Microchips for smartwatches from Xiaomi, Google, Samsung, etc. and other applications are drawing a critical mass of high-tech companies out of Greece, many of which have been taken over by powerful multi-billion dollar international players. Notable examples are Think Silicon, which was acquired by US-based Applied Materials in 2020, Helic, which was taken over by US-based Ansys in 2019, and Zepp Health, which is listed on the New York Stock Exchange, decided to land in Greece a few days ago. , through its subsidiary Whale Microelectronics. Nikos Moskopoulos, Head of R&D at WhaleMicro in Greece, refers to the course of those companies that laid the foundations for the development of these valuable, now hard-to-find components in Greece 20-25 years ago, as well as Zepp Health’s plans in our country.

Mr. Moshopoulos’ journey began in 2000 at Atmel, a technology company with offices in Athens and Patras, where he specialized in the development of integrated circuits for wireless networks. “At some point, we managed to take about 20% of the world market for the design of such chips. They were made in Taiwan but designed in Greece,” he says in K, comparing Atmel’s time in Greece to… the Big Bang. “Several people who worked there studied the topic, spread their wings, and then created their own companies. There are many companies in the semiconductor industry in Greece, which are either owned by multinational corporations or operate independently.” According to HETIA (Greek Emerging Technology Association), there are at least 15 companies operating in the semiconductor industry in our country, employing at least 500 people.

Zepp Health’s flagship product is the Amazfit smartwatch with $500 million in annual sales.

After Atmel’s departure from Greece, Mr. Moskopoulos worked for the Dutch company SiTel, the company that hired part of the Atmel Hellas staff. The main goal of SiTel was to develop schemes and applications related to Internet telephony (VoIP). “We were able to make the chips along with the software that was integrated into Cisco and LG phones,” says Mr. Moskopoulos, recalling that in 2011 the Dutch company was taken over by Dialog Semiconductor (along with facilities in Patras and Athens), where he himself remained for about 10 years. “Dialog Semiconductor was used to make one of the chips used to control the power supply in Apple products. It acquired the Dutch SiTel to expand its customer base, and not just supply Apple chips. The Greek group has begun developing a new series of low power bluetooth products, increasing the category’s turnover to $90 million at the end of 2020. In 2021, Dialog was taken over by Japan’s Renesas for $4.8 billion. in its clientele, a product that later played a decisive role in the development of the career of Mr. Moshopoulos. “Until 2021, I produced chips that were placed in the Xiaomi mi band (portable devices that measure health indicators), as well as other similar products,” he said, noting that Xiaomi then commissioned a small Chinese company, Huami, to do this. create these portable devices with your own stamp. “At Dialog, I worked with a Chinese company to create a product and Xiaomi to market it.”

After the success of the product, Huami acquired the US-based Zepp, which produced smartwatches for measuring biometric data and various health indicators (oxygen, heart rate). It was later renamed Zepp Health and listed on the New York Stock Exchange in 2019. The company’s main brand is Amazfit smartwatches, with sales reaching half a billion a year, followed by other similar products. Zepp Health has also created a subsidiary, Whale Microelectronics, responsible for developing microchips that are integrated into the smartwatches it produces. “In 2020, and with Trump’s strained relationship with China, the company wanted to have control over the entire supply chain, develop its own semiconductors, and not depend on other suppliers.” This is how WhaleMicro was created with offices in China (Hefei, Shenzhen, Beijing), Dallas, USA and an R&D center in Athens.

“Strategy” WhaleMicro in Athens

The chips used in Zepp Health’s smartwatches are expected to be built in Athens – possibly in the Kallithea area – by those who will work at the WhaleMicro subsidiary’s R&D center under construction.

At the moment, the team has 11 people, many of whom come from Dialog, but there is also interest from Greeks abroad who are exploring the possibility of returning to the country. “In the future, we plan to produce other chips for the products of the parent company.

WhaleMicro plans to knock on the doors of other large companies that produce smart home devices, remote controls, etc.”

In the first phase, the investment is $2 million and concerns the development of chips for Zepp smartwatches such as Amazfit, which, according to Mr. Moshopoulos, is the fourth best-selling smartwatch in the world. Starting next year, the company intends to double its staff, gradually expanding its presence in other European countries. “They chose Greece, on the one hand, because of my own participation in the project to create the Xiaomi mi band, on the other hand, because of the talent that exists in the country.”

Competition, as well as a lack of talent, make our country attractive to many. “In addition, the cost of wages for highly skilled workers in Greece is now lower than in China,” he says, adding that Greece is a gateway to Europe, unlike other countries such as Germany, where rules for Chinese companies are unfavorable.

Zepp Health, which is 15% owned by Xiaomi, reportedly reached $1.2 billion in revenue in 2021, but its shares on the New York Stock Exchange are under pressure, falling from $11 last July to $1.74 this year. this year.

Moshopoulos said the drop is due to lockdowns in regions of China where the company has a presence, a correction the tech sector is undergoing, and additional U.S. government scrutiny of listed Chinese companies, including Alibaba. .