Strategy Analytics reports that the market for Application Processors (APs) fell by 5% from last year to $9.4 billion for the first half of the year, but Qualcomm went up and the company believes that the Snapdragon 600 series from the firm will mean further gains in 2017. On the other hand, Mediatek is taking time to recover as its modem technology is still behind Qualcomm. Strategy Analytics estimates that 64-bit APs registered a solid 24 percent year-over-year growth and accounted for 86 percent of total smartphone AP shipments in 1H 2017.
Sravan Kundojjala, Associate Director at Strategy Analytics said,
“After a successful 2016, Qualcomm continued its momentum and gained market share with the help of a strengthened portfolio across the board from flagship to mid-range. After missing the initial 14 nm FinFET AP wave, Qualcomm made sure it is one of the first companies with a commercial 10 nm smartphone AP. Qualcomm’s semi-custom 10 nm flagship 64-bit AP Snapdragon 835, which integrates a gigabit-class LTE modem, has seen greater success than its predecessor Snapdragon 820 / 821. Strategy Analytics believes that Qualcomm is poised for further share gains through 2017 with its strengthened Snapdragon 600-series of APs.”
Stuart Robinson, Executive Director of the Strategy Analytics Handset Component Technologies service, added,
“MediaTek hit a rough patch in 1H 2017, after registering a robust growth in 2016. MediaTek’s weak portfolio coupled with increased competition from Qualcomm contributed to its share losses in 1H 2017. MediaTek’s flagship Helio X series has not seen much success so far while the mid-range Helio P series of chips performed strongly. Understandably, MediaTek is set to de-emphasis Helio X in favor of Helio P to optimize its investment and to recover market share in 2H 2017.”
