Saturday, 4 May 2013

Talk of the Day -- MediaTek unveils new smartphone platform


MediaTek Inc., Taiwan's largest handset chip designer, has launched its next-generation, dual-core smartphone platform, the MT6572.

It is the world's first dual-core SoC (system-on-a-chip) with integrated Wi-Fi, FM, GPS and Bluetooth functions targeted at the entry segment and also enables a cost-effective 4-layer PCB design, the company said in a statement Thursday.

Hundreds of new smartphone models featuring this new platform would be released by June, MediaTek said.

The cost optimized new chip will help drive down entry-level smartphone prices and stimulate consumers around the world to change their smartphone models, it noted.

The new MT6572 also integrates advanced multi-mode 3D Graphics, support for up to HD 720p video playback and record, 5MP camera, MediaTek said.

Merrill Lynch forecast in its latest research report that MediaTek's shipments would reach 200 million units in the second quarter of this year and its Q2 revenues would post a 15 to 20 percent growth.

The financial institution also estimated MediaTek's Q2 gross margin at 43 percent and raised its share target price to NT$370.

Meanwhile, local media reports said Taiwan's Lite-On technology group has emerged as a major component supplier to the world's five largest smartphone vendors -- Apple, HTC, Samsung, Huawei and ZTE.

Foreign reports also said Friday that Intel Corp., the world's largest semiconductor chip maker, has struck a foundry deal to build ICs and SoCs for Microsemi Corp. using its 22-nanometer FinFET process.

Microsemi, a major supplier of a broad range of chips for communications, defense, aerospace and industrial markets, is Intel's fifth publicly disclosed foundry client.

Intel's four other foundry customers are network processor provider Netronome and FPGA (field-programmable gate array) chip vendors Altera, Achronix and Tabula.

The Intel-Microsemi foundry deal was signed in January but was not made public until May 1, the reports said.

Microsemi once partnered with Taiwan's United Microelectronics Corp. (UMC) in developing 65-nm embedded flash process technology.

UMC would not comment on the deal, saying only that the company has spared no effort in developing advanced semiconductor manufacturing process technologies.

Industry analysts said the Intel-Microsemi deal indicates that Intel, the longtime PC chipset giant, is stepping up its bid to erode the market shares of Taiwan's two largest contract chip foundries -- Taiwan Semiconductor Manufacturing Co. (TSMC) and UMC.

There are also rumors in the media that Intel may buy longtime foe Advanced Micro Devices (AMD), a fabless memory chip supplier. Were the deal to happen, it could be a harsh blow for TSMC because AMD has been one of TSMC's key customers.

The following are excerpts from local media coverage of intensified competition in chip foundry business and MediTek's new smarphone chip:

Economic Daily News:

TSMC dominated a 49.5 percent share of the global chip foundry business in 2012, according to a Gartner research report.

But Intel's active foray into the foundry market could gradually change the trade map, market analysts said.

Microsemi said in a press statement May 1 that the foundry deal has allowed it to engage with customers and begin designs utilizing Intel's 22-nm process technology with product delivery expected to begin in late 2014 or early 2015.

Intel reportedly has several more undisclosed foundry customers. Media reports said Intel may be working on a deal to make mobile processors for Apple, which is trying to cut its foundry reliance on archrival Samsung. (May 3, 2013).

United Evening News:

Lite-On Technology Group's fully owned subsidiary Lite-On Mobile reportedly has entered Apple Inc.'s supply chain by providing mechanical parts for iPhones.

The company would not comment on the report. It said instead that Lite-On Mobile has won orders from well-known handset brands and that the company will post profits this year.

In addition to providing camera lens for HTC and Samsung, Lite-On has also successfully won orders from all major Chinese smartphone vendors, including Huawei, ZTE, Lenovo and Xiaomi, industry sources said. (May 3, 2013).

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