MediaTek just beat Qualcomm to become the world number one chipset supplier. There has been a change in the smartphone industry according to a Counterpint research. This shift of crown happened in the third quarter of the year which is July through September. With a market share of 31%, MediaTek is currently the top provider of chipsets for smartphones.
But how did the MediaTek managed to beat Qualcomm, Samsung and Apple to get this top spot? Well, for at the least three reasons.
How MediaTek Managed to become Worlds Numer 1 Chipset Supplier
There are at the least three reason for the success recorded by MediaTek over the likes of Qualcomm and Samsung in the Chipset market.
- Affordable Chipset
This is the number one reason why the chipset producers were able to top this list. They produce affordable powerful chipsets for smartphones. The likes of India, Nigeria (and other parts of Africa and Asia) bought more MediaTek device than Qualcomm powered device.
Reason because MediaTek powered devices are cheaper. And given the economy of these countries, its fitting they buy more affordable devices.
- New Market and Huawei Ban
MediaTek powered devices are recently been introduced into the emerging markets like LATAM (Latin America) and MEA (Middle East and Asia). The US ban on Huawei also saw Huawei phones using MediaTek chipset and more of Xiaomi phones were also powered by MediaTek chipsets. In fact, the share of MediaTek chipsets in Xiaomi is said to have increased by more than three times since the same period last year.
- Affordable 5G SoC
While Qualcomm sold more 5G chipset than any other company, its just a matter of time before MediaTek brings the heat. The birth of the MediaTek Dimensity chipsets means more 5G phones at very affordable prices.
And the reality is the 5G market is still very ripe for harvesting and the likes of India, Nigeria and other parts of Asia and Africa will likely buy a 5G smartphone if its affordable. Remember, the world’s cheapest 5G device, the realme V3, is powered by MediaTek.
The release of the MediaTek Helio G series means more powerful phones between $150-$250. So, more affordable chipsets, entry into new market, Hauwei ban and affordable 5G SoC are among the main reasons why MediaTek supplied more chipset than Qualcomm.
But this isn’t game over for Qualcomm just yet. Judging from the percentage, Qualcomm was not far behind. MediaTek held 31% while Qualcomm held 29% of the supplied chipset. Samsung, Apple and Huawei shared the other 13% of the chipset supplied.