MediaTek has added two more NOR flash vendors, one Taiwan-based maker and another overseas vendor, to its supplier list in order to ensure supplies, according to the company.
MediaTek declined to name the new suppliers but acknowledged the supply capacity of NOR flash memory vendors is currently falling short of demand as the second quarter is traditionally a peak season for handsets.
MediaTek and other handset solution vendors are now more positive about their business outlook for second-quarter 2010, and the entire year, due to a clear order visibility, commented industry sources.
While MediaTek is to reveal its guidance for the second quarter on April 30, the sources indicated that MediaTek is expected to see its handset solution business grow 10% on quarter after its overall revenues posted a 12% sequential gain in the first.
MediaTek has been receiving more windfall orders for handset chipset solutions recently as Motorola and LG Electronics (LGE) are stepping up their outsourcing of entry-level and mid-range models to ODM makers to meet demand from China and other emerging markets, the sources added.