Interview with Mr. Wei Zhang, Marketing Director, Leadcore Technology Co. Ltd.

System on Chip (SoC) is an integral part of the smartphone architecture. Though the smartphone SoC market is mainly under the control of two players, MediaTek and Qualcomm, there is room for other players in the area and Leadcore aspires to be one of them.

At PT / EXPO COMM 2013 Beijing (September 24-28), CMR analyst Tarun Pathak caught up with Mr. Wei Zhang, Marketing Director, Leadcore Technology Co., Ltd. Excerpts of the interview are given below for the benefit of our readers:

Tarun Pathak, CMR: Would you please give us a brief background about Leadcore?

Mr. Wei Zhang, Leadcore: Leadcore Technology Co., Ltd. is one of the core members of Datang Telecom Technology and Industry group. We offer solutions on TD-SCDMA and TD-LTE technology. The TD-SCDMA technology is for 3G devices whereas TD-LTE is for 4G devices. Our TD-SCDMA and TD-LTE chips and overall solution covers featurephones, smartphones, tablets and convergence terminal products. Our immediate focus is on smartphones.

We have our headquarters in Shanghai with more than 1,000 employees worldwide. Leadcore is dedicated to the development of core technologies of the TD-SCDMA and TD-LTE terminal for over 10 years. We are currently ranked second in TD-SCDMA chipset shipments in China.

Tarun Pathak, CMR: Can you briefly name the vendors with their products on Leadcore chipset solution?

Mr. Wei Zhang, Leadcore: Some of the key vendors who use Leadcore solutions are Lenovo, Coolpad, Huawei, ZTE and others. We also have an association with China Mobile.

Tarun Pathak, CMR: How you think your products and solutions are different from your competitors?

Mr. Wei Zhang, Leadcore: Our chipsets offer value for money. They have high product performance associated with them at lower price points. We have the innovative APSOC solution in Leadcore chips, which means we have combined application-processor-modem in one chip.

Tarun Pathak, CMR: What are your strategies or plans in terms of product and geographical expansion?

Mr. Wei Zhang, Leadcore: Geographically, as of now, our immediate focus is on China. Going forward, in the long term, we will look for expansion in countries like North America, India and Europe. As far as products are concerned we will expand our 4G chipset portfolio in the coming quarters. Next year we will also invest in other technologies like WCDMA, GSM, LTE-FDD etc. So our product portfolio is going to expand in the coming quarters with different solutions on a variety of technology platforms.

Tarun Pathak, CMR: How strong is the R&D of Leadcore?

Mr. Wei Zhang, Leadcore: Our R&D is very strong and we invest on a product level basis. We have 5-6 different products and on each product we plan to invest around RMB 300-400 million (Indian Rupees 300-400 crore or USD 49-65 million at current exchange rates).

Tarun Pathak, CMR: Are we going to see Leadcore taking the OEM route by launching its own devices like smartphones and tablets?

Mr. Wei Zhang, Leadcore: No immediate plans as of now, but in the future you might see products with Leadcore’s own branding.

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