But something big is going on
Our industry contact just wrote us about the rumor that MediaTek might acquire Intel's mobile division. We asked a few people within the mobile department, and it appears this is not happening.
It doesn't make any sense to purchase a mobile division that failed to produce any significant phone designs and for that it is worth, MediaTek is making much better mobile SoCs than Intel. Even so, Intel is making quite decent modems that might end up in iPhone 7, but MediaTek is on a good way to make a modem that supports beyond Cat. 6 and it is already working on 5G LTE technology for deployment in a couple years.
The MediaTek merger announcement might have to do with the automotive industry, but we don't have any concrete information. NXP Semiconductors N.V. and Freescale Semiconductor merged last December, creating the biggest automotive chip supplier. This led us to believe that MediaTek will announce some sort of deal with a new Automotive focused giant.
MediaTek Chairman and CEO Tsai Ming-Kai has already voiced his interest in getting MediaTek into the automotive industry . Some sort of partnership with NXP – Freescale might be the quick way in. Mediatek has suspended trading on the Taiwan stock exchange and this might be a big indicator that something is going on.
For what it is worth, we will know more soon.
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