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Friday, October 06, 2017

Surge in processors for tablets

By Nick Flaherty at www.flaherty.co.uk

After two consecutive years of decline, the global tablet Applications Processor (AP) market returned to growth and registered a 5 percent year-over-year growth to reach $984 million in the first half of this year, according to Strategy Analytics Handset Component Technologies service report.
The report finds that Apple, Intel, Qualcomm, MediaTek and Samsung LSI captured the top-five revenue share rankings in the tablet AP market. Apple as market leader gained share and increased its  revenue share to 37 percent in 1H 2017. Intel and Qualcomm grabbed the number two and three spots with 18 percent revenue share and 16 percent share, respectively in 1H 2017.

“The global tablet AP market continued to show signs of stabilisation from past few quarters with slower year-on-year declines," said Sravan Kundojjala, Associate Director. "Despite this encouraging trend, tablet AP vendors have to contend with a significantly smaller overall market in 1H 2017 compared to two years ago. Strategy Analytics believes that the mature market pushed many of the tablet AP vendors to shift focus from high volume low-cost tablet APs to relatively lower volume but higher value tablet APs. This trend had boosted tablet AP average selling prices (ASPs) in 1H 2017 on a sequential basis.”

Stuart Robinson, Executive Director of the Strategy Analytics Handset Component Technologies service, added, “Strategy Analytics estimates that x86-based tablet AP shipments accounted for 14 percent of total tablet AP shipments 1H 2017, up from 10 percent in 1H 2016. Intel’s focus on Windows tablets paid off. The x86 chip maker Intel retrenched from the low-end Android tablet AP market but capitalised on Windows tablets and gain market share in 1H 2017. Intel is expected to maintain momentum through 2017." 

Aside from Intel, HiSilicon also performed well in the tablet AP market in 1H 2017. HiSilicon’s parent company Huawei increased its tablet shipments in recent quarters and this has helped HiSilicon to build a strong position in the tablet AP market says Robinson.

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