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MediaTek September revenues to stay flat

Cage Chao, Taipei; Steve Shen, DIGITIMES [Wednesday 25 September 2013]

MediaTek is expected to see its September revenues stay flat at NT$12.5 billion (US$422.77 million) as posted in August as China-based smartphone vendors and telecom operators have chosen to stay on the sidelines to wait for the release of 4G operating licenses, according to industry sources.

China-based telecom carriers have been reducing their purchases of handsets since August in preparation for the release of new smartphones and 4G models slated for the fourth quarter of 2013, indicated the sources.

Branded handset vendors have also been reluctant to place solution orders in the absence of subsidies from services providers, and therefore most vendors are conservative about the business outlook during the October 1 holidays, said the sources.

In the best-case scenario, MediaTek may see its third-quarter revenues reach its high-end target of NT$37.6 billion, the sources estimated.

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