MediaTek to be at the leading position in global smartphone chip market in 2021: Report
By MYBRANDBOOK
As per a report, MediaTek, the mobile chip maker will be leading the global smartphone system-on-chip (SoC) market with 37% share while Qualcomm will lead the global 5G smartphone SoC market with 30% share. The Counterpoint Research mentioned that MediaTek leveraging TSMC and its affordable 5G portfolio is well-positioned to almost double its market share in the 5G smartphone SoC/AP segment.
"Together, MediaTek and Qualcomm occupy nearly two-thirds of the 5G smartphone SoC market demand, but the gap between the two has narrowed. Having said that, the foundry capacity will continue to remain tight till early 2022, before the next wave of CAPEX realises at the leading nodes," explained Research Analyst Parv Sharma.
The leading-edge nodes (7nm, 6nm and 5n) will make almost half of the smartphone shipment volume during 2021 whereas the 5G AP/SoC chipset volumes will more than double annually in 2021.
"MediaTek is likely to continue its Q4 2020 momentum into 2021 and likely to capture 37% unit share of all the smartphone AP/SoC shipped for the full year. Further, MediaTek in the first half of 2021 will benefit from Qualcomm's current supply constraints," explained Research Director Dale Gai.
However, Qualcomm is set to bounce back strongly in H2 2021, firstly by securing greater capacity at TSMC to boost its 5G-centric tiered Snapdragon portfolio.
"Secondly, taking key steps to improve the supply of PMICs and RFICs should alleviate the supply constraints in coming months. This will allow Qualcomm to maintain its leadership in 5G SoC market and overall market share of 31 per cent still growing annually," Gai said in a statement.
According to Sharma, Qualcomm's market share in 5G segment would have been even higher if it did not face the unfortunate supply constraints in the first half of 2021.
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