During Q3 2013, Nokia became the fourth largest smartphone brand capturing a record high 4% market share in a market which is a virtual duopoly dominated by Apple & Samsung, according to Counterpoint Research.

STMicroelectronics said chip demand is taking a hit as smartphone manufacturers trim orders, adding to testimony of weakening appetite for high-end handsets.

While TI hit the targets, investors seemed shaken by drops in revenue and EPS from the same quarter last year.

Its forecasts also indicate potentially slowing profit growth at its mobile business-a signal that its run of record results is under threat by rising competition and lower-margin phones taking up a bigger proportion of sales.

Texas Instruments gave a third-quarter revenue forecast that was stronger than some analysts expected and said customers seem more confident about placing orders for chips.