1. An Overview and Perspective on Taiwan Broadband , Wireless and IC/SoC Industry
Dr. Teddy Huang
Deputy General Director
Computer & Communications Research Laboratories
Taiwan
November 30, 2002
Asian Telecommunications Industry Exchange
Hong Kong
2018/9/17

2. Contents Introduction
Development status of Taiwan’s Broadband Networking and Wireless Communications Industry
Development status of Taiwan’s SoC/IC Industry
R & D Strategy for Broadband, Wireless and SoC/IC Technology
National Si-Soft Project Program related to Broadband and Wireless Communications
Conclusions
2018/9/17

3. Telecommunication Service Industry
In Taiwan
Subscribers :K
Service
Telecomm. Revenue Over GDP
Mobile Comm.
Internet
Local Call
Broadband Access
Year
Subs.
POP
Subs.
POP
Subs.
POP
Subs.
% of BA
---
---
1996
1997
1998
1999
2000
2001
2002(1H)
970
1,492
4,727
11,541
17,874
21,633
23,010
4.51%
6.86%
21.56%
52.24%
80.24%
96.55%
98.75%
100.00%
600
1,660
3,011
4,800
6,260
7,820
8,080
8,340
3.00%
8.00%
13.73%
21.39%
27.00%
35.00%
36.00%
37.00%
10,011
10,862
11,500
12,044
12,642
12,847
13,052
46.51%
49.96%
52.45%
54.52%
56.76%
57.34%
58.43%
2.12%
---
---
2.12%
---
---
2.53%
---
---
2.80%
262.8
1,164
3.99%
14.85%
3.13%
3.31%
---
---
---
1,639
2,055
20.90%
26.21%
---
2002(e)
23,300
Broadband Access Statistic includes:ADSL,Cable Modem,ISDN,Leased Line,Direct PC, etc. subscribers.
Broadband Access Subscribers number will over 2,000K at the end of
The penetration rate of Taiwan’s mobile communication will remain number one in the world in 2002, but the market will be saturated, so , to provide new digital content and service model will be the major challenges for the telecommunication operators.
Subs: Subscriber
POP: Penetration rate over population
BA: Broadband Access
Source : DGT;Office of Planning/CCL; 2002/08
2018/9/17

4. Rapid Growth of Broadband Access Service Industry in Taiwan
In Thousands Sub
Broadband user
Internet Subscriber grow over 8M and Broadband Access over 1.6M as to June, 2002.
Cable Modem service grow steadily, and 60% are with bi-directional service。
2018/9/17
Source：FIND.ORG，ITRI IEK ITIS，2001/12

5. Revenue of Telecom Industry
in Taiwan
Latin America
4.5%
(4.1%)
100M NT$
1830.4
1776.7
3.1%
1382.9
28.5%
1166.3
18.6%
902.9
883.0
831.0
29.3%
2.2%
6.1%
82%
84%
80%
83%
84%
78% 9%
18%
22%
20%
17%
16%
16%
*：LNB is not included
Growth of Telecomm Revenue
Export Distribution % in 2002 (estimated) & 2001 % in “( )”
Source：ITRI IEK ITIS，2002/10
2018/9/17

6. Changes of Telecom Industry in Taiwan
Unit: 100M NT$
1830.4
1776.7
0.6%
2.3%
17.5%
16.6%
1382.9 4%
11.7%
1166.3
14%
15%
883.0
902.9
32%
36.8%
44.0%
23%
25.8%
27%
29.2%
2018/9/17
Source: ITRI IEK ITIS， 2002/10

7. Product Ranking in 2001 in Taiwan
Unit: 100 M NT$
2018/9/17
Note：1.( ) 2000 ranking, LNB is not included
Source: ITRI IEK ITIS，2001/12

8. 2002 3Q Results & YE Forecast Products 2002 (3Q) 2002 (e)
Unit: 100 M NT$
Products (3Q) (e)
Wireless Equipment (including Mobile Phone)
- Mobile Phone
LAN (including NIC, Hub, LAN Switch, and Router
CPE (Telephone, FAX, ...)
Wired Transmission Equipment (ADSL, Cable Modem)
CO Switch
Total
Source: ITRI IEK ITIS，2002/07
2018/9/17

9. Taiwan’s Wireless , Broadband, and Networking Products’ World Position
Taiwan has upgraded from manufacturing Low-end Analog Modem to producing High-level WLAN, Broadband, and Networking Equipment
2018/9/17
Source: ITRI IEK ITIS，2002

10. Rapid Growth of Wireless Industry in Taiwan
100M NT$
Source：ITRI IEK ITIS， 2001/12
2018/9/17

11. Rapid Growth of Network Products Taiwan Network Product Revenue
In Taiwan
Taiwan Network Product Revenue
In 100M NT$
Switch Product
Switch
2001 Distribution
10M 2%
10/100M
92%
Gigabit 6%
Layer2
75%
Layer3
25%
NT$43.8B in 2001 with growth rate of 16.9% over 2000
Ethernet Access/Metro Ethernet market developed rapidly，and Switch & Router market becoming very promising
Over 60% exports are for North America and Europe , and export to Mainland China is growing rapidly
36 6% is the estimated growth in 2002
2018/9/17
Source: ITRI IEK ITIS，2001/12

12. Global Telecom Market by Key Products
US$M
CAGR
9.3% 1%
28%
38%
-39%
-9.9%
3.4%
7.7%
24.8%
Source：Gartner Dataquest ，Teleseeq ，ITRI IEK ITIS，2001/12
2018/9/17

13. Revenue of IC Industry in Taiwan
Unit: 100M NT$
7,144
6,274
-26.2%
68.7%
5,269
19.2%
17.4%
4,235
5.9%
2,834
49.4%
2,479
14.3%
2018/9/17
Source：ITRI IEK ITIS， 2002/11, * : 2002 Taiwan’s IC Design Industry growth rate 17.4%

14. 2002 2Q Results & YE Forecast Year IC Design IC Manufacturing
Unit: 100 M NT$
Year
IC Design
Annual Growth Rate
IC Manufacturing
Annual Growth Rate
IC Packing
Annual Growth Rate
IC Testing
Annual Growth Rate
Revenue
Annual Growth Rate
Source : ITRI IEK ITIS， 2002/07
2018/9/17

15. Major IC Applications in Taiwan Application Distribution
Top 10 Applications
Miscellaneous
Communications
Consumer Electronic
Information
2001
122B NT$
Source: ITRI IEK ITIS， 2002/03
2018/9/17

16. Communications & Electronics Products
2001 World Ranking Top 3
Communications & Electronics Products
Taiwan is the world leader in Communications and Optoelectronics Products
Top 1
Top 2
Top 3
Wireless LAN
IC Manufacturing
IC Packaging
ADSL Modem
Ethernet Card
Hub
LCD Monitor
CD-R
CD-RW
DVD
Notebook
Mask ROM
PC Camera
Analog Modem
IC Design
Cable Modem
Ethernet Switch
S&M-Area TFT LCD Module
S&M TN/STN LCD Module
Mother Board
IC Resistor
Digital Camera
Large-Area TFT LCD
DRAM
2018/9/17
Source: ITRI IEK ITIS, 2002/04

17. Taiwan Communications & Optoelectronics Products
Worldwide Market Share in 2001
Market Share (%)
Unit：thousand units
357,835
5,710
5,115
14,161
66,328
3,313
2,036.5
45,612
1,573
13,500
Note book PC
CD/DVD/RW
Wireless LAN
Cable Modem
STB
NIC
LAN Switch
Cellular Phone
ADSL
PDA
2018/9/17

18. Revenue of IC Design Industry in Taiwan
Unit: 100M NT$
Source：ITRI IEK ITIS， 2002/07
2018/9/17

19. Taiwan IC Industry Development Vision
15912
CAGR
IC Design : 33.64%
IC Manufacturing : 22.10%
IC Packaging : 18.96%
IC Testing : 21.36%
12939
10783
8569
6283
5269
2018/9/17
Source: ITRI/IEK (2002/03)

20. Bandwidth Demand is Still Increasing60 50 40 30 20 10
US Internet Traffic increases 300% per year
Monthly Growth (P Bs)
Total traffic
ISPs’ traffic
Jan Apr Jul Oct Jan Apr Jul Oct Jan 02
Source: L. Roberts, Caspian Network, 2002/01
e-Commerce, Networked Multimedia, P2P, etc. new services create huge demands for bandwidth
DSL, and Cable broadband access population over 30 Million (2001) (Ovum)
GbE technologies used in LAN will cut in Metro Access and FITL
DWDM technologies used in Backbone will cut into Metro Access
2018/9/17

21. Global Wireless Communications Market by Key Products
89,591.4
86,472.7
99,388.6
109,563.8
125,885.9
5,208.50
4,658
3,524.20
2,369
1,765
/ 155.8
/ 472.7
/ 2,207.90
/ 1,672.50
/ 1,083.70
44,700
15,600
19,900
25,800
33,800
20,000
40,000
60,000
80,000
100,000
120,000
140,000
160,000
180,000
200,000
2001
2002
2003
2004
2005
Revenue(US$ M)
Mobile Phone
WLAN
Bluetooth Module
GPS Hand-held+In-Car
Annual Total
178,002.25
149,694.25
129,796.46
109,214.40
107,112.17
2018/9/17
Source：ITRI IEK ITIS，2002/07

22. Global Semiconductors Market
400
350
300
250
200
150
100
500
Semiconductor Market
2001~2010 CAGR=10.4%
Unit:
US$B
2001: Around 150B US$
2010: Around 350B US$
1980~2001 CAGR=11.6%
2010
Source: IC Insights，ICE，Dataquest ，WSTS ，
ITRI IEK ITIS，
Mainland China, etc. countries have already established their Low-level IC Manufacturing capabilities, so upgrading to High-level IC manufacturing and IC design are the only choices for the original players
2018/9/17

23. SoC is the Next Battleground for IC Design
Technology
Market
99-04 CAGR 30.62%
Source: In-Stat(2000/10)
Capital
Alliances/Specialization
Fab-less companies will focus efforts on IP/Design Reuse/R&D
2018/9/17

24. R&D Strategy in Taiwan Broadband , Wireless & SoC Technology
Participate in
International
Standards Orgs
Research
&
Development
Broadband , Wireless
& SoC
Technology
Joint Development
with
Industry
Collaboration with
Universities
Technology Transfer
& International
Collaboration
2018/9/17

25. Broadband Communications R&D programs
Network Access Gateway
- Virtual Private Network
- Optical Transmission
- Network Management and
Service Technologies
Network Access Gateway Key Component
Video Communications
-Transmission Key Component
- xDSL Transceiver
- Advanced CATV Transceiver
- Broadband CATV HE System
- CATV CPE & Access
- Networked Video System
Broadband
Communications
Programs
Multi-layer High Speed Switch Routing
Internet Telecommunications
- Softswitch
- Voice Packet Processing
- VOIP Applications
- High Speed Routing
- PHY
- Switching Fabric
2018/9/17

26. MLC Ceramic Components
Wireless Communications R&D Programs
RF Subsystems & Key Components Modules
1.Passive Components
e,g, filters, antenna, etc
2.Power Amplifier
Radio Access Network
& UE System
MLC Ceramic Components
1.GSM Dual Mode Handset
2.GPRS BSS
3.WCDMA UE
4.WCDMA RAN
5.Software Defined Radio
1.LTCC Material
2.MLC/LTCC Module
Wireless
Communications
Programs
Wireless IC
3G Core Network & Service
1.GSM/GPRS RF IC
2.CMOS RF IC
3.Mixed-mode SoC
4.3G Cellular BB & RF IC
1.GPRS SGSM/GGSN Key Systems
2.3G SGSN/GGSN/HSS Key Systems
3.Open Service Access
4.Softswitch Technology
5. All IP Core Network
2018/9/17

27. Si-Soft National Project
Goals
Platform Service
IP Mall
Demonstrative Product/Technology
Strategy
Products Design
SoC Design
SoC Industry Infrastructure
TW Design
Houses
Foreign Design
IP Mall 27
2018/9/17

28. Si-Soft National Project SoC Platform Development
Human Resources
SoC Platform Development +
Advanced R&D
Advanced Products
Platform
Infrastructure
and Services IP
2018/9/17

29. Si-Soft Project’s Vision
Taiwan be an SoC advanced design center
Taiwan be a worldwide SoC design service center
Taiwan be an recognized leader in SoC design
Taiwan be an established brand name in SoC design service
2018/9/17

30. Worldwide Leader in Design :
Silicon Manufacture, Silicon Design, SOC, Silicon Product
Taiwan Platform
Taiwan IP Mall
Foundry
Package
　Mask
Testing
　IC/IP
　EDA
　AP
　Product
　OS
　IP
　IC
Network
　O.E.
Comm.
B.E. CS
Design
Manufacture 30
2018/9/17

31. Brand Name: Taiwan Silicon Solution=Taiwan
Silicon System=MIT (made in Taiwan)
Manufacture  Design
Purpose:
Taiwan silicon is the worldwide solution
Taiwan’s SoC design is the worldwide design
2018/9/17

32. Demonstrative Products
Si-Soft Three Major Product Lines
Wireless LAN SOC
Wireless
Communications
W-CDMA SOC
Digital TV SOC
Optical
Electronics
Optical Gigabits Ethernet SOC
HD-DVD SOC / DVC SOC
Processor
IA Processor
Special DSP Processor for Broadband Transceiver
Network Processor for Home/SOHO
2004
2005
2006
2007
2008
2018/9/17

33. SoC Research & Development
Wireless Communications
Processor
Opto-Electronics
Advanced SoC Technologies
SOC IP Verification and Secured Trading Platform Technologies x
-WCDMA Common Chip
-DSP/MCU Embedded
-Processor Embedded
-HD-DVD
-Optical Ethernet
-High Resolution DSC/DVC
-LCD Display
-Universal RF Front-End
-Radio Processor
-Programmable ADC/DAC for Generic DSL
-High-speed Optic Communication Network OE/EO Interface IC
-10Gbps Design
-10 Gigabit Ethernet PHY-PCS Circuit Design
-IP Qualification & Validation Technologies
-Advanced SoC Vehicle Product Testing & Product Platform Integration Technologies
-IP Secured Trading Platform Technologies □
2018/9/17

34. Conclusions
Taiwan will continue to focus on Broadband,Wireless, and IC/SoC technologies
Taiwan is striving to become worldwide leader in SoC design & Services Centers.
Innovative Island and SoC Design Paradise will become an Hi-Tech symbol for Taiwan
2018/9/17

35. Thank You!
2018/9/17