Shipments of smartphone applications processors in China are expected to drop by 1.5% sequentially to 94.95 million units in the fourth quarter of 2013, according to Digitimes Research.
Digitimes Research attributed the on-quarter shipment decrease mainly to MediaTek's weaker performance compared to the previous two quarters.
Taiwan-based MediaTek, which has the largest market share for smartphone processors in China, will see its shipments decline 16% sequentially in the fourth quarter due to rising competition from rivals in the TD-SCDMA and EDGE chip market segments, Digitimes Research said.
In fact, MediaTek has switched its focus to high-margin product lines targeted at mid-range and high-end smartphones in the fourth quarter of 2013. Such move will have an immediate impact on its shipment performance in the fourth quarter, Digitimes Research indicated.
Meanwhile, MediaTek's fourth-quarter shipments are also being affected by seasonal inventory adjustments at some of its clients, Digitimes Research observed.
Qualcomm's smartphone apps processor shipments to China are forecast to increase 4.8% sequentially in the fourth quarter, thanks to growth in shipments of its mid-range and high-end offerings, Digitimes Research said.
Content from this blog post was provided by the Digitimes Research Tracking team, which focuses on shipment data and market trends in the global mobile device supply chain. Digitimes Research provides quarterly tracking services for market sectors such as Global Tablet, China Smartphone, China Smartphone AP, China Touch Panel, Taiwan ICT and Taiwan FPD. Click here for more information about Digitimes Research Tracking services.