MediaTek has become the world’s first largest smartphone chip manufacturer

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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 largest 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%, an increase of 5% year-on-year, ranking first. Qualcomm’s market share was 29%, down 2% year-on-year, ranking second; HiSilicon, Samsung, Apple, and UniSoc ranked second to fifth respectively. Samsung and Apple both had a 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 of $100 to $250, and its presence in China, India, etc. Theses market continues to grow.

The increase in market share is directly reflected in performance. According to financial report data, 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; net profit increased by 93.7% year-on-year to NT$13.367 billion.

However, subdivided into the field of 5G chips, MediaTek still loses its market share to Qualcomm. During the quarter, 39% of all 5G 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 ground in the fourth quarter and become the world’s largest mobile phone chip manufacturer. 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.

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