MediaTek MTK chip prices soared 150%

"A MT6575 chip plug-in with an official price of $14-15 is now quoted at $29. The trader has a hand in hand! Reluctantly bought 10k (10K pieces)." On Weibo, the staff of a mobile phone design company So Tucao. With the popularity of thousands of smart machines, the original "father of the cottage" MediaTek has become a major provider of low-end smart phones. However, with the help of this shareholder's ethic, complaints have also been raised about the internal speculation between the internal staff and distributors of MediaTek and speculation about raising prices. According to report, MT6575's highest quotation even reached 38 US dollars in the recent period, an increase of 150%. Who is pushing up prices?

Out of stock causes prices to soar Market research firm CanalysResearch released the latest report that in the second quarter of 2012, global smartphone shipments were 158 million units, and China’s smartphone shipments accounted for 27% of global shipments. . The data of Shenzhen Huaqiang Electronic Network is more optimistic—in 2012, the demand for smart machines in the domestic market was 200 million, including international brands and domestic brands.

At present, Qualcomm firmly controls the share of mid- to high-end mobile phone IC chips. In the low-end market, Spreadtrum has taken the lead in China Mobile-supported TD mobile phone chips. MediaTek has launched MT6575 and MT6577 in the mid- to late this year. WCDMA standard smart phone shipments are the main force of many mobile phone design companies directly to "chaohuo". It is understood that in the recent period, downstream mid-sized and small-scale manufacturers have asked MediaTek salesmen to purchase goods. Most people have the answer that they have no goods. On the channel side, as long as they can afford more than the official price of MediaTek, they still have a lot of money. You can get small quantities of goods. This is the unspoken rule that has been referred to in the industry as "roasting."

In addition to MT6575 and MT6577, MT6515, MT6515, and MT6513 used by MediaTek in feature machines and smart machines also saw prices rise, either doubling the price or increasing by more than 40%. The main chip products of the entire line were seriously out of stock.

A speculation can earn a lifetime of money MediaTek said that the current market is mainly due to lack of goods, the downstream customers previously estimated is not accurate, the market demand is far greater than estimated. Therefore, MediaTek has twice raised its shipment valuation this year. It is estimated that MT6575 and MT6577 will account for 60% of smart phone chip shipments in the third quarter and 80% in the 4th quarter. Shipments will reach 95 million.

This argument has also been recognized by many people in the IC industry. Shenzhen Xufeng, the deputy general manager of Jingfeng Chuangzhan Science & Technology Co., Ltd., told reporters that the shortage of stock prices was triggered after the market demand. However, the IC industry analyst said that many of the speculation is a team operation, general sales will say, "No goods, really want you to find someone who may be a bit, but the price is more expensive." This "who" is likely to be MediaTek's major customers and channel providers.

Mr. Gu (a pseudonym), a procurement manager of a design company, revealed to reporters that according to his knowledge, most of the roasted seeds and nuts are connected to HKUST customers, both in Shenzhen and Shanghai.

Another person in the industry also pointed out that there are indeed several major clients of MediaTek in the speculation, MediaTek sales staff alone does not have such a big right, "I know a trader, he is with the G or L company (MediaTek big Customer) getting goods.” He said the IC industry as long as there is a price difference there are roasted seeds and nuts, Qualcomm, Spreadtrum, VIA, Meiguang Toshiba, Samsung and Hynix are the same, but MediaTek downstream involved more companies, so the greater the related interests. A mobile phone design company’s people complained that “the mobile phone design company that got some goods is also very tangled, and anyway, it’s not enough for the customers to squatters. It’s better to simply sell them directly. Selling 100K (100,000) Integration A good mobile phone may not be as good as selling 5K (5000) tablets."

What is the interest in the end? Laoxi said, "As long as we take a chance, roasted seeds and nuts will basically be able to live and eat for the rest of our lives."

Or will eliminate a batch of Xiaoshanzhai plant complaints for many downstream companies, MediaTek made a public response, saying the price increase is not an official act. MediaTek also revealed that the out-of-stock situation will ease after the end of August and early September. Mr. Gu also told reporters that TSMC’s MediaTek chip is intensifying production. The news he received was that it could begin large-scale supply in mid-September.

In fact, it is not the first time that a large-scale speculation operation involving MediaTek took place. It was pointed out by industry insiders that during the hot sale of feature phones (cottage machines) in 2007, the internal sales staff of MediaTek teamed up with external channel distributors for roasted seeds, but the batch of people After having made a payment, he has already withdrawn from MediaTek.

MediaTek China Market Department officials also told reporters that MediaTek is conducting an investigation and whether any internal employees are involved in speculation.

"Once it is found, it will be handled." The person also said that if only large customers or channel speculation roasted seeds and nuts, MediaTek can not be constrained. "The adjustments in the peak and trough of the IC industry are numerous, and the periodical price hikes are normal. Everyone is only concerned about the recent price increase. In the past, the chips had been falling prices for quite some time."

However, Xu Wei also told reporters that the lack of goods is not necessarily a bad thing for the entire industry, and it is possible to eliminate a group of companies with insufficient strength. "It is difficult for companies with poor technology and resources to do too long." He was also approved by Mr. Gu. He believes that this time the chip is out of stock, and the small and medium-sized cottage makers have lost their food, which in turn is synonymous with the intention of the brand manufacturers and is also a good thing for the mobile terminal market.