The semiconductor’s industries is a very challenging firm, this few years the merging and acquisition between companies had caused the industries unstabilizing overall. The big Giant such as Intel is talking about to slim-sizing their operation across the Globe, furthermore the smart-phone technology failed to introduce the breakthrough, therefore today the consumer no longer changing phone due to the technology but they are changing phone when their contract is expired or their phone no longer function-able. The question now is if a person who needed to change his phone, will him buy from the big Giant such as Apple or Sumsung? or they as simply buying the cheapest phone from China and yet the performance of the phone is very competitive compare to the OEM. if this is the market trend then the industry expected China will replace the US and Korea as the main manufacturer of the smart phone, unless they manage to introduced the breakthrough which the Chinese is not yet thought about it.
This scenario is happening due to the Chinese managed to learned, copied and developing the technology too fast which was beyond what was the OEM expected. This scenario is not only on the end product – the smart phone itself and it did happened to the equipment/machine which is used to manufacturing the phone. The low product cost is begin from the low cost of ownership equipment investment, and this will continue to happen in the future.