Taipei, Nov. 7 (CNA) The Ministry of Economic Affairs (MOEA) signed a memorandum of understanding for cooperation agreement with smartphone chip designer Qualcomm Inc. Monday to work with the U.S. high-tech giant to accelerate Taiwan's pace in developing mobile communications as well as the Internet of Things (IoT).
On behalf of the MOEA, Vice Economics Minister Shen Jong-chin (沈榮津) signed the MOU with Qualcomm Executive Chairman Paul E. Jacobs in Taipei.
Under the memorandum, Taiwan and Qualcomm will work on 4G and 5G communications and IoT development, helping Taiwan set up supply chains in these areas, the MOEA said.
In addition, Qualcomm has agreed to establish a new testing laboratory and a technology development team in Taiwan, a move that is expected to provide Taiwan-based Internet and communications firms with technology assistance, the MOEA added.
Qualcomm has also promised to allow Taiwan's Internet and communications sector to use its worldwide technology network to market their products and solutions in the global market, the ministry said.
Shen said that before signing the MOU, Taiwan and Qualcomm had set up a long term partnership, and the new accord shows the country's determination to build itself into a Silicon Valley in Asia by expanding research and development ties with the U.S. firm.
Shen said that through further cooperation with Qualcomm, Taiwan is expected to take advantage of the U.S. firm's advanced technology to strengthen the country's innovative capabilities.
According to the MOEA, the government-sponsored Industrial Technology Research Institute (ITRI, 工研院), local original equipment manufacturers, original design manufacturers, Internet network operators and Internet solution providers will join Qualcomm for future R&D.
Representatives from a group of Taiwan's high tech firms, such as telecom service provider Chunghwa Telecom Co. (中華電信), Taiwan Mobile Co. (台灣大哥大), PC vendor Asustek Computer Inc. (華碩), the world's largest contract electronics maker Hon Hai Precision Industry Co. (鴻海), wireless communications device provider Wistron NeWeb Corp. (啟碁) and smartphone brand HTC Corp. (宏達電) attended the signing ceremony and demonstrated their latest innovations.
(By Jackson Chang and Frances Huang)