Home > Technology > MediaTek Powered Mobile + Tablets Set for Big Jump

MediaTek Powered Mobile + Tablets Set for Big Jump

May 7th, 2013

Mediatek ZTE MobileMediaTek, the Fabless Innovator for communication devices is set to sell record products for Mobile and Tablet manufacturers in 2013. MediaTek’s addressable market is expanding to 1 bn emerging market smartphones and close to 800 mn sub-US$200 smartphones by 2015, with an additional opportunity in tablets at 120 mn units in 2013

MediaTek maintained its target to ramp smartphones from 110 mn to 200 mn, implying growth from 80- 85 mn in 1H13 to 115-120 mn in 2H13 but also is optimistic on tablets, which it now sees reaching 10-15 mn units, up from the prior 5-10 mn and consistent with our latest report on the ramping whitebox tablet market.

Key upcoming products include the TD dual core in late May (MT6572), second gen quad core in 3Q13 (MT6582), and big.LITTLE tablet processor on 28nm HPM in 3Q13 (MT8135). Cost increase remains limited to +5-10% YoY in 2013. Analysts on the Street, split out smartphone and tablets and estimate 209 mn smartphones and 13.5 mn tablets in 2013 vs prior 220 mn combined estimate. The rise of the Chinese brands in 2012 saw more units diverted into the domestic market where carriers were eager to accelerate penetration to monetise their late start on 3G networks and also compete for share of subscribers ready to upgrade.

MediaTek’s non handset businesses include the optical storage and digital home (25-30% of sales) and networking (10-15% of sales). The company is seeing most product lines grow double digits, ramping into the high-season for 2Q13, with most strength in Wifi for consumer products, tablets and TVs and good growth in DTV.

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