China's tablet-use application processor (AP) shipments are expected to decrease 2.9% in 2016 as a result of poor tablet sales, according to Digitimes Research.
China's tablet AP shipments will increase 6% sequentially to 20.4 million units in the second quarter of 2016, thanks to a pick-up in demand. Meanwhile, inventory adjustments in the tablet supply chain have come to an end with device vendors starting to rebuild their inventory, said Digitimes Research.
On an annual basis, however, China's tablet AP shipments for second-quarter 2016 will represent a 2.9% decrease. Nevertheless, the on-year drop is less significant compared to the more than 10% decreases in previous quarters, Digitimes Research indicated.
Spreadtrum Communications is expected to outperform other tablet AP firms in terms of shipment growth during the second quarter of 2016, Digitimes Research noted. Spreadtrum will enjoy shipment growth of 36.4% sequentially in the second quarter, buoyed by rising orders for entry-level tablets.
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