Android Ecosystem Most Attractive for Chipset Vendors

Boston, MA - May 19, 2011 –Over the next 12-24 months, the mobile OS landscape will face major applications processor market share ranking changes, according to Strategy Analytics. The recent report, “Operating Systems Influence Chip Vendor’s Success,” from the Strategy Analytics Handset Component Technology service, assesses the importance of a multi-vendor and multi-platform strategy for the success of applications processor vendors.  This report also covers applications processor vendor market share by operating system.

According to Strategy Analytics, the most successful applications processor vendors are those with a broad portfolio to address multiple smartphone price tiers, and this is likely to continue.  With over 20 chipset vendors in their fast-growing ecosystem, Android currently offers the most attractive opportunity for chipset vendors.  Despite the fact that it is a multi-OEM operating system, Windows Phone 7 currently uses only Qualcomm chipsets. However ST-Ericsson, Renesas and Broadcom are all likely to join the Windows Phone 7 ecosystem when Nokia enters the fray.

“Operating system dynamics play a key role in establishing applications processor market leaders,” said Stuart Robinson, Director of the Strategy Analytics Handset Component Technologies practice. “Applications processor vendors that are heavily-dependent upon a single software ecosystem are vulnerable, while those with a strong foothold in various software ecosystems will gain share in the future.”

“Operating systems that are backed by multiple manufacturers are most appealing to chipset vendors and provide a broader opportunity for design-wins,” commented Sravan Kundojjala, Senior Analyst. He continued, “Single-vendor operating systems shift the balance of power to a privileged few. Strategy Analytics continues to recommend that operating system diversity in the marketplace as good for chipset vendors.”

Read more about mobile processor market dynamics on our blog: http://sa-link.cc/ChipBlog