Friday, July 01, 2016
Search
  
Submit your own News for
inclusion in our Site.
Click here...
Breaking News
BMW Group, Intel and Mobileye Team Up to Bring Autonomous Driving to Streets by 2021
Nvidia Says New GeForce GTX 1060 Is Faster Than AMD's Radeon TX 480
Micron To Reduce Workforce Following Slow Third Quarter Results
Apple in Talks to Buy Tidal: Report
U.S. Authorities To Investigate Tesla's Crash in Autopilot Mode
Oracle To Pay HP $3 billion In Itanium Case
ZTE To Invest $180 Million In Tech Start-ups
Alliance Storage Technologies Releases New NETArchive NAS Storage Solution
Active Discussions
Which of these DVD media are the best, most durable?
How to back up a PS2 DL game
Copy a protected DVD?
roxio issues with xp pro
Help make DVDInfoPro better with dvdinfomantis!!!
menu making
Optiarc AD-7260S review
cdrw trouble
 Home > News > Optical Storage > Mediate...
Last 7 Days News : SU MO TU WE TH FR SA All News

Thursday, May 29, 2003
Mediatek to take on cell phone giants


Taiwan DVD chip designer Mediatek Inc is set to take on some of the world's biggest semiconductor makers by diversifying into mobile phone chips, aiming to protect itself from a rash of new players crowding into its niche.

It is move that will pit the upstart company against the oldest names in the chip business, including Motorola Inc and Texas Instruments.

"For the company to grow five years down the road, we have to find a new growth momentum for the company," Yu Ming-to, the head of Mediatek's finance department, told Reuters in a recent telephone interview.

At first glance, Mediatek doesn't seem to lack for growth momentum in its core business of designing chips that control DVD players and other optical disc drives (ODDs).

The company's main claim to fame is that it beat U.S. and Japanese competitors to combine the functions of two chips on the CD drive into one, helping customers lower costs.

Mediatek's 2003 financial forecast sees profits edging up just 2.45 percent this year as other local designers such as VIA Technologies and ALI Corp pile into the business. Mediatek has even taken VIA to court in the United States on charges of patent infringement, which VIA denies.

After about two years of research and development, Mediatek is preparing to launch its mobile phone chips in the second half.

That will put it in head-to-head competition with giants such as Motorola, Texas Instruments and Analog Devices Inc (ADI), said Nomura Securities analyst Eric Chen.

"I think it will take a longer time than most people think for them to approach this market," Chen said.

Nonetheless, it is a huge market. Chen reckons that even if Mediatek wins only two percent of the global market, its revenues would rise by 10 percent. "In mobiles, the (profit) margins are not as high as ODD, but the market size is much larger," said Mediatek's Yu.

In any case, the company plans to start modestly by targeting the growing crop of mobile phones makers in Taiwan, which are set to produce 42.5 million cell phones this year, up 20 percent from last year, according to local estimates.

Most forecasts for global mobile phone production range from 400 million to 450 million units, giving Taiwan around a 10 percent share.

Mediatek argues that these Taiwan manufacturers will not have an edge over foreign manufacturers if everyone turns to the same place for microchips.

"They can find local suppliers for the keyboard, for everything, but they still have to go to TI, to ADI for the chips, so they still have the same cost structure as Nokia," Yu said.

"They have to have a lot of local support and engineers on the site, which is hard for overseas suppliers," but not so difficult for Mediatek, he said.


Previous
Next
EnXnet announces new anti-theft product for CDs and DVDs        All News        EnXnet announces new anti-theft product for CDs and DVDs
EnXnet announces new anti-theft product for CDs and DVDs     Optical Storage News      EnXnet announces new anti-theft product for CDs and DVDs

Get RSS feed Easy Print E-Mail this Message

Related News
MediaTek Launches Linato-compatible Helio X20 Development Board For Android Developers
MediaTek To Invest $6.15 billion on 5G Communication Technologies
MediaTek Introduces Pump Express 3.0 Battery Charging Solution
MediaTek Details Its Imagiq Image Signal Processor
MediaTek Introduces The 16nm Helio P20 Mobile Processor Family
MediaTek Denies Helio X20 Overheating Issues
MediaTek Expands Chip Lineup For Smart Watches, 4K Blu-ray Players And Smart Home Product
MediaTek Invests In Ecosystem To Drive IoT Strategy
MediaTek Announces New Helio P10 SoC For Mainstream Phones
MediaTek Unveils 10-core Xelios X20 Chip For Mobile Devices
MediaTek Releases New High-end Smartphone Helio SoC
MediaTek Multi-Mode Wireless Charging Chipset Enters Mass Production

Most Popular News
 
Home | News | All News | Reviews | Articles | Guides | Download | Expert Area | Forum | Site Info
Site best viewed at 1024x768+ - CDRINFO.COM 1998-2016 - All rights reserved -
Privacy policy - Contact Us .