2019Q2 Smartphone AP Market Data Released, Strong Growth in AI Chips

According to the report “Smartphone Application Processor Market Share in the Second Quarter of 2019” released by Strategy Analytics, the global smartphone application processor market revenue in the second quarter of 2019 decreased by 2% compared with the same period of the previous year, falling to 4.8 billion US dollars.

In the second quarter of 2019, Qualcomm, Apple, Samsung LSI, HiSilicon, and MediaTek captured the top five global smartphone application processor (AP) market revenue shares, according to this research report from Strategy Analytics. Qualcomm continues to lead the smartphone AP market with a 40% revenue share, followed by Apple with 20% and Samsung with 13%.

Artificial intelligence has been quietly taking off in the smartphone space, and according to Strategy Analytics estimates, in the second quarter of 2019, shipments of smartphone APs with AI engines increased by 45% year-on-year. Qualcomm has taken the lead in smartphone artificial intelligence.

Smartphone application processors (APs) equipped with AI engines accounted for nearly 50% of total smartphone application processor shipments, about 20% higher than the same period last year. Most AP vendors are using their own or licensed non-arm IP for AI applications in smartphones. Arm, the CPU and GPU market leader for smartphones, is catching up in artificial intelligence.

Sravan Kundojjala, Associate Director at Strategy Analytics, commented: “After seeing smartphone AP shipments decline for two consecutive years, MediaTek and UNISOC saw another year-on-year decline in shipments in the second quarter of 2019. However, both companies have Showing signs of recovery, new product lines and designs have been launched one after another. MediaTek’s new Helio P90, P70 and P22 APs have been well received by the market and have been adopted by many high-volume smartphones from Chinese OEMs. Compared with Snapdragon 600 and Helio P series chips, UNISOC’s newly launched Tiger Ben series chips look very competitive and may bring UNISOC back into the game.”

Stuart Robinson, Executive Director at Strategy Analytics, added: “Apple, HiSilicon and Samsung LSI vertically integrated companies increased their cumulative smartphone application processor shipment market share to 37% in Q2 2019. HiSilicon was particularly strong, with its The compound annual growth rate reached 28%. Despite the challenges of vertical competition, Qualcomm maintained its leading position in the smartphone application processor market share, and its flagship Snapdragon 855 application processor performed well. Both the series and the newly launched Snapdragon 700 series application processors performed well in Q2 2019. Qualcomm continues to leverage strong relationships with Chinese smartphone makers to drive solid sales of its Snapdragon application processors.”