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Author: Tan KW   |   Latest post: Thu, 18 Oct 2018, 05:09 PM


Market for chips with on-device AI grew three fold in Q1: report

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The global smartphone Applications Processor (AP) market declined 0.3% year-over-year to reach US$4.5bil (RM18.3bil) in the first quarter (Q1) of 2018, according to Strategy Analytics Handset Component Technologies service report, “Smartphone Apps Processor Market Share Q1 2018: Samsung LSI and HiSilicon Register Double-digit Growth.”
According to this market research report, Qualcomm, Apple, Samsung LSI, MediaTek and HiSilicon held the top-five revenue share spots in the global smartphone AP market in Q1 2018.
In Q1 2018, Qualcomm maintained its smartphone AP momentum with 45% revenue share followed by Apple with 17% and Samsung LSI with 14%. The report estimates vertical vendors Apple, HiSilicon and Samsung LSI together captured 40% revenue share in Q1 2018.
Despite these advances, the market leader Qualcomm improved its market share driven by broad customer relationships and a strong product line up. MediaTek and UNISOC (Spreadtrum & RDA) continues to underperform in the smartphone AP market and once again saw their shipments decline year-on-year in Q1 2018. 
Sravan Kundojjala, Associate Director at Strategy Analytics, commented, “MediaTek lost smartphone AP market share for the fifth consecutive quarter. In Q1 2018, due to challenges in product transition and competition from Qualcomm, MediaTek’s smartphone AP shipments reached the lowest in the past four years.
"We believe that MediaTek’s share losses are bottoming out and its renewed Helio P series chip effort has the potential to bring MediaTek back on track in the coming quarters.”
Stuart Robinson, Executive Director of the Strategy Analytics Handset Component Technologies service, added, “We estimate that smartphone APs with on-device Artificial Intelligence (AI) functionality grew almost three fold year-over-year in Q1 2018.
"Apple, HiSilicon, Qualcomm and Samsung LSI were the prime beneficiaries of AI’s take off in smartphone APs in Q1 2018, addressing the AI chip market with multiple approaches including dedicated AI IP blocks and repurposed DSP & GPU combination.
"Key AI smartphone APs include Apple A11 Bionic, HiSilicon Kirin 970, Qualcomm Snapdragon 845/835 and Samsung Exynos 9810. We feel that AI’s full potential is yet to be realised in smartphones and AI will ignite the architecture innovation in smartphone APs in the coming days.” — AP 
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