Chips for high-definition TVs will be produced by Shanghai-based Semiconductor Manufacturing International Corp, the biggest made-to-order chip maker on the mainland, the firm said yesterday.

The chips go into set-top boxes that enable users to receive China's wireless digital high-definition TV.

SMIC and Shanghai High-Definition IC, a semiconductor company and chip designer, have signed an agreement for mass-volume chip manufacture.

HDTV, which has four times the image quality of DVD, is becoming increasingly popular. More than half of the 40-inch-or-above LCD TV market is currently high-definition.

Wireless HDTV was popularized during the Olympics, when viewers in remote regions without traditional television coverage were able to use wireless set-top boxes to watch Olympic events on CCTV's HD channel.

"With the support from SMIC, we are fully committed to meet China's growing television audience and cultural needs," said Xia Pingjian, vice president of Shanghai HDIC.

Set-top makers such as XinDalu, Ningbo HongYang and Jiangsu Galaxy have also launched high-definition digital TV receivers.

Shanghai started a trial of wireless high-definition television in June. It was the country's second city to adopt the technology, after Beijing.

"Sports and big events will be HDTV services' major attractions for Chinese users," Wang Changsong, secretary general of the Shanghai Information Household Appliance Industry Association, said in September.

China's flat-panel TV sales, including liquid crystal display and plasma models, reached 6.12 million units in the second quarter, 84.9 percent growth from a year ago.

(Shanghai Daily October 15, 2008)