MediaTek is expected to see healthy business performance in the third and fourth quarters, with monthly CD-RW controller IC shipments possibly breaking the million-unit threshold. MediaTek noted that demand for CD-RW and DVD players has risen sharply in the second half of this year, making August revenues reach a record NT$1.412 billion. The company is expecting further revenue growth in September. MediaTek boasts an average gross profit of 40%, and its revenues in the first half accounted for 40% of its full-year revenue target.
As the company mainly manufactures computer peripherals, the third quarter of the year usually sees Mediatek raking in impressive revenues due to back-to-school demand, as was the case in the third quarter of 2000. The company declined to comment on whether it will roll out new CD-RW or DVD-ROM related products, stressing that such announcements would only serve to warn its competitors to take precautionary measures such as lowering prices.