The launch of the Dimensity 9300 has financially benefited MediaTek immensely, as the Taiwanese fabless chipset manufacturer has stated that its flagship smartphone silicon revenue is up by 50 percent compared to 2023. The company’s CEO, Rick Tsai, expects annual revenue to increase by 14 to 16 percent, with its gross margin for the first quarter of 2024 standing tall at 52.4 percent, marking an increase of 4.1 percent compared to the Q4 2023 period.
MediaTek’s quarterly profit was $4.35 billion, increasing by 22.9 percent, with the Chief Executive believing that smartphone shipments will reach 1.2 billion units in 2024
Overall, we are witnessing some healthy financials from MediaTek, which should make competitors like Qualcomm nervous. With the Dimensity 9400 launch happening soon, it should make for an exciting turn of events. In an earlier report, it was mentioned that except for Google and Apple, every other smartphone maker has partnered with MediaTek, adding to its ever-growing fortunes.
Strangely enough, the chipset manufacturer did not mention an impressive statistic of the Dimensity 9300 in this quarter, but it did provide that figure earlier, stating that the flagship SoC contributed to a 70 percent revenue growth in 2023. The chipset alone was estimated to have brought in more than $1 billion, suggesting that several smartphone partners have shown confidence in using the Dimensity 9300 in their flagships.
This number may hint that MediaTek’s partners are more than willing to add the upcoming Dimensity 9400 to their handsets, with Vivo previously reported to have secured the first batch. With global smartphone shipments estimated to reach 1.2 billion units in 2024, this level of recovery will only help improve MediaTek’s future financials.
The company did not project its upcoming revenue increase with the Dimensity 9400’s launch, but Morgan Stanley analysts have praised the Dimensity 9300, predicting that the latter will help increase MediaTek’s 2024 global chipset market share to 35 percent. If the Dimensity 9400 improves upon its successor, we have no reason to believe why the Taiwanese firm could not command the biggest piece of the smartphone SoC pie by the end of the year.
News Source: Focus Taiwan
About the author: Omar Sohail is a reporter and analyst for Wccftech's mobile section, specializing in the technology and business of the mobile industry. His expertise lies in the intricate hardware supply chain, covering developments in semiconductor manufacturing, chip lithography, and camera sensor technology.
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