1. Do you know that apple, Huawei, Samsung and other giants have to pay a licensing fee to arm company in the UK for every mobile phone they sell? Arm company is a company that cant be bypassed by chip companies all over the world, so this change of leadership will cause such widespread concern.
2. Who will spend the last time in China?
3. Expert: Chinas equity is too decentralized, and the final winner may still be arm Global
Arm company is a well-known chip architecture company in the world. 95% of mobile phones and tablet computers in the world use arm architecture chips.
As a joint venture established by arm in China, arm China (i.e. anmou Technology (China) Co., Ltd.) recently broke out a dispute over the control of the company.
On June 10, arm global announced to remove Wu xiongang, chairman and CEO of arm China. After that, anmou China issued a statement saying that the accusations against Wu xiongang were completely unnecessary and the recall resolution was invalid.
In just a few days, arm global and arm China issued four statements and a joint letter.
What kind of company is arm China behind several reversals? Who is Wu xiongang? Will the fate of arm and Chinas chip semiconductor industry be affected?
Arm China, is it a Chinese company?
In short, arm doesnt make chips by itself, but its architecture and technology are ubiquitous in chips around the world and in our lives.
According to IHS, arm chips account for 30% of total semiconductor market sales, double Intels.
From 2002, Huawei Hisilicon entered into the Chinese market. Today, it is in 2004 that Huawei Hisilicon signed the first intellectual property rights licensing agreement with arm, which currently has more than 200 Chinese partners.
In 2016, Softbank acquired arm at a high price of US $32 billion; in 2018, Softbank sold 51% of arms subsidiary in China to houan innovation fund jointly managed by Hopu investment and arm, and its sponsors include many investors such as CIC, silk road fund, Singapore Temasek company, Shenzhen Shenye group, etc.
In April 2016, arm Chinas joint venture officially began to operate. Its main body is anmou China. Wu xiongang is the executive chairman and CEO, and anmou China has become a joint venture.
However, although Chinese investors hold more than 50% of anmou Chinas equity, the equity is relatively scattered, and the largest shareholder is still armlimited in the UK.
Arm China is already a Chinese company, a local company in Shenzhen. Welcome to join arm China, Wu said in public
Although the company structure of arm China seems to be similar to that of many similar joint ventures, with China accounting for more than 50% of the shares, Chinese capital is scattered in the hands of several companies and does not have an absolute advantage. In fact, the majority shareholder is armlimited.
According to Zhang Guobin, CEO of e-innovation.com, although arm China appears to be a Chinese funded company, it is actually controlled by a foreign-funded company, which is prone to conflict and conflict.
Fierce and powerful Wu xiongang
According to public information, Wu has a very beautiful degree: Masters degree in electronic engineering and bachelors degree in electronic engineering from the University of Michigan, rattan University, MBA from Haas business school, University of Berkeley, California, and graduation certificate of executive program of Stanford Business School.
Looking at Wu xiongangs resume, it also reveals his excellence. He joined arm in 2004, initially from sales, rose to general manager of arm China in 2009, rose to President of Greater China in 2013, and joined arm Global Executive Committee in 2014, becoming a member of arms top decision-making level in the world.
At the same time, there are many mysteries hanging over Wu xiongang. For example, what is his academic background and experience before college? The outside world knows little about it. A media person who once contacted Wu xiongang told the IT times that Wu was from Nanjing and naturalized in the United States after studying abroad. People are very easygoing, but the overall westernized way is quite obvious. When I first contacted Wu, I thought he was a foreigner.
According to Caixin, Wu xiongang, without fully informing the shareholders, reached cooperation with the arm brand outside, including landing in the arm Western R & D center and integrated circuit design center in Chengdu. Previously, the shareholders had made commitments with the Shenzhen Municipal Government for landing in China, but Wu xiongang did not implement them. Both arm global and Hopu investment are not satisfied with Wu xiongang, arguing that his power is no longer restricted by shareholders.
Its also a power struggle of the company. Different from Dangdangs farce, because of the particularity of ARM technology, the storm of arm China changing commander is in a sensitive area. As we all know, the U.S. is blocking Chinese technology companies. TSMC is a precedent, and arm is also in a whirlpool. Industry insiders have been worried that arm will also impose technical licensing restrictions on Chinese companies.
Although Huawei has obtained the permanent authorization of armv8, the CPU and GPU of Kirin chip adopt the arm public version architecture, while the R & D team of the ARMA series public version CPU and GPU is mainly located in Austin, USA. the generations after A76 are from this team. As a result, the U.S. embargo is not entirely invalid for arm.
Compared with the uncertain attitude of arm global, arm Chinas attitude towards Huawei is relatively firm. At a media communication meeting in 2019, arm China confirmed that the cooperation with Huawei will continue. Both the current V8 architecture and the subsequent architecture can continue to authorize Chinese customers including Huawei on the premise of compliance.
However, according to media reports, a person close to arm said that the dismissal of Wu xiongang by arm UK and Hopu investment had nothing to do with Huawei, dont involve Huawei in everything.
In addition to promoting the implementation of arms own products in China, arm China has also developed applicable IP according to the original plan, and launched three self-developed product lines of artificial intelligence IP, CPU and Internet of things security.
At the end of 2018, arm China launched AI IP products successively. For example, the first Aipu core z1-0701 of the AI computing platform named Zhouyi has also been adopted by the intelligent voice processor r329 of Quanzhi technology; the new embedded processor Star can meet the overall requirements of performance, power consumption and security of aiot applications. At present, many domestic customers have authorized and successfully completed the streamer; and one-stop Internet of things security solution In the case of Shanhai, at present, the client chip equipped with Shanhai security solution has successfully entered the stage of streamer.
What will be the impact on ARM China if the technology of arm Limited is cut off or withdrawn in the future? In this regard, Zhang Guobin said frankly that arm China cant survive completely independent. If it still cant get the support of major shareholders and the conflict continues to escalate, arm China team may still face the risk of being laid off.
Author / IT Times reporter Li Yuyang
Source: responsible editor of it times: Zhang Zutao_ NT5054