Xiaomi eyes $6.9B investment in chipsets over 10 years

Xiaomi reportedly revealed plans to invest CNY50 billion (US$6.9 billion) over the next 10 years to develop its own mobile processors, and is set to unveil such chips this week.

Bloomberg reported, the Chinese smartphone manufacturer’s co-founder Lei Jun said “chips are at a peak we need to climb and a hard battle we cannot escape if we want to become a hard tech company”.

Lei confirmed the company will unveil its first internally developed processor the Xring O1 on May 22nd, following speculation on the chipset.

The Xring O1 had been development since 2021 on the back of an investment of CNY13.5 billion along with CNY6 billion spent on R&D in 2025 alone, noted the co-founder. Xiaomi currently has 2,500 people in its semiconductor ream.

The chipset will see its debut in the Xiaomi 15S Pro smartphone and the Xiaomi Pad 7 Ultra, reported Reuters.  

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Southeast Asia smartphone market slips after five quarters of growth

According to analyst firm Canalys, the Southeast Asian smartphone market declined in Q1 2025, marking the end of five consecutive quarters of growth due to economic headwinds.

Canalys reported that the market contracted by 3% year-on-year, with total shipments falling to 22.8 million units in the first quarter of 2025.

Samsung led the market with 4.3 million units shipped, capturing a 19% market share. Xiaomi followed in second place with 4 million units and a 17% share – notably, it was the only vendor in the top four to post growth, recording a 4% year-on-year increase.

Transsion ranked third with 3.3 million units shipped, accounting for 15% of the market. Chinese brands OPPO and vivo followed with 3.2 million units (14%) and 2.7 million units (12%) respectively.

Canalys research manager Le Xuan Chiew noted that vendors built up inventory as a hedge against anticipated macroeconomic risks, while consumer demand was impacted by inflation. This combination led to a 5% year-on-year rise in average selling prices, which Canalys warned is “expected to further dampen consumer demand.”

Le also identified Vietnam as a potential bright spot amid the broader economic challenges.

“Its stable governance, improving infrastructure, and proximity to component suppliers make it an attractive destination for long-term investment in smartphone production. Beyond economic advantages, Vietnam’s push for 5G presents a valuable opportunity for brands to expand their 5G portfolios and tap into the growing middle class,” said Le.

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Equinix JK1 data centre open for business in Indonesia

Digital infrastructure company Equinix has inaugurated its first International Business Exchange data centre in Jakarta under a joint venture with Indonesian conglomerate Astra International.

The data centre, called JK1, provides access to more than 50 global and local network service providers and internet exchanges.

Equinix says that by leveraging its cloud-dense and highly secure platform, businesses in Indonesia can deploy data networks and services rapidly and at scale with a global footprint and an extensive digital ecosystem.

Haris Izmee, Managing Director of Equinix Indonesia, points out that “e-commerce remains Indonesia’s largest sector in the digital economy, with the industry potentially reaching US$120 billion in 2025. This growth is further accelerated by a remarkable surge in cloud adoption.” He adds: “As the nation gears for Indonesia Emas 2045 vision, establishing itself as a key digital hub in Asia will be crucial for long-term economic transformation.”

Indonesia Emas 2045 is a vision for Indonesia to become a prosperous, advanced, fair and sovereign nation by 2045, its centennial year of independence.

Equinix JK1 is located in Jakarta’s Central Business District, close to major internet exchanges in the region. It is an eight-storey facility that offers 550 cabinets in the first phase, with a total capacity of 1,600 cabinets and colocation space of 5,300 square metres when fully built. The facility will provide interconnection services, including Equinix Fabric and Equinix Internet Access.

JK1 leverages innovative technologies such as cooling array and liquid cooling technology, ensuring efficient heat management for high-density and high-performance computer workloads such as artificial intelligence.

JK1 is designed to achieve an average power usage effectiveness (PUE) of 1.41 at full load and is 100% covered by renewables through the purchase of renewable energy credits (RECs). 

This news follows our announcement last week of further growth for the company in the Asia-Pacific region as Equinix completed the second phase of its KL1 International Business Exchange (IBX) data centre in Cyberjaya in Malaysia.

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ABS, SpaceBridge and Starlink target major satcoms deals

It’s been another busy week for satcoms, with Agility Beyond Space (ABS), a global satellite operator, and SpaceBridge, a provider of satellite network equipment solutions, targeting managed services in EMEA, while satellite communications service Starlink is reportedly pursuing a Wi-Fi deal with the Emirates airline.

Early this week ABS and SpaceBridge announced an intent to enter into a strategic collaboration to enhance managed data services across Europe, the Middle East, and Africa (EMEA). This partnership aims to leverage both companies’ expertise to expand the availability of satellite-enabled services, including broadband and internet trunking, serving enterprises, government agencies, mobile network operators and other essential sectors.

With experience in VSAT platforms, network optimisation and satellite system integration, SpaceBridge says it brings deep technical expertise to the partnership. The companies say they are jointly reviewing innovative service models that could improve flexibility, performance and coverage across a range of markets.

Meanwhile the Bloomberg news service says that Emirates is in discussions with space technology company SpaceX to overhaul the carrier’s internet service as the airline looks to enhance its in-flight Wi-Fi by fitting its widebody jets with SpaceX’s Starlink internet service.

Emirates apparently has a widebody fleet of about 250 jets and more than 300 on order, so this could be quite a significant contract if agreed, which, of course, is not yet confirmed. Whether the potential deal would be available to all passengers is not clear, but it would bring Starlink to one of the world’s biggest fleets with a highly regarded service.

There could, however, be issues involving regions where Starlink doesn’t yet work and a need for authorisation for use in the UAE itself. Starlink would also need certification for the Airbus A380 double decker and the Airbus A350, although the latter permission is apparently imminent.

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OMEA and IFC aim to strengthen digital access in Africa

Multi-service operator Orange Middle East and Africa (OMEA) and the International Finance Corporation (IFC), a private sector-led development aid institution and member of the World Bank Group, have signed a partnership to sustainably strengthen digital access in eight African countries.

OMEA and IFC say they are joining forces to develop more inclusive and sustainable digital connectivity in often underserved areas of West and Central Africa, though the announcement does not seem to specify which eight countries will be targeted.

This partnership, agreed at the Africa CEO Forum held in Abidjan on 12 and 13 May, aims to mobilise the complementary expertise of both signatories. IFC says it will bring its expertise in development finance, while OMEA will capitalise on its local roots and strong network in the region.

The promise is that various (again so far unspecified) telecommunications infrastructure construction and deployment projects, involving towers, fibre and more, will be carried out in the target countries in the coming years.

IFC points out that this collaboration builds on initiatives it has already backed, such as supporting the first-ever securitisation in the telecommunications sector in West Africa and providing sustainable funding to Senegalese operator Sonatel. These two operations, for a total amount of approximately US$75 million in 2024, allow Sonatel to strengthen the country’s digital infrastructure and expand 4G coverage and fibre optic connectivity in rural areas of Senegal.

Together, the two partners say they aim to provide a replicable investment model aimed at bridging the digital divide, fostering financial inclusion, strengthening territorial resilience and creating jobs, particularly in the digital economy.

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GSMA calls for governments to cut spectrum price

The GSMA has urged governments worldwide to reduce spectrum prices, warning that high fees are choking the telecoms industry and threatening long-term economic development.

In a new report, the industry body revealed that spectrum prices have not fallen in line with operator revenues over the past decade, limiting the ability of mobile network operators to invest in critical infrastructure.

While consumer prices have declined, the overall financial burden on operators has sharply increased. According to the GSMA, cumulative global spectrum costs now account for 7% of operator revenues – a 63% rise over the last ten years.

At the same time, average revenue per megahertz has dropped by up to 75% in some bands since 2014. To meet rising demand for bandwidth, operators have expanded their spectrum holdings by 80% over the same period, further driving up total costs.

Consumers, meanwhile, have benefited from a significant drop in data prices. The GSMA noted that the cost of a gigabyte (GB) of data has plummeted by 96% between 2014 and 2024.

GSMA Director General Vivek Badrinath said: “The mobile industry sits at the heart of the digital economy, enabling services and opportunities that transform lives. But a dollar can only be spent once, and high spectrum costs can choke investment at a time when the need for affordable, reliable connectivity has never been greater.

“Governments and regulators must prioritise spectrum pricing that reflects market realities and fosters long-term digital growth. By ensuring spectrum is affordable, they can unlock faster network expansion, better service quality, and greater digital inclusion for all of their citizens.”

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Cellfie Mobile expands Qvantel partnership to boost digital growth

Georgian mobile operator Cellfie Mobile has expanded its partnership with Finnish BSS provider Qvantel to include managed services for its business support systems (BSS), in a move aimed at accelerating its evolution into a digital services provider.

As part of the agreement, Qvantel has established an operations centre in Georgia and assembled a team of BSS experts to provide daily support to Cellfie.

Giorgi Niniashvili, Chief Information Technology Officer at Cellfie Mobile, said: “As the first mobile operator in Georgia to launch 5G services, we are proud to be leading the country’s digital advancement. Having a dedicated team of Qvantel BSS experts working alongside us strengthens our ability to innovate faster, operate more efficiently, and deliver the best possible experiences to our customers.”

The deal builds on Qvantel’s recent contract wins with Perfectum in Uzbekistan and Veon across multiple markets in its global footprint.

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Telefonica reportedly hires Citi for Chile retreat

Telefónica has reportedly appointed investment bank Citi to advise on the sale of its Chilean unit, as the group continues to scale back its presence in Latin America.

According to Reuters, citing El Confidencial, the sale of its business in Chile would result in a capital loss for Telefonica. Under the leadership of new Group CEO Marc Murtra, the company has aggressively streamlined its portfolio to focus on its core markets in Brazil, the UK, Spain, and Germany.

So far, Telefonica has exited or reached agreements to divest its operations in Colombia, Peru, and Argentina. It has also reportedly hired JP Morgan to advise on the sale of Movistar Mexico, despite it being the country’s second-largest operator.

Telefonica has operated in Chile for 25 years, following its acquisition of a majority stake in Compania de Telefonos de Chile. Over time, the brand transitioned to Movistar and expanded its portfolio to include fixed-line and internet services.

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TRAI to charge satellite internet players 4% of AGR for spectrum use

The Telecom Regulatory Authority of India (TRAI) said on Friday it intends to charge satellite internet players up to 4% of their adjusted gross revenue (AGR) over a five-year period to use spectrum allocated to them for satellite broadband services.

According to a statement from TRAI, both geostationary and non-geostationary satellite operators will have to pay a minimum annual fee of INR3,500 (around US$41) per MHz, with a cap of 4% of AGR.

Non-geostationary satellite operators – such as Eutelsat OneWeb and Starlink – will also have to pay an additional INR500 per subscriber per year for urban areas. Rural and remote areas will be exempt from the subscriber fee. TRAI said the government will also consider whether to subsidise satellite terminals in those areas.

TRAI also recommended that the Ku, Ka, Q/V, L, S, and C bands be assigned a period of five years, which the option to extend the assignment by another two years.

The proposal comes after months of consultation and debate that started when TRAI issued a consultation paper on terms and conditions for assigning spectrum for satellite internet services in September 2024.

The proposal still has to be approved by the Department of Telecommunication’s Digital Communications Commission and ratified by the cabinet, but it would officially establish TRAI’s preferred method of assigning satellite spectrum by administrative allocation rather than an auction process.

India’s three main telcos – Bharti Airtel, Reliance Jio and Vodafone Idea – had argued that an auction would be more fair, as the administrative allocation process would unfairly enable satellite broadband players to compete with telcos by offering cheaper internet services.

According to a report from ETTelecom on Friday, TRAI chairman AK Lahoti reiterated that the regulator considers satellite broadband to be a complementary service for terrestrial broadband, not a competitive one.

“It’s not factually correct that satcom services are competing with terrestrial services because there is a huge difference between the capacity of the terrestrial network and the satellite network,” Lahoti was quoted as saying.

Ironically, Airtel and Jio signed separate partnership deals with Starlink in March. Jio is also working with LEO satellite operator Eutelsat OneWeb via Orbit Connect India, the JV it established with SES in 2022.

The TRAI recommendations arrived a day after Starlink received a Letter of Intent from the Department of Telecommunications (DoT) for a satcom licence. The LEO satellite operator still needs clearance from Indian space regulator IN–SPACe before it can officially launch services.

Like Eutelsat OneWeb and Orbit Connect (which have all the necessary licences and regulatory clearances), Starlink is also waiting for the DoT to officially allocate spectrum with which to offer services, although the DoT provisionally allocated satellite spectrum to OneWeb and Orbit Connect in October 2024 for testing their respective satellite broadband services.

All licencees will also be required to comply with long list of security requirements, which the DoT revised last week.

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Starlink creeps closer to Indian launch

The Indian government has reportedly granted conditional approval for SpaceX’s Starlink to begin offering satellite internet services in the country, according to a report by CNBC-TV18.

The broadcaster said a Letter of Intent was issued to the Elon Musk-owned company on May 7, signalling that a commercial launch is likely imminent. Similar letters were previously issued to Eutelsat OneWeb and Jio Satellite Communications ahead of their full licence approvals, CNBC-TV18 noted.

Starlink has faced several regulatory and political hurdles in its bid to enter the Indian market, which is among the largest in the world for internet connectivity due to its massive population. Its planned rollout encountered opposition from local mobile network operators, as well as national security concerns related to its low Earth orbit (LEO) satellite constellation.

Ahead of receiving the government’s Letter of Intent, SpaceX had signed agreements with major Indian telecom players Reliance Jio and Bharti Airtel to support the launch of its Starlink services.

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