OPPO Will Terminates The ZEKU Chip Business

May 13, 2023

According to reports from multiple media outlets on May 13th, Gizcoupon has learned that OPPO will terminate its ZEKU chip business.

OPPO stated that faced with the uncertainty of the global economy and the mobile phone market, and after careful consideration, the company has decided to terminate the ZEKU chip business. “This is a difficult decision. We will handle the relevant matters properly and continue to create value by producing excellent products,” OPPO said.

Public information shows that in 2019, OPPO established a “chip-making” subsidiary, Shoupu Technology (Shanghai) Co., Ltd., which was renamed ZEKU Technology (Shanghai) Co., Ltd. in July 2020. ZEKU’s chip products include core application processors, short-range communication, 5G Modem, RF, ISP, and power management chips.

However, OPPO’s decision to terminate its chip-making subsidiary has not come as a surprise to some industry observers. According to a Weibo blogger, @数码闲聊站, OPPO has strategically abandoned its self-developed chip business.

In recent years, there has been a growing trend among smartphone manufacturers to develop their own chips, reducing their dependence on third-party suppliers such as Qualcomm. However, developing chips can be an expensive and time-consuming process, which may not yield immediate results. The move may have an impact on OPPO’s future plans and market positioning, but only time will tell.

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