MediaTek, once a leader in high-end mobile phone chips, has seen its dominance in the premium segment wane. As the market for low-end chips became saturated, the company shifted its focus to the rapidly growing Internet of Things (IoT) sector. With the rise of smart devices and connected ecosystems, MediaTek began to expand its product lines across various IoT applications, aiming to capture a significant share of this emerging market.
After transitioning from traditional mobile internet to the broader concept of the Internet of Everything, MediaTek recognized that IoT would be the next big opportunity for tech companies. The company, known as MediaTek in Taiwan, is no exception. According to Yu Renjie, Deputy General Manager and Head of the Family Entertainment Business Group, "With AI technology maturing, smart speakers have taken off. We don’t know what new IoT products will come out, so we need to build a full product line to be ready when opportunities arise."
At the 2017 China Mobile Partner Conference, MediaTek unveiled its first dual-mode IoT SoC, the MT2621, which supports NB-IoT R14 specifications. It was scheduled for delivery in Q1 2018. This chip supports both NB-IoT and GSM/GPRS networks, offering low cost and ultra-low power consumption. It's ideal for wearables, smart meters, security devices, and industrial applications. The MT2621 is considered one of the most energy-efficient NB-IoT chips in the market.
While MediaTek faced challenges in the high-end mobile chip market, the IoT sector offered a fresh start. However, industry experts note that success in IoT requires more than just strong chips—it demands a robust ecosystem. Compared to companies like Huawei, MediaTek may excel in single-chip solutions but lacks a comprehensive ecosystem.
Currently, MediaTek focuses on consumer-oriented IoT applications, including wearables, shared bikes, home gateways, and GPS tracking. In 2015, it launched the MT2503, which dominated the shared bike market with over 90% market share. The company is also expanding into automotive and industrial IoT.
According to reports, MediaTek has two main business groups: Wireless Products and Family Entertainment. The latter includes the IoT division, which accounts for 25% of total revenue. In 2016, IoT-related services like smart speakers and Wi-Fi brought a 20% YoY growth to the group. Today, MediaTek holds over 70% of the smart speaker market, supporting platforms like Alibaba’s voice backend and Baidu’s DuerOS, as well as Amazon and Google’s platforms overseas.
Driven by smart homes, smart cities, and connected hardware, the IoT market is booming. Gartner predicts 26 billion connected devices by 2020, with the IoT market reaching $1.9 trillion. By 2022, the IoT chip market could surpass $10 billion. While foreign players like ARM, Qualcomm, and Intel dominate, domestic firms such as Haisi, Spreadtrum, and Datang Lianxin are also making their mark.
NB-IoT, a key player in the IoT space, offers enhanced coverage, support for massive device connections, and reduced power consumption. China Mobile has been rolling out NB-IoT coverage nationwide, aiming for full coverage by 2020. MediaTek recently launched the MT2625 NB-IoT SoC, with the MT2621 serving as a transitional product supporting both NB-IoT and GSM/GPRS.
Despite the excitement around NB-IoT, the ecosystem is still developing. Analysts suggest a 2-3 year transition period before full network coverage. MediaTek aims to lead in this space, leveraging its smart speaker presence and R14-compliant chips.
However, MediaTek’s strength lies in individual chips, not in building an entire ecosystem. Unlike Huawei, which has its own operating system and strong operator partnerships, MediaTek needs to strengthen its alliances with terminal manufacturers and downstream developers to fully capitalize on the IoT boom.
Gps Tracking Battery,Pet Tracker Battery,Gps Car Battery,Toys Lithium Battery
Jiangmen Hongli Energy Co.ltd , https://www.honglienergy.com