Taiwan’s largest smartphone chip manufacturer, MediaTek Inc., announced Thursday that sales for February were at an all-time high, thanks to the company’s recent success in selling 5G chips in smartphones, according to market analysts.
MediaTek reported its consolidated sales for February were NT$40.03 billion (US$1.41 billion), up 22.97 percent from January.
A lower number of working days in February was the result of the Lunar New Year vacation in 2022, which resulted in a 7.98 percent drop in sales compared to January, marking the company’s second consecutive monthly decline.
In the first two months of the year, MediaTek generated consolidated revenues of NT$83.53 billion, a 23.05 percent increase from the same period last year.
Due to strong shipments of its 5G processors, MediTek expects a 2 percent to 10% growth in its first-quarter consolidated revenues to between NT$131.2 billion and NT$141.5 billion, even though the first quarter is often a sluggish time for the semiconductor sector.
Based on projections made at the company’s investor presentation in late January, market experts expect Mediatek to grow its monthly revenue in March as the number of working days returns to normal.
New chips will be available in March.
MediaTek released three additional chips last week after releasing its first flagship smartphone 5G processor, the Density 9000, in December 2021.
Two of the company’s newest chips, the Dimensity 8100 and Dimensity 8000 system-on-chips (SoCs), using TSMC’s superior 5-nanometer process, delivering “flagship technology” to premium smartphone connectivity, displays, games, multimedia, and image functions.
Dimensity 1300, TSMC’s third new chip, is made on TSMC’s 6nm technology and is part of the 5G family.
It is expected that smartphones based on the three new chips will hit the market in the first half of this year, helping to accelerate MediaTek’s sales growth.
In response to rising market demand, MediaTek said it plans to hire 2,000 additional graduates this year, paying them up to NT$2.5 million per year.
A compound annual growth rate of 15% was predicted for MediaTek over the next three years, with annual sales expected to increase by more than 20% in 2022.
A strong demand for 5G applications worldwide helped the company achieve record consolidated revenues of NT$493.42 billion last year, an increase of 53.2% over the previous year.