"Never fall behind, never absent, and be one of the leading groups." IC design company MediaTek held a media tea on the 21st. The entire press conference repeatedly stressed the determination of the 5G era. CEO Cai Lixing even announced that MediaTek will become The 5G leadership group pointed out that in the past, the investment in 5G and AI will become new products. It is estimated that some benefits will be generated next year, and the revenue will reach more than 10%.


In 2019, MediaTek's annual media spring wine topic continued to focus on mobile communications, 5G and AI. At the beginning of the press conference, Cai Lixing explained that the business development was stable in 2018, the business benefits increased by 60%, and the P series processor and A series chip. They are quite competitive, and their product positioning is also very good. The profit rate and gross profit margin continue to improve. This year, efforts should be made to return the gross profit margin to 40%. "This is an important milestone."

However, in response to the economic environment, Cai Lixing admits that this year's uncertainty is high and the mobile phone market is slowing down. It is still a challenging year for MediaTek. Fortunately, other product lines such as ASIC have shown steady growth. Revenue performance was flat or slightly higher, still relatively good, and will gradually move towards a healthy profit-making structure.
He also announced that in the past, MediaTek's contribution to new investment in 5G, AI, IoT and other new investment will be displayed next year, and it is estimated that 2020 will account for about 10% of total revenue. It is also pointed out that MediaTek has invested more than 220 billion NT dollars in research and development over the past four years. In 2019, it is the key year for the company to lead the 5G+AI industry cluster to the world.
MediaTek is scheduled to launch 5G SoC data chips by the end of the year. General Manager Chen Guanzhou further added that in addition to solidifying the status of 5G leader group, MediaTek has another big goal this year to lay the 4G second half to provide the best user experience.
He explained that although there are many specifications for mobile phones, good user experience is the key to grasping the customers and consumers of the industry. Emphasizing that MediaTek will build a CPU, GPU and APU with the principle of "new high-end". Products with a good experience.
However, the media are concerned about the impact of TSMC's wafer contamination incident on MediaTek and whether the annual dividend is considered for distribution. Cai Lixing, who served as the chief executive of TSMC, stressed that it is a good customer relationship with TSMC. Although it can't be said that it has no impact at all, it has at least no impact on the first quarter financial results. As for the dividend issue, CFO Gu Dawei responded, and there is no final conclusion. The board will discuss it again, but the earnings rate will remain 60% to 70% of the past.