While MediaTek’s recent new mobile chipsets – the Helio P70, Helio P60 – were received well in the mobile industry, current data paints a not so rosy picture of the previous months for the chip maker. As per studies, MediaTek revenues in October actually fell by 9.8 percent as compared to September, a decrease of 0.84 percent Y-o-Y. Furthermore, most of 2018, while not being a complete flop, also hasn’t earned the company anymore. In fact, revenue was down by a very slight 0.4 percent.
MediaTek’s projection this year was to achieve a targeted 10 percent increase in shipments. However, even with a better response to the MediaTek Helio P70 from brands like Xiaomi and OPPO, the company’s order book still lies at 1 to 110 million chips which is the same as the last quarter of 2018. The current situation was not helped by the fact that smartphone shipments shrank in the same quarter. It is even compounded by the risk that some of their orders might get canceled next year.
On the other hand, Qualcomm’s presence in the mid-range chipset category was augmented with the announcement of the new Snapdragon 7xx series this year which was in competition with the Helio P70. Furthermore, MediaTek’s decision to withdraw from the high-end chip segment has also left the arena open for Qualcomm. This factor will, inevitably, come into play, even more, when 5G is introduced as expectations are that the US-based chip manufacturer will be the major supplier even as MediaTek will start mass-producing its own Helio M70 SoC by next month.
(via)
