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MediaTek aims to win 40% share of 5G chip market

By Phate Zhang
Feb 9, 2020 at 5:13 PM UTC
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MediaTek aims to win 40% share of 5G chip market-CnTechPost

MediaTek aims to win 40% of the global 5G chip market, its CEO Rick Tsai said during the earnings call after releasing Q4 and full-year financial results for 2019.

At present, the companies that can develop 5G chips are mainly Qualcomm, Samsung, Huawei Hisilicon, and UNISOC. All three companies except Huawei supply products to other companies.

According to the financial report released yesterday, MediaTek's net operating income in 2019 was NT $246.2 billion ($8.16 billion), an increase of 3.4% year-on-year. Increased 11.7%, a 40% increase from 2018, and the highest point in three years.

Rick Tsai said that the new coronavirus pneumonia epidemic brought uncertainty to global economic growth, but within the controllable scope, with the development of three emerging areas of 5G, custom chips and automotive electronics, MediaTek may still achieve mid-to-long term increase.

For 5G, Rick Tsai predicts that with the global construction of 5G networks, sales of 5G mobile phones in 2020 are expected to reach 170 million to 200 million units, of which 5G mobile phone sales in the Chinese mainland market are 100 million to 120 million units.

Compared with last year's expectations, Rick Tsai is more optimistic about the development of 5G mobile phone sales throughout the year, and sales expectations have increased slightly.

Rick Tsai said that MediaTek โ€™s 5G single-chip solution can support 5G mobile phones in various price ranges. The Dimensity 1000 series is aimed at flagships, and the Dimensity 800 series is aimed at mid-to-high-end mobile phones. The two chips are 5G mobile phones respectively. Shipped in Q1 and Q2 quarters, there will be mid- to low-end Dimensity 5G chips in Q3 quarter.

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