After years in limbo, MediaTek made an amazing recovery from the previous year. The business was able to surpass Qualcomm and become the world’s leading provider of chipsets. This was undoubtedly due to the successful MediaTek Dimensity range, which prompted numerous brands to abandon Qualcomm in favor of MediaTek solutions. However, this might change this present year. According to the most recent Counterpoint Research research, the Taiwanese manufacturer has lost market share, and Qualcomm is closing in. Component shortages and evolving consumer needs have shifted the market, and we’ve even seen companies lose their market share.
Despite ongoing industry restraints, the smartphone chipset market expanded 5% in the fourth quarter of 2021 when compared to the fourth quarter of 2020. Although experiencing a drop in market share from 37% to 33%, MediaTek retains the industry leader. According to the researchers, smartphone producers are stockpiling additional devices as a safeguard against a chip shortage. However, supply was consistent enough, and they had more than they required, resulting in decreased exports in the fourth quarter.
The new Dimensity 9000 SoC and increased demand for 5G phones will undoubtedly increase MediaTek’s income. Counterpoint, on the other hand, gives a warning. TSMC appears to be raising wafer pricing recently, and the impact on chip prices is already being seen.
Despite this, MediaTek is expected to have a very successful 2022. Qualcomm had a solid quarter, increasing its market share to 30%. Even though it is unable to get as many chips from its partner foundries. The high-end, high-margin Snapdragon chipsets have been prioritized by the corporation. It was also able to enhance supply by dual-sourcing chips.
UNISOC IS BECOMING AN IMPORTANT CHIPSET MANUFACTURER
When it comes to the 5G modem market share, the business remains unrivaled with 76 percent of the market, up from 63 percent in 2020. The increasing demand for iPhone 12 and iPhone 13 devices was the driving force behind this. They both use Qualcomm modems in conjunction with Apple A processors. The company’s stock rose as a result of the high sales of Android flagships.
Samsung Exynos chips had been in third place until recently, but by 2020, they would have surpassed Apple processors. Unisoc is an unexpected newcomer. In a year, the firm has increased by 11% and doubled its market share. As we have previously stated, Unisoc is becoming a well-known chip manufacturer. Its processors are already found in a wide range of devices, including smartphones from Honor, Realme, Motorola, ZTE, Transsion, and even Samsung. For example, this month saw the release of the Realme C35 and the Nokia G11.
Meanwhile, HiSilicon is feeling the effects. According to the research, the chip stockpile is nearly depleted, and there are significant difficulties in producing new ones. Huawei was forced to use Qualcomm processors with a 4G constraint.