This Mobile Chipmaker Is Cutting Prices

This Mobile Chipmaker Is Cutting Prices

The market for mobile applications processors is a tough one, characterized by intense competition and, as a result, low gross profit margins.

Qualcomm (NASDAQ: QCOM), which builds the Snapdragon family of applications processors and stand-alone modems, is the leading merchant smartphone applications processor vendor. Taiwan-based MediaTek is the second largest.

According to a recent report from DigiTimes, Qualcomm is pricing its Snapdragon 450 platform aggressively, which has put MediaTek "under pressure" to respond with price cuts for its competing Helio P23 chips.

Continue reading

Source: Fool.com