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Business

Taiwan's MediaTek to more than triple shipments

TAIPEI -- Taiwanese chipmaker MediaTek plans to ship more than 100 million chips for 4G (fourth-generation) smartphones in 2015, more than three times its projected shipments for this year.

     MediaTek President Hsieh Ching-jiang revealed the plan to domestic and foreign media here. In 2013, his company boasted an almost 50% market share in the Chinese market centering on 3G (third-generation) smartphones, beating that of U.S.-based competitor Qualcomm. Demand for high-end chips is expected to rise as more of China's massive market takes to 4G service.

     In 2015, demand for 4G smartphones in China will increase by 2.5 times the forecast for 2014, to reach roughly 300 million phones, according to Hsieh. Chips for 4G are expected to make up 20% of MediaTek's shipments from October through this month, but according to Hsieh, that ratio will climb above 50% at the end of next year.

     Qualcomm, though, has a lead in 4G chips and boasts a sizable market share in China. When MediaTek joins the fray by increasing its shipments, the resulting price war will be intense.

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