According to a report recently released by Counterpoint, in the third quarter of 2020, MediaTek surpassed Qualcomm for the first time and became the mobile phone chip manufacturer with the highest market share in the world.
According to data, in the third quarter, 100 million mobile phones equipped with MediaTek chips were sold globally, and MediaTek’s market share thus reached 31%, a year-on-year increase of 5%, ranking first. Secondly, Qualcomm’s market share was 29%, down 2% year-on-year, ranking second; HiSilicon, Samsung, Apple, and Ziguang Zhanrui ranked second to fifth respectively (Samsung and Apple both had 12% market share) .
Counterpoint pointed out that the main reasons for the surge in MediaTek’s market share include: its strong performance in the mobile phone market at the price range of US$100 (about 653 yuan) to US$250 (about 1633 yuan), and its presence in China, India, etc. The market continues to grow.
The increase in market share is directly reflected in performance. Financial report data shows that in the quarter, MediaTek’s revenue and net profit both hit record highs, of which revenue increased by 44.7% year-on-year to NT$97.275 billion (approximately RMB 22.6 billion); net profit increased by 93.7% year-on-year to NT$13.367 billion. (Approximately 3.11 billion yuan).
However, subdivided into the field of 5G chips, MediaTek’s market share still lost to Qualcomm. During the quarter, 39% of all 5G mobile phones sold worldwide used Qualcomm chips.
As the market share of 5G mobile phones continues to grow, Counterpoint believes that Qualcomm, which has a certain 5G chip advantage, still has a chance to regain a round in the fourth quarter and regain its status as the mobile phone chip manufacturer with the highest market share in the world. According to Counterpoint data, in the third quarter, 17% of all mobile phones delivered were 5G mobile phones, and the proportion of 5G mobile phones in the fourth quarter is expected to further rise to one-third.
It seems that 5G chips have become a core competition point for mobile phone chip manufacturers, and MediaTek is also stepping up its layout.
According to media reports, MediaTek CEO Cai Lixing said when attending the IEEE Global Communications Conference recently that MediaTek will launch 5G flagship chips as early as the first quarter of next year and before the Chinese New Year. There is a view that MediaTek’s 5G flagship chip performance will be better than Qualcomm’s Snapdragon 888.