Qualcomm grabs half of baseband IC market

Qualcomm grabs half of baseband IC market

SAN FRANCISCO—Qualcomm Inc.'s share of the global cellular baseband processor market improved to 51 percent in the first half of 2012, up from 45 percent for all of 2011, according to market research firm Strategy Analytics.

Qualcomm (San Diego) improved its dominant position in the cellular baseband market on the strength of its leading position in CDMA, W-CDMA and LTE basebands, according to Strategy Analytics (Boston).

Overall, the global cellular baseband processor market registered an impressive 15 percent year-over-year growth in the first half of this year to reach $8.1 billion, according to the market research firm.

While Qualcomm improved its market share, Intel Corp. and Taiwan's MediaTek Inc. continued to fight tooth and nail for the No. 2 position in the market, Strategy Analytics said. Intel, which entered the market with its acquisition of Infineon Technologies AG's wireless chip unit last year, slipped from the No. 2 position in 2011 to No. 3 in the first half of this year, with its market share declining to 12.1 percent from 15 percent, Strategy Analytics said. Intel registered strong 2G baseband shipments, the firm said.

"Intel ranked number two in the W-CDMA market in the first half of 2012, behind Qualcomm," said to Sravan Kundojjala, a senior analyst at Strategy Analytics, in a statement. He added that Intel scored multiple high-profile W-CDMA design-wins at tier-one handset manufacturers in the first half of the year.

"Strategy Analytics believes Intel's upcoming first LTE baseband platform, XMM7060, has the potential to cut into Qualcomm's LTE baseband lead in future," Kundojjala said.

Next: MediaTek back to No. 2
TAG:Strategy Analytics Baseband Qualcomm Mediatek Intel