Taipei, Wednesday, June 29, 2016 08:25 (GMT+8)
thunderstorms
Taipei
31°C
Digitimes Research: Silicon Works LDI business posts revenue drop in 2Q13 on falling iPad shipments
Ricky Tu, DIGITIMES Research, Taipei [Friday 18 October 2013]

South Korea-based IC design house Silicon Works saw revenues generated from its LCD driver IC (LDI) business fall for a second consecutive quarter sequentially in the second quarter of 2013, due to a slowdown in orders for Apple's iPad devices, as well as its narrow target applications, according to Digitimes Research.

Silicon Works' driver IC solutions are targeted mainly at tablets and notebooks. The company has reportedly entered the supply chain of Apple, through providing driver ICs to LG Display.

Buoyed by robust iPad sales, revenues of Silicon Works' LDI business climbed to KRW100.6 billion (US$3.43 billion) in the second quarter of 2012, Digitimes Research said. This represented an about 87% jump compared to KRW53.8 billion in the first quarter, and more than a doubling from only KRW47.4 billion in second-quarter 2011.

Silicon Works' LDI business accounted for more than 80% of company revenues in the second quarter of 2012, up from 60-62% over the previous four quarters, as a result of its rapid expansion, Digitimes Research indicated.

However, due to weakening demand for Apple's iPad, revenues of Silicon Works' LDI business fell below KRW100 billion in the first quarter of 2013, Digitimes Research observed. Revenues continued to contract in the second quarter, slipping to KRW62 billion or 71.5% of Silicon Works' total revenues.

In addition, unlike fellow Taiwan-based LCD driver IC companies, which target applications ranging from handsets, notebooks and LCD TVs, Silicon Works' LDI business was negatively affected by its unfavorable product mix in the first half of 2013, Digitimes Research noted.

Silicon Works' driver IC shipments for Apple's iPads, for instance, accounted for as much as 48% of company revenues in the third quarter of 2012. The proportion had already shrank to less than 30% in 2013, Digitimes Research pointed out.

Digitimes Research anticipates that Silicon Works' LDI business is set to suffer its first revenue decline since 2008 in 2013.

Source: Digitimes Research, October 2013

Realtime news
  • China market: Subor Electronics teams up with AMD to develop VR gaming chip, says report

    Bits + chips | 11h ago

  • TCL sees smartphone shipments decline nearly 13% on year in May

    Mobile + telecom | 11h 36min ago

  • Digitimes Research: Samsung Display AMOLED panel shipments to increase to 560 million units in 2019

    Displays | 11h 53min ago

  • Commentary: Samsung Display to continue dominating AMOLED market until 2H17

    Displays | 11h 56min ago

  • IC design houses allocating 28/40nm orders to UMC, SMIC

    Before Going to Press | 11h 48min ago

  • Fingerprint sensor startup raises nearly NT$200 million

    Before Going to Press | 12h 2min ago

  • China market: Foxconn plans to resume retail deployment

    Before Going to Press | 12h 8min ago

  • Qualcomm aims to roll out 5G SoC solutions in 2018-2019

    Before Going to Press | 12h 11min ago

  • SAS not seeing rebound in China market

    Before Going to Press | 12h 12min ago

  • Arcadyan Technology to deal out 2015 dividend of NT$1.60

    Before Going to Press | 12h 16min ago

  • LTE Cat-M1, LTE Cat-NB1 to become mainstream IoT technology, says Qualcomm at MWC Shanghai 2016

    Before Going to Press | 12h 17min ago

  • Hiwin Technologies to deal out 2015 dividend of NT$2.30

    Before Going to Press | 12h 18min ago

  • Wafer Works to not deal out 2015 dividend

    Before Going to Press | 12h 19min ago

  • InterServ International to not deal out 2015 dividend

    Before Going to Press | 12h 20min ago

  • Egis fingerprint sensor adopted by Samsung

    Before Going to Press | 12h 21min ago

Pause
 | 
View more
Taiwan server shipment forecast and industry analysis, 2016
Trends and forecasts for the China FPD industry, 2014-2017
The transition to 4k TV - UHD TV market forecast, 2014-2017
  • Wireless broadband developments in Southeast Asia markets

    As of 2013, the 10 ASEAN nations had a total of over 700 million mobile subscriptions, with the CAGR from 2003-2013 reaching 24%. This Digitimes Research Special Report analyzes the various mobile broadband markets in ASEAN and looks at the respective trends in 4G LTE development for those markets.

  • 2015 global tablet demand forecast

    This Digitimes Research Special Report provides a 2015 forecast for the global tablet market and analyzes the strategies of key market players such as Google, Apple, Intel, and Microsoft.

  • 2015 China smartphone panel trend forecast

    This Digitimes Research Special Report analyzes the strategies of key China-based major panel makers BOE, Tianma and IVO for attacking the different market segments through technology and pricing, and their relationship to local vendors Huawei, Lenovo, ZTE, Xiaomi and Coolpad.