Mediatek to Benefit from Budget Device Market in 2014, Research Shows

28 Apr

Taiwan-based chip designer Mediatek might eventually become a huge presence in China thanks to the emergence of an increasingly popular product category: white box tablets.  As shown by the recent data collected by China Post from Taipei based research firm, Topology, Mediatek managed to raise its entire market share in China’s white-box tablet chip industry to 30% in 4Q13, and performed considerably better than domestic SoC designers such as Rockchips Electronics Co. (22.1% market share) and Allwinner Technology (20.6%). Major foreign brands like Qualcomm and NVidia, on the other hand, fared less well in this particular market, earning a market share of only 3.2% and 2.1%, respectively.

In an interview with China Post, Topology’s research analyst Michael Zuo attributed Mediatek’s success mainly to the low cost nature of its high-performance chipsets and its ability to create integrated solutions capable of shortening the development time for white-box tablet manufacturers.

Zuo believes the latter to be extremely importrant as it “will give MediaTek a competitive advantage of at least two quarters over its rivals this year in the cut-throat Chinese white-box tablet market.”