A number of handset OEMs have expressed satisfaction with the performance of the newly released Qualcomm Snapdragon 820 and have mapped out design-in projects or product design plans using the chipset, according to Digitimes Research.

Sales of Qualcomm's Snapdragon 810 chipsets have been lower than expected resulting in a sharp decline in shipments of its high-end products, Digitimes Research noted.

Shipments of the Snapdragon 800 series products in 2015 are expected to decline over 60% as compared to a year earlier, Digitimes Research estimated.

Qualcomm's revenues were down 14% on year in the third quarter of fiscal 2015, which ended June 28. Total sales are expected to drop 30% on year in the fscal fourth quarter, Digitimes Research added.

To shore up its sales, Qualcomm has decided to launch the Snapdragon 820 in advance with the first wave of end-market devices to hit the market at year-end 2015 or in early 2016.

However, rivals MediaTek and HiSiliconTechnologies have also developed products to take on Snapdragon 820. Although HiSilicon has Huawei as its sole client currently, the China-based chipset vendor has been ramping up shipments of high-end products. Meanwhile, MediaTek has been able to solicit orders from designated clients offering competitive prices and turnkey solutions.

Nevertheless, Qualcomm's main challenge in 2016 will come from Apple, rather than brand vendors in the Android camp, Digitimes Research said.

Sales of Android-based smartphones have been declining since the beginning of 2015, while Apple has managed to ramp up its share, particularly in the high-end segment where Apple currently accounts for over 70% share.

Sales of Android-based smartphones havebeen declining since the beginning of 2015, while Apple has managed to ramp upits share, particularly in the high-end segment where Apple currently accountsfor over 70% share.