2020, Shenzhen had made breakthroughs in new infrastructure and new carrier construction. The city became the first city in the country with full coverage of the 5G network. The city built 46,600 base stations and nearly 10,000 multi-function poles.The technology and industry revolutions will push forward integration of 5G and industrial Internet and accelerate the construction of Digital China and Smart Society.Shenzhen's industrial Internet is entering a fast-track development and takes the lead in platform quality and diversity of application scenarios.In December 2018, Huawei, Foxconn and Hualong were brought into the comprehensive industrial Internet platforms of the Ministry of Industry and Information.In December 2020, Huawei, Foxconn and Tencent were selected into the list of cross-industry industrial Internet platform of Ministry of Industry and Information, taking up one fifth of the total.In scenario applications, Industrial Internet has been used in electronic manufacturing, machinery equipment manufacturing, precision manufacturing, bio-pharmacy manufacturing and garment manufacturing. Huawei and Foxconn have become State-level demonstration enterprises in industrial Internet application. In March 2020, Bao'an Industrial Internet Demonstration Base were officially named as a State-level demonstration base.Nearly half of Shenzhen enterprises reduced their cost through application of industrial Internet. The automation operation of its production processes improved efficiency by 30 percent and benefits by 2.5 times, reduced inventory turnover by 15 percent and labor cost by 88 percent.According to a report cited by Jia, 52.5 percent of enterprises reduced their cost after application of industrial Internet, 53.3 percent of enterprises improved their product performances and 29.4 percent of enterprises reduced loss of materials.Shenzhen worked out an action plan for development of industrial Internet (2018-2020) to construct the industrial Internet industry from forming three systems of core support, integration application and industrial ecology. By the end of 2020, the bureau had provided 455 million yuan in special funds to support 1,030 projects.

    City's integrated circuit design takes lead

    01 19, 2021

    The sales of the city's integrated circuit (IC) design industry in 2020 reached 130 billion yuan (US$20 billion), retaining the lead among Chinese cities for the ninth consecutive year, a Shenzhen Economic Daily report said yesterday, quoting sources from the Shenzhen Semiconductor Industry Association.The city's IC design industry had formed a pattern of one super enterprise and four strong enterprises.Hisilicon has become the largest IC design company, and the revenues of four other enterprises, specifically Sanechips, Goodix, BYD Microelectronics and FocalTech have exceeded 2 billion yuan. Shenzhen has formed an IC design and application industrial cluster of substantial scale and an IC design and application industrial chain in 5G, telecommunications, IoT, touch and display driver, automobile electronics and AI."The city's IC design has been taking the lead in China," Chang Junfeng, secretary general with Shenzhen Semiconductor Industry Association, said.Yet compared to the design capability, the manufacturing capability is weaker, the enterprises are small in size and develop slowly.Statistics provided by the Shenzhen Semiconductor Industry Association showed there are only three semiconductor manufacturers, namely SMIC Shenzhen Branch, Shenzhen Founder Microelectronics Co. Ltd. and Shenzhen SI Semiconductor Co. Ltd. The six production lines can produce low-end IC products, whose wafer size is 8 inches at maximum and technological level remains greater than 90 nanometers."The shortfall in manufacturing, if not made up, will hinder the development of IC design and the whole industry as well," Chang said.The city lacks competitiveness in chip manufacturing, package testing, equipment and materials. Its leading position in design faces challenges from rivalries of other cities because of what it lacks.Talented people are the key to improving competitiveness. Shenzhen, as well the whole country, faces a shortage of chip designers."Shenzhen needs 3,000 talented people for IC industry, but the eight higher learning institutions combined can supply no more than 1,000 talented people," said Chang, adding the high living costs of the city also dampens the expectations of talent coming to work in Shenzhen.Chang suggested the city create polices for IC talent to attract and retain them to work in the city.

    SZ offers up to ¥2.5m reward to lure foreign investors

    01 14, 2021

    Foreign-invested firms that were newly set up or increased investments in Shenzhen will be rewarded up to 2.5 million yuan (US$386,000) based on the actual paid-in foreign capital in the year 2020.According to an implementation plan recently released by the Shenzhen Municipal Commerce Bureau, the city will adopt a tiered award system based on the contributions of foreign investors in actual utilization of foreign capital. But the award will skip real estate, financial and quasi-financial projects.For foreign businesses whose actual utilization of foreign capital ranged between US$5 million and US$10 million last year, the reward will be 1 million yuan.The reward will be doubled to 2 million yuan if the amount of foreign investment in actual use reached US$10-20 million in 2020, but will be capped at 2.5 million yuan if the amount exceeded US$20 million.A pioneer of China's reform and opening up, Shenzhen has been a popular destination for foreign investment.The city is accelerating legislation on the promotion of overseas investment to create a more favorable business environment and better protect the legal rights and interests of overseas investors.According to the city's commerce bureau, Shenzhen's actual use of overseas capital amounted to US$7 billion in the first 10 months of last year, accounting for 6.13 percent of the country's total and growing 7.58 percent year on year, with China's Hong Kong Special Administrative Region, the United Kingdom, France, Germany, Japan and Singapore being the main sources.By the end of September last year, more than 90,000 foreign-invested enterprises had been set up in Shenzhen since the city issued the first business license for a foreign-funded company in 1981.Foreign-funded enterprises, which account for only 2 percent of business entities in Shenzhen, generate about one-fifth of the city's GDP, 40 percent of its import and export volume, and nearly 30 percent of its tax revenue every year, data from the municipal bureau of commerce showed.Despite the heavy impact of the COVID-19 pandemic on the global economy, Shenzhen has shown strong economic vitality and appealed to foreign investment with its excellent business environment and investment climate.A total of 4,665 foreign-invested enterprises settled in Shenzhen in the first three quarters of 2020, statistics from the city's statistics bureau showed.