Around the time Meng returned to the company, a Qualcomm affiliate formed a joint venture with Semiconductor Manufacturing International Corp, the largest chip foundry in China together with Huawei Technologies Co Ltd, a telecom equipment maker, and imec, one of the world's leading nano-electronics research and development centers, to develop the next-generation integrated circuits.
Industry research firm IDC said joint ventures with local players could be an efficient way for overseas tech companies such as Qualcomm to penetrate the Chinese market further in coming years.
To prepare for the future, Meng-led Qualcomm China announced another JV in late January, this time with Southwest China's Guizhou province, to develop and manufacture server chips.
Qualcomm took a 45 percent stake in the 1.85-billion-yuan ($280-million) joint venture, while the rest was held by the investment arm of the Guizhou provincial government.
Xu Shaoshi, head of the National Development and Reform Commission, the country's top economic planner, said cross-border technological innovation will play a key role in China's economic growth. "China welcomes foreign investment (in the IT sector)," Xu said.
According to the Ministry of Industry and Information Technology, the Chinese IT manufacturing segment grew by a healthy 10.5 percent year-on-year in December 2015. The ministry said IT will drive growth as the export-oriented manufacturing sector continues to wither. Meng is confident China is a huge market where domestic consumption of electronics is set to grow.
CLOSE-UP
Frank Meng
Chairman, Qualcomm China
Born in 1960 in Beijing
Career:
2003-10: President, Qualcomm China
2010-13: Vice-president, Motorola Mobility
2013-15: President, 21Vianet Group
2015-to present: Chairman of Qualcomm China
Education:
1982: Bachelor's degree in microwave and fiber optic communications, the Beijing University of Posts and Telecommunications.
1987: Master's degree in electrical engineering, the Polytechnic University of New York.
