Recently, MediaTek, a world-renowned IC chip manufacturer, released its 2020 annual financial report. Data shows that MediaTek's annual revenue reached NT$322.146 billion (about RMB 74 billion), an increase of 30.8% year-on-year, setting a record high in history.
MediaTek's 2020 financial report data (photo/MediaTek)
With the surge in demand in the 5G market and the deployment of diversified services, MediaTek's mobile platform and growth businesses in 2020 both showed double-digit annual growth rates, and performed quite impressively.
Currently, MediaTek's mobile chip platform covers mobile phones, tablets, laptops and other businesses. Thanks to the explosive growth of the 5G market and excellent product strength, the Dimensity series 5G chips have been widely favored by terminal manufacturers and consumers, and the global shipment volume has exceeded 45 million sets. In addition, MediaTek continues to follow up on the 4G long-tail market, and the two-pronged approach of 5G and 4G has allowed its mobile phone chip business to grow revenue by more than 80% year-on-year in 2020. According to the third quarter report of 2020 by research firm Counterpoint, MediaTek has surpassed Qualcomm to become the world's largest smartphone chip supplier with a market share of up to 31%.
MediaTek became the world's largest smartphone chip supplier in Q3 in 2020 (Photo/Counterpoint)
In the eyes of the outside world, MediaTek's performance will continue to maintain a growth trend. It is estimated that the global 5G mobile phone shipments will exceed 500 million units in 2021, about 2.5 times that of 2020, and the 5G market still has a considerable room for growth. At present, MediaTek has launched a new generation of Dimensity 1200/1100 flagship 5G chip, including , Xiaomi , realme, vivo and other manufacturers are scrambling to announce the upcoming terminal products. I believe that the Dimensity series in the mainstream market will also be iterated and updated soon, and the complete product portfolio will help Dimensity firmly seize the shipping opportunities of 5G.
Dimensity 1200 Once released, the terminals of mobile phone manufacturers followed (photo/network)
MediaTek's business on laptops is also expanding. It is reported that the 5G laptop developed by MediaTek in cooperation with Intel will be launched in the second quarter of 2021. Chromebooks are also a fast-growing market. MediaTek is the leader in Chromebook processors for ARM architecture, and is expected to achieve long-term growth.
MediumTek has always been the leader in the TV market. It not only has long-term cooperation with brands such as Sony , Skyworth, Hisense, Xiaomi , but also has cooperation with new TV customers such as OPPO. In 2020, it has launched OPPO's first batch of smart TV products S1 and R1 series.
OPPO S1 smart TV is equipped with MediaTek's top S900 TV chip (photo/network)
family is accelerating the "intelligent evolution", and smart devices such as smart speakers and smart security cameras are appearing in more families. MediaTek, as the world's leading supplier of smart speakers and AIoT chips, is driving and benefiting from the rapid development of this market.
Smart device market is expanding rapidly (photo/network)
In addition, Wi-Fi 6, power management chips, customized chips and other products are also one of the main driving forces for MediaTek's revenue growth. Taking Wi-Fi 6 as an example, MediaTek's Wi-Fi 6 chip solution has been adopted by many laptop manufacturers. The first e-sports gaming laptop using MediaTek Wi-Fi 6 chip will be released in the first season of this year.
It is reported that MediaTek has several enterprise-level and consumer-level customized chip projects in its customized chip business, including game console products, which will become the source of continued revenue growth in the next few years.
From the above analysis, it is not difficult to see that MediaTek's revenue high is mainly due to the forward-looking deployment of changes in market demand and the comprehensive explosion of diversified product strategies. Driven by the 5G market, smart home and growth market, MediaTek's performance in 2021 is expected to be even more exciting.
