Suppliers of integrated circuits, including Qualcomm, MediaTek and Spreadtrum, this year will reduce the prices of their products in order to obtain orders from large customers. This, however, may adversely affect their gross margin in 2015.
Sources say that now, in an attempt to win the favor of Chinese consumers, requiring a higher grade smartphones, companies are looking for ways to achieve the ideal price / performance ratio due to the use of modern chips. For its part, chipset vendors are trying to get the bulk of orders from large customers by offering them attractive prices.
In addition, the Chinese smartphone market in 2015 will undergo significant changes that could have a significant impact on the supply chain. The local market will become more concentrated, but its growth will slow, despite the upcoming release of new smartphones with support for work in networks 4G LTE.