MediaTek Eyes Robust Yearly Growth Amid Market Caution

MediaTek Inc. expects a nearly 10% increase in annual revenue despite potential challenges in the second quarter, driven by cautious market demands and rising costs in the smartphone industry. The company's growth is supported by its diverse smart device applications and innovative 2-nanometer chips launching later this year.

MediaTek Inc., based in Taiwan, has projected close to a 10% rise in its annual revenue, even as it anticipates possible stagnation or decline in the second quarter. This optimism comes amidst a backdrop of cautious market demand, highlighted in a Focus Taiwan report.

In Q2 of 2026, MediaTek predicts its revenue will range from NT$140.2 billion to NT$149.2 billion, signaling either flat growth or a 6% drop from Q1. Year-over-year, these figures suggest a potential 1-7% decrease. CEO Rick Tsai attributes customer conservatism and increased costs in the smartphone sector as influencing factors.

Despite an anticipated 15% contraction in global smartphone shipments this year, Tsai foresees a mid-year rebound in MediaTek's mobile chip segment. This recovery will coincide with the launch of flagship smartphones featuring its advanced 2-nanometer chips. Additionally, its smart device platforms spanning automotive and connectivity applications are positioned for double-digit growth, buoyed by market share gains.