Core Viewpoint - The initial ruling by the U.S. International Trade Commission (ITC) found that the company's subsidiaries did not infringe on the patents claimed by Skyworks Solutions, allowing the company to continue exporting its products to the U.S. market [1][6]. Group 1: Legal Proceedings - On May 2024, Skyworks filed a patent infringement lawsuit against the company's subsidiary, claiming infringement of five patents related to specific RF front-end modules (FEMS) [4]. - The ITC issued a notice of investigation in August 2024, formally opening the case under Inv.No.337-TA-1413 [4]. - The ITC's administrative law judge issued a preliminary ruling on January 24, 2026, stating that the company did not violate Section 337 of the Tariff Act of 1930 [4][6]. Group 2: Patent Status - Three of the patents involved in the investigation (US 9,450,579, US 9,148,194, and US 7,409,200) were withdrawn by Skyworks during the evidence disclosure phase, terminating the investigation for those patents [5]. - The company has not infringed on any of the five patents claimed by Skyworks [6]. Group 3: Business Implications - A favorable ruling in the 337 investigation would allow the company's products to continue entering the U.S. market, strengthening its market share and industry influence [6][9]. - The outcome of the investigation will not directly affect the company's operations in markets outside the U.S. due to the territorial nature of patents [7][9]. - The 337 investigation does not involve monetary damages, and any litigation costs will cease following the final ruling, indicating no significant legal expenses for 2026 [7][9]. Group 4: Company Performance - For the first three quarters of 2025, the company reported total revenue of 526 million yuan, a year-on-year increase of 39.32%, but incurred a net loss of 30.53 million yuan [10]. - The company faced significant litigation and attorney fees amounting to 50.6 million yuan from January to September 2025, which impacted its net profit [10].

Core Viewpoint - The article discusses the challenges and experiences of chip startups in China, highlighting the difficulties in gaining market acceptance and the need for perseverance in a competitive environment [3][6][7]. Group 1: Market Challenges - Chip startups often face skepticism and prejudice from domestic customers, making it difficult to establish credibility and secure orders [3][4]. - The experience of launching products like Wi-Fi switches demonstrates that initial success may come from international markets before gaining traction domestically [3][6]. - The competitive landscape is harsh, with companies often resorting to loss-leading sales strategies to penetrate the market [4][8]. Group 2: Customer Relations - Building trust with customers is a gradual process, where initial interactions may involve providing evidence of product performance to gain credibility [3][6]. - The dynamics of customer interactions can be challenging, with instances of clients demanding extensive information without reciprocating with testing opportunities [4][6]. - The importance of pricing strategies is emphasized, as competitive pricing can be a key factor in attracting customers who are initially skeptical [8]. Group 3: Product Development and Market Positioning - The article highlights the struggle of developing high-quality products in a market that often undervalues them, particularly in the Wi-Fi FEM segment [7][8]. - Despite the challenges, companies are encouraged to focus on differentiation and understanding customer pain points to create value [7]. - The narrative suggests that smaller, agile startups may have an advantage over larger, more bureaucratic firms in the current market environment [6][7].

Core Viewpoint - 康希通信 has terminated its plan for a major asset restructuring involving the acquisition of a 51% stake in Shenzhen Chip Zhongxin Technology Co., Ltd. (芯中芯) due to unfavorable conditions for implementation. Instead, the company will acquire a 35% stake, increasing its total ownership to 37.77% [2][4]. Group 1: Acquisition and Restructuring - 康希通信 initially planned to acquire a 51% stake in 芯中芯, which would have allowed it to gain control over the company. However, the conditions for this major asset restructuring were deemed not mature enough, leading to the termination of the plan [2][4]. - The new investment plan, which involves acquiring 35% of 芯中芯, does not constitute a major asset restructuring as defined by regulations, thus avoiding the need for further approval processes [3][4]. Group 2: Financial Performance - 芯中芯 reported a revenue of 395 million yuan and a net profit of 16.1 million yuan for the year 2024. In the first quarter of 2025, it achieved a revenue of 118 million yuan and a net profit of 12.9 million yuan [4][5]. - 康希通信's financial performance showed a revenue of 523 million yuan in 2024, a year-on-year increase of 25.98%. However, the net profit was a loss of 76.1 million yuan, a significant decline of 867.3% compared to the previous year. In the first quarter of 2025, the revenue was 135 million yuan, a 64.53% increase year-on-year, but the net loss expanded to 30.2 million yuan [6][7]. Group 3: Company Overview - 康希通信 focuses on the research and design of RF front-end chips, particularly high-performance Wi-Fi RF front-end chips and modules. Its product offerings include Wi-Fi FEM, IoT FEM, V2X FEM, and drone applications [5][6]. - 芯中芯 specializes in providing high-end smart products and solutions, integrating research, production, and marketing, with a focus on wireless RF product development and IoT solutions [4].