The global cellular baseband processor market grew 10.3% on year to reach US$4.9 billion in the third quarter of 2013, according to Strategy Analytics.
Qualcomm, MediaTek, Intel, Spreadtrum, and Broadcom captured the top-five revenue share spots in the cellular baseband processor market in the third quarter of 2013, said Strategy Analytics. Qualcomm maintained its dominance with 66% revenue share, followed by MediaTek with 12% revenue share and Intel with 7% revenue share.
"Qualcomm's baseband revenue share increased to 66% in Q3 2013, thanks to its stranglehold on the LTE baseband market. Over the last four years, Qualcomm spent US$14 billion on R&D, which helped the company to gain over 95% revenue share in the LTE baseband segment. While Qualcomm's LTE baseband technology and market share leadership are unquestioned, we believe that certain competitors' products are production-ready and have the potential to take share from Qualcomm in 2014, especially in the mid-to-low tier," said Strategy Analytics senior analyst Sravan Kundojjala.
"Broadcom has the potential to emerge as a key LTE alternative to Qualcomm in 2014," commented Stuart Robinson, director of Strategy Analytics' handset component technologies service. "Broadcom is still a minor player in the baseband market and cannot afford any missteps as the year 2014 is shaping up to be an important one for the company. Strategy Analytics believes that only a successful LTE execution in 2014 will secure the long-term outlook for Broadcom's Mobile & Wireless business division."
"Low-cost Chinese baseband suppliers RDA Microelectronics and Spreadtrum, both of which recently received buyout offers from state-owned Tsinghua Unigroup, together ranked number two in baseband unit share terms in Q3 2013," noted Christopher Taylor, director of Strategy Analytics' RF and wireless component service. "With its low-cost advantage and strong financial back up from Tsinghua, RDA and Spreadtrum's combination has the potential to take on global players such as Qualcomm." | 