As the core hardware of Global Navigation Satellite Systems (GNSS), navigation and positioning chips handle critical functions such as signal reception, processing, and Position-Velocity-Time (PVT) computation, forming the essential foundation for precise navigation services. In 2026, driven by the acceleration of low-altitude economy deployment and the intensified rollout of satellite internet constellations, the domestic navigation and positioning chip industry is experiencing a powerful convergence of policy support and market demand.
On the market front, growth opportunities are widening. Policy-wise, the national "15th Five-Year Plan" emphasizes commercial aerospace development, with the Ministry of Industry and Information Technology targeting over 10 million satellite communication users by 2030. Industry-wise, low Earth orbit projects such as China SatNet's GW constellation and Yuanxin Satellite's Qianfan constellation are advancing rapidly, with Qianfan aiming to deploy 648 satellites by the end of 2026—driving strong demand for both spaceborne and ground-based receiver chips. The low-altitude economy market is projected to exceed 1.2 trillion yuan in 2026, with large-scale adoption of drones and other terminals creating massive demand for navigation chips and expanding chip application boundaries. Industry revenue reached approximately $3.801 billion in 2025, with scalable growth expected to accelerate in 2026.
Capital markets are helping to speed up industry upgrades. Unicore Communications’ planned IPO on the Hong Kong Stock Exchange is drawing significant attention. Ranked sixth globally and second in China for GNSS chip and module shipments in 2024, Unicore also holds the fourth position globally in dual-frequency high-precision RF-baseband integrated chips. Its revenue grew 19.4% year-over-year in the first half of 2025, with continued narrowing of losses. A successful listing would establish it as a key capital platform for the industry, supported by industrial investors such as BYD and Gree Venture Capital, accelerating resource integration and shifting the sector from "low-price competition" to "technology and brand dual-drive."
Performance divergence among leading companies reflects an evolving competitive landscape. In the first three quarters of 2025, BDStar Navigation led with revenue of 1.507 billion yuan, driven by its 22nm high-precision chip “Unicore Nimbus IV,” targeting premium segments such as smart driving and drones. Huada Chuangtong returned to profitability, while Zhenxin Technology maintained a leading gross margin of 61.23%. In 2026, competition is expected to focus on high-precision and automotive-grade segments, with performance differentiation shifting from "scale expansion" to "technology premium."
Technological advancement is becoming a core competitive advantage. Demand for 22nm and below process nodes will continue to grow in 2026, with multi-mode multi-frequency compatibility and anti-interference capabilities as key competitive factors. BDStar’s 22nm chip integrates baseband, RF, and algorithms, significantly reducing power consumption and package size. Unicore’s Smart Suppress® multi-level anti-interference technology and multi-system compatibility enhance reliability in challenging environments. Moving forward, centimeter-level positioning requirements will drive adoption of sub-22nm processes and GNSS+IMU multi-source fusion technologies, making technical barriers a foundational element for market leadership.
ICgoodFind : The navigation and positioning chip industry is entering a high-growth phase, driven by technological upgrades and market expansion. We are dedicated to connecting the industry with premium chip resources to capitalize on new opportunities.
