Counterpoint: MediaTek Has Become The World’s First Smartphone Chip Maker

MediaTek MT6893

As Counterpoint reported today, MediaTek has become the world’s largest smartphone chip maker in the third quarter of 2020. Its market share reached 31%. MediaTek’s strong performance of smartphones in the US$100-250 price range and growth in key regions such as China and India have helped the manufacturer become the largest smartphone chipset vendor.

Also Read: IDC: 5G Smartphones Demand Drives The Growth Of Smartphones

At the same time, Qualcomm is the largest 5G chipset manufacturer in the third quarter of 2020. Among the 5G smartphones sold globally, 39% use their chips. In the third quarter of 2020, the demand for 5G smartphones doubled. And 17% of all smartphones sold in the third quarter of 2020 were 5G phones. Of all smartphones shipped in the fourth quarter of 2020, one third is expected to support 5G. Qualcomm still has a chance to regain the top position in the fourth quarter of 2020.

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The US ban on Huawei was in benefit of other major OEMs like Samsung, Xiaomi and others. For example, the share of MediaTek chipsets in Xiaomi has increased by more than three times since the same period last year. MediaTek was also able to leverage the gap created due to the US ban on Huawei.

MediaTek vs Qualcomm: Battle Of Two Chip Makers

When talking about the development strategies of Qualcomm and MediaTek, research analyst Ankit Malhotra said: ‘Qualcomm and MediaTek have both reshuffled their portfolios, and consumer focus has played a key role here. Last year, MediaTek launched a new gaming-based G-series, while Dimensity chipsets have helped in bringing 5G to affordable categories. The world’s cheapest 5G device, the Realme V3, is powered by MediaTek.’

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When talking about the prospects of chipset manufacturers, Malhotra said: ‘The immediate focus of chipset vendors will be to bring 5G to the masses, which will then unlock the potential of consumer 5G use cases like cloud gaming, which in turn will lead to higher demand for higher clocked GPUs and more powerful processors. Qualcomm and MediaTek will continue to contend for the top position.’

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