OPPO's Upcoming 4nm AP presents an Opportunity for Electronic Component Distributors

Industry sources report that OPPO's self-developed smartphone application processor (AP) is now in the chip production stage, utilizing TSMC's 4nm process and featuring an external MediaTek 5G modem. The AP is expected to be mass-produced by the end of 2023 and launched in 2024. This move follows the successful release of OPPO's ISP chip Mariana X, Bluetooth audio processing chip Mariana Y, and power management chip SUPERVOOC S, all of which have provided OPPO with differentiation and a competitive edge in the mid-to-high-end market.

Experts in the industry indicate that OPPO had attempted to develop a 3nm AP last year, but the difficulty of the design and the immaturity of the 3nm process technology forced them to delay the project and instead focus on the 4nm AP. As a result, OPPO is now in a position to use the 4nm AP as a complement to high-end chips from Qualcomm and MediaTek, which it may incorporate into its premium smartphone models, taking into consideration fault tolerance, power consumption, performance, and market acceptance.

Analysts suggest that OPPO's self-developed AP can partly make up for the shortcomings of domestic mid-to-high-end smartphone application processors. However, OPPO is still reliant on MediaTek and Qualcomm, as Apple has also been, to some extent, despite years of focusing on their own smartphone AP technology. Electronic component distributors have the opportunity to supply the necessary components for OPPO's new 4nm AP and help the company break new ground in the smartphone industry.