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NVIDIA Corporation Message Board

  • it_is_best it_is_best Dec 7, 2012 12:39 AM Flag

    Qualcomm Resolves Chipset Crisis

    Qualcomm Resolves Chipset Crisis

    Zacks 12/6/2012


    Qualcomm Inc. (QCOM), the Largest Mobile Chipset Manufacturer in the World, has almost solved its chipset supply issue as two of its biggest vendor has increased their productions.

    Resolving the chipset supply shortage will bring to an end a major problem for Qualcomm, as it struggles to meet with the rising demand of its popular Snapdragon S4 processor.

    Three of its major suppliers, Samsung Electronics Co., Globalfoundries Inc. and Taiwan Semiconductor Manufacturing Company (:TSMC) are all ramping up their production to meet the growing demand of smartphone chips.

    The popularity of Snapdragon S4 dual-core processors is always on the rise as they are mainly used in high-end smartphones and tablets. They also support LTE technology, better graphics, high network speed and increased battery life, which make them more popular among the top smartphone manufacturers.

    In mid-June, Qualcomm announced that there will be a shortage of S4 chipsets for the rest of 2012.

    In order to avoid the crisis, the company opted for some alternative chipsets called Fusion 2, which can be used in the mid-range smartphones and tablets. The company also collaborated with a third party chipset manufacturer, TSMC to accelerate the supply of chipsets.

    However, TSMC failed to properly estimate the demand for chips in 2012, thus resulting in lower production of processors. Therefore, to mitigate the shortage of chips, Qualcomm not only joined hands with United Microelectronics Corp. (UMC) but also selected Samsung Electronics Co. to further boost its S4 processor supply.

    According to research firm Gartner, tablet device sales are expected to increase by nearly 98% to 119 million units by the end of fiscal 2012.

    Solving the chipset issue will be a major boost for Qualcomm to meet the soaring demand from Apple Inc. (AAPL), HTC Corp. and Samsung Electronics Co.



    Looks like Qualcomm's swift and decisive decision making -- and their unwaivering,

    constant, unqualified, steadfast, unhesitating, wholehearted and gutsy willingness

    to deploy shareholder's cash when and where productively needed -- will pay

    Huge Dividends for Qualcomm as they now have the quantities of their award

    winning Snapdragon S4's with on-board LTE necessary to capture the 2% of the

    market that nvidia was able to "win" due to Qualcomm's here-to-fore inadequate

    chip fabbing capabilities.

    Starting with the Microsoft Surface RT #2, where it was disclosed last week that

    Microsoft is likely to kick nvidia's tegra to the curb -- and use Qualcomm instead.



    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • Say!

      Maybe Qualcomm should BUNDLE their now-plentiful Snapdraqgon S4 chips

      with their brand-new Qualcomm NFC controller chip.

      Everybody needs a nice stack controller chip too, right?

      Like a flashlight and batteries -- they go together.

      And the customer could get All of their shopping done in one place.

      Which is nice -- what with the malls being so crowded and all.

      Qualcomm Snapdragons + Qualcomm NFC controller chips.

      It's a Winning combination.



    • "The popularity of Snapdragon S4 dual-core processors is always on the rise as they
      are mainly used in high-end smartphones and tablets.

      They also support LTE technology, better graphics, high network speed and increased
      battery life, which make them more popular among the top smartphone manufacturers."



      The Qualcomm Snapdragon S4 processor with on-board LTE is popular, boys.

      So POPULAR they're selling like hotcakes.

      Yes HOTCAKES, boys.

      Top high-end smartphone and tablet manufacturers were waiting in line 'cause they

      couldn't get enough of those Qualcomm Snapdragon S4 with on-board LTE chips.

      And your top customers shouldn't have to wait, right?

      Of course not.


      So Qualcomm's management wisely and astutely added Two (2) more chip fabbers,

      -- 1) Samsung Electronics Co. and 2) Globalfoundries Inc. --

      to make More of them -- Faster.

      And now EVERYBODY can get as many Snapdragon S4 with on-board LTE chips

      as they need for all their high-end smartphone and tablets.


      No more waiting in line for them.

      Oh no no no.

      Customers just step right up and buy 'em.

      "I would like to buy two fork lift loads today, please."

      "Of your Qualcomm Snapdragon S4 with on-board LTE chips."

      This is Good customer service from Qualcomm, right?

      It sure is.

      And there's no longer any need for Qualcomm's top customers to order lesser,

      sub-par parts from the other guys either.

      Who don't have that popular, selling-like-hotcakes, on-board LTE.


      Smart management over there at Qualcomm.

      I'll bet that's how they became the Largest Mobile Chipset Manufacturer on the Planet.



      • 1 Reply to i_read_best
      • Just curious, Best, but doesn't Qualcomm resolving their chip fabrication capacity

        crisis create other, new crisis-es and new climacteric perplexities for others?

        Like nvidia.

        With Qualcomm now able to sell Each and Every customer as many Snapdragon S4's

        with on-board LTE as they want -- who's nvidia gonna sell to?

        Hummm?

        Looks like new crisis-es and new climacteric perplexities for nvidia.

        Maybe that's why current CEO Jen chopped his revenue guidance by (-15%).

        Fewer non-Qualcomm customers to sell stuff to.



    • Looks like a brilliant move by Qualcomm to use Three

      -- count 'em 3 --

      semiconductor manufacturers to get all their Snapdragon chips made.


      1. Samsung Electronics Co.

      2. Globalfoundries Inc.

      3. Taiwan Semiconductor Manufacturing Company


      'Cause when you're the Largest Mobile Chipset Manufacturer in the World

      like Qualcomm is -- you can't rely on just TSMC.

      Oh no no no.

      Waaaaay to risky, boys.



      • 1 Reply to ct.bestula
      • Since nvidia only has 00.90% of the smartphone processor market,

        they don't need to worry about alternate supply sources and this and that.

        Like Qualcomm -- THE Largest Mobile Chipset Manufacturer in the World -- does.

        Nope.

        TSMC can probably knock-out all the tegras which nvidia's short list of customers

        require on what, alternating every-other-week Thursday afternoons?

        Life is simple when you have less than 1% of the market.



    • Hello Qualcomm!


      { CLINK ! .... Clink clink clink bink bink }

      Goodbye nvidia.



 
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