In 2018, there will be more mergers and acquisitions in the electronics industry, which will have an impact on competition, pricing, and technology availability. In addition, China and Taiwan will continue to invest heavily in the semiconductor component industry, which will lead to a number of new companies with advanced technology in proprietary fields.
As time series enters 2018, including the Internet of Things (IoT), 5G, artificial intelligence, autonomous driving, and augmented reality/virtual reality (AR/VR), which are already very popular in 2017, a new one is expected. The year will still be hot. Moreover, some of these market segments are very broad, such as 5G and IoT technologies, so we will still find new developments in these market segments in 2018.
Narrowband Internet of Things or NB-IoT technology (commonly classified as cellular and IoT) is a low transmission rate technology that connects IoT devices to the cellular network. Traditional LTE is used for smartphones and other devices that need to transmit data at high speed in a cellular network, but NB-IoT is quite different. It has very low power consumption and very little data transmission. It is an efficient connection technology. Therefore, it is more suitable for connecting devices that need to use a battery to operate for a long time.
China Mobile is actively promoting this technology and investing in upgrading its network to support NB-IoT technology. There are dozens of semiconductor companies currently developing solutions for the NB-IoT technology market, which is expected to grow rapidly in 2018. For example, a chipset from ZTE selected CEVA's IoT processor and is now ready to enter the market. More companies will follow suit next year.
In terms of 5G, the Winter Olympics in South Korea in 2018 will be the first large-scale deployment of 5G networks and equipment, so this year will be a milestone in the development of 5G technology. In addition, 3GPP intends to implement the 5G plan one year ahead of schedule, so in 2018 it will be seen that the cellular infrastructure will accelerate forward, and various solutions will develop rapidly to prepare for the deployment in 2019. Three of the top five base station OEMs have been authorized by CEVA to adopt CEVA's DSPs in their 5G ASIC designs, including ZTE.
"Sound" is another hot topic in 2018. Whether it is Alexa or China's Beijing Linglong Technology (Linglong; Jingdong and Keda Xunfei joint ventures), the voice assistant products, until the use of neural networks for voice biometrics of home security systems, as well as industrial applications, in order to be here Listening, interpreting, purifying, and analyzing sound in a range of applications, you can configure an intelligent sound processor to monitor the machine's unusual noise, which often shows the problem.
There are other hot topics in 2018, including more computer vision and artificial intelligence technologies that will be used in smartphones.
In addition, in 2018, we will see the rapid increase in the use of neural networks in many end markets and products. This technology has grown by leaps and bounds in the past 12 months, and large-scale market deployments will be seen in 2018, including not only visual but also sound, and even wireless communications. Recently, both Apple and Huawei have added neural network capabilities to their smartphones, indicating that the market is about to take off. Neural networks are difficult to generate using training, but it is more difficult to configure in embedded devices. CEVA has developed a special processor, accelerator and software framework and has licensed it, hoping to greatly simplify the deployment of neural networks in embedded devices. It is expected that many such products will be available in 2018. Many customers in Taiwan use CEVA's computer vision and neural network technologies, including Novatek and Sunplus, and expect to see advanced neural networking products in the coming year.
There will also be changes in the industry, and we can expect to see more mergers and acquisitions in the electronics industry, which may have an impact on competition, pricing, and technology availability. In addition, China and Taiwan will continue to invest heavily in the development of their own semiconductor components industry. In 2018, a number of new mainland and Taiwanese companies with advanced technologies in their proprietary fields will emerge. We have worked with some of these companies and look forward to sharing their success.
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