As the 5G era approaches, major PCB manufacturers have increased their pace to launch terminal equipment and various countries have actively begun developing the relevant 5G infrastructure. Among the 5G products, the 5G smartphones that have attracted the greatest market attention and that are expected to have the largest sales volume in the future will likely benefit many industries. Also, the improvement of 5G mobile phone functions should help promote specification upgrades and increase the sales of plate materials such as SLP, antenna flexible boards, AiP, BT substrate, and others, according to the institute investors. Consequently, many industry competitors such as Compeq, Zhen Ding, and Flexium are expected to become major focal points in the market.

 

        As indicated by the market, Apple will introduce 5G smartphones in the second half of 2020 and the output value of motherboard units will increase by 10-15%. At the same time, a new wave of upgrade demands will be launched and it is estimated that all of Apple’s online products will include the SLP design in 2020. As such, we are optimistic about Zhen Ding’s economic benefit from the new production capacity. Zhen Ding also announced in November 2019, during its investor conference, that it will mainly focus on computers, featured phones, smartphones, 5G, and the Internet of Things in 2020. Among these products, the sales volume for mobile phones are likely to grow further. Besides, the yield rate and efficiency of SLPs developed by Zhen Ding are among the best in the industry. Other products like flexible boards, IC substrates, automotive boards, server boards, HDI, rigid-flex boards, backlight module boards, COF, and others are also expected to have favorable prospects. Thus, Zhen Ding should be able to maintain successful growth momentum in 2020.

 

           Institute investors are also optimistic about Compeq’s benefits in mid and high-end HDI in 5G mobile phone boards and the infiltration of non-Apple 5G mobile phones is expected to increase in 2020. Compeq has also indicated that the approach of mid-end customers turning towards any-layer HDI designs should become clearer. However, the production capacity of manufacturing plants has already been constricted since the peak season and in addition to the introduction of the new 5G smartphone, investors are cautiously optimistic about the operation for 2020. As for 5G antennas, the industry has received conflicting views in 2019 on whether it would adopt MPI or LCP in the future. According to an estimation given by an institute investor, since LCP flexible boards have advantages in terms of transmission loss, bendability, dimensional stability, and moisture absorption, it is expected to become the mainstream part of 5G smartphones. The proportions of Apple antennas using LCPs are also expected to increase in 2020, while antennas for products other than mobile phones will be upgraded to MPI. As a result, manufacturers such as Zhen Ding and Flexium are expected to benefit from this. (News Source: Commercial Times)