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Wednesday, June 28, 2017
Memory Industry News
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Taiwan based IC designers to regain order for mobile chips


Wednesday, May 17, 2017

Taiwan-based IC vendors have seen a rebound in orders from China's smartphone sector and expect the sales momentum to continue to the third quarter, according to industry sources.

The inventory adjustment process at the end market in China is accelerating, which in turn will kick off a new round of demand from channel operators, according to sources at LCD driver IC vendor Novatek Microelectronics.

Novatek forecast earlier that its sales will record an increase of 5-9% sequentially in the second quarter of 2017.

Touchscreen and LCD driver solution provider FocalTech Systems also expects its smartphone clients in China to resume their IC orders soon, according to the company.

Despite lower-than-expected sales performance in the first quarter of 2017, FocalTech is positive about its business outlook for the second half of 2017, expecting sales of its integrated driver controller (IDC) solutions to gain momentum shortly.

MediaTek has been working hard to reduce the production cost of smartphone solutions and is expected to regain orders from China-based smartphone vendors Oppo and Vivo in the third quarter, according to industry sources.

MediaTek projected earlier that its second-quarter revenues to grow 8% sequentially to NT$56.1-60.6 billion (US$1.86-2.01 billion) after the company saw its sales decline 18.3% sequentially in the first quarter.

MediaTek's performance in the second half of 2017 will be better than that in the first half, the sources estimated.

By: DocMemory
Copyright 2017 CST, Inc. All Rights Reserved

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