MediaTek's shipments of handset ICs are likely to register a 15-20% sequential drop in the first quarter of 2014, as clients have already completed their inventory build-ups, according to industry sources.

　　However, MediaTek is set to enjoy a particularly strong fourth quarter of 2013, said the sources. Orders placed by its China-based customers started pulling in in the fourth quarter, in preparation for the upcoming Lunar New Year holiday season, the sources indicated.

　　MediaTek's overall handset-IC shipments for all of 2014 are expected to remain brisk, thanks to the company's rising share of the 3G chip market and the availability of its 4G solutions, the sources noted. MediaTek has delivered samples of its 4G smartphone chips to clients, and is likely to start shipping the chips in volume after the second quarter of 2014, the sources said.

　　MediaTek guided previously that consolidated revenues for the fourth quarter would stay flat or drop by up to 5% sequentially. The firm reported record sales of NT$39.01 billion (US$1.33 billion) for the third quarter of 2013.

　　MediaTek's cumulative 2013 consolidated revenues through November amounted to NT$122.97 billion, rising 34.1% from a year ago.