Recently, China's Information and Communication Institute released the December 2019 and full-year smartphone market reports, showing that domestic smartphone shipments in 2019 were 389 million units, a year-on-year decrease of 6.2%, of which 57.7 million units were shipped.
According to the latest research report by Tianfeng International analyst Guo Mingyu, the demand for high-end 5G mobile phone replacement is lower than the expectations of Android brand manufacturers. In order to improve the 5G chip shipment momentum and increase the demand for replacement, 5G chip price wars are 3-6 ahead of market expectations. Month starts, and Qualcomm 5G chips have begun to reduce prices!
The report pointed out that Qualcomm has significantly reduced the price of 5G chip Snapdragon 765 by 25-30% to $ 40, which is significantly lower than the price of MediaTek's 5G chip Teana 1000 $ 60-70 (cost of about $ 45-50).
Therefore, Guo Mingyi expects that MediaTek's major 5G chip brand customers (including Oppo, Vivo and Xiaomi) will transfer a total of about 20-25 million chip orders from MediaTek to Qualcomm. This order transfer will begin as soon as February.
Guo Mingxuan said that Qualcomm's bargaining has affected MediaTek's 5G chip orders. Qualcomm's Snapdragon 765 (SM7250) pricing strategy in the second half of 2020 will cause price pressure on MediaTek's Teana 800 and low-end 5G chips expected to be mass-produced in the early third quarter of 2020. MediaTek can only sacrifice profits Maintain shipping momentum.