MediaTek recently beat Qualcomm to become the largest chipset vendor in Q3 2020. With a 31 per cent market share, MediaTek beat Qualcomm’s 29 per cent market share. Smartphone sales saw a rise this quarter after many brands witnessed a drop in numbers through the lockdown months. For MediaTek, growth in key regions like India and China helped the company beat Qualcomm in numbers, according to a report by research group Counterpoint.
MediaTek benefitted heavily from the sale of affordable smartphones in the $100 to $250 range. Qualcomm may, however, regain the top spot as the largest chipset vendor in Q4 2020 sales, states the report. Another reason for MediaTek’s growth was an increased share in Xiaomi phones, which are best-sellers in India.
“The share of MediaTek chipsets in Xiaomi has increased by more than three times since the same period last year. MediaTek was also able to leverage the gap created due to the US ban on Huawei. Affordable MediaTek chips fabricated by TSMC became the first option for many OEMs to quickly fill the gap left by Huawei’s absence. Huawei had also previously purchased a significant amount of chipsets ahead of the ban,” Dale Gai, Research Director at Counterpoint said in a press statement.
The report also mentioned that Qualcomm managed to stay on top of the 5G chipset market share. The US-based company powered 39 per cent of the 5G phones sold in Q3 2020. The demand for 5G smartphones went up twofold as many countries began to implement next-gen network technology. As a result, 17 per cent of all smartphones sold in Q3 2020 were 5G phones.
With 5G becoming a bigger selling point in many regions throughout Q4 2020 and the launch of the 5G-enabled iPhone 12 series, we can expect the numbers to shuffle in the last quarter of 2020. Sales of 5G phones will also likely go up in 2021 in India as 5G chipsets continue to get more affordable, hence making 5G-enabled mid-range and budget devices available for the masses.