The global cellular baseband processor market grew an impressive double-digit 15 percent year-on-year, to reach $15.1 billion in 2011, according to a report from the Strategy Analytics Handset Component Technologies (HCT) and RF and Wireless Components (RFWC) services.
In 2011, increased demand for smartphones, intense competition in low-end phones and new air interface technologies — such as LTE and TD-SCDMA — created opportunities and altered the market share landscape.
Also, baseband-integrated smartphone applications processors and cellular-enabled non-handset devices—such as USB dongles, M2M, e-book readers and tablets—provided a significant boost to some baseband companies.
Some of the highlights of this Strategy Analytics report include:
- Qualcomm, Intel, MediaTek, Texas Instruments and ST-Ericsson grabbed the top-five baseband revenue spots in 2011.
- Qualcomm led the cellular baseband market with 45 percent revenue share in 2011, with the help of its dominant market position in CDMA, LTE and W-CDMA basebands.
- With 15 percent revenue share in 2011, Intel ranked number two. Multiple popular products from global tier-one handset manufacturers used Intel basebands in 2011.
- Broadcom and Spreadtrum baseband growth outstripped market growth in terms of both units and revenue.
- The market for basebands for LTE, in unit terms, grew faster than basebands supporting any other air interface in 2011.
According to Stuart Robinson, Director, Strategy Analytics Handset Component Technologies (HCT) service:
“Qualcomm is well-positioned to make significant share gains in the emerging LTE baseband market in 2012. Qualcomm continues to leverage its baseband modem expertise to ride the 3G / 4G wave, and captured 45 percent share of the baseband market in 2011.”
Sravan Kundojjala, Senior Analyst, added:
“Broadcom showed strong double-digit year-on-year growth in baseband units and revenues in 2011. The company continued to improve its product-mix. W-CDMA basebands accounted for 16 percent of its total 2011 baseband shipments, nearly doubled from 2010. On the strength of its baseband-integrated smartphone processors momentum, Broadcom’s W-CDMA baseband share will again improve dramatically in 2012.”
Strategy Analytics, Inc. provides timely and actionable market intelligence focused on opportunities and disruptive forces in the areas of Automotive Electronics and Entertainment, Broadband Connected Home, Mobile & Wireless Intelligent Systems and Defense. www.strategyanalytics.com/