What are the implications for semiconductor suppliers in China's product design center, which is trying to become a powerful global innovation engine?
For OEM vendors with a large number of semiconductor suppliers, China has become the most important product research, development and development center. With the improvement of economy and the rapid rise of Chinese steady market status in recent years, hundreds of local Chinese graduated from millions of engineers and OEM vendors are trying to participate in Chinese rise of the foreseeable future trend to.
In order to adapt to this trend, Chinese local and multinational OEM companies to take a number of measures in China, including the construction of the new product design center and expansion of existing in the country within the scope of the factory, to take advantage of the China environment. At the same time to change the product design strategy, Chinese local OEM vendors require design center for the local market development to meet the localization characteristics of the products, multinational companies also will be located in the center of the design Chinese research focus to China for market development is more internationalized and competitive products, or for Chinese market products. Both the design center China domestic and multinational companies are more and more emphasized "the keywords innovation", because the Chinese market increasingly high demand for the product, as China market product design should not only include the world's leading technology, also very price competitive advantage.
A covering 80 China product design and R & D center the McKinsey report recently released by the situation will change in the near future, one reason is that Chinese enterprises more and more critical, the technology has been unable to meet their needs, they for innovative products to more and more strong. On the other hand, in recent years, China's economic development has slowed down, the design center must seek more development opportunities in other countries in order to maintain a good momentum of development. The report said that the design center is located in China in the next few years will be shifted to increase exports and lead the trend of innovation, it will be able to make the product design center has more right to speak in the new wave of global product development and design in the future. If respondents predicted to become a reality, the product design center is located in the China the demand for semiconductors and other components will be significantly increased, is expected to increase from $350 billion in 2016 to $500 billion in 2020. This growth will bring a huge market for global semiconductor manufacturers and component suppliers.