‎‏‎‎‎‎‎‎‎‎‏‏‎‏‎‎‎‎‏‎‎‏‎‎‎‏‏‏‏‏‏‏‏‏‎‏‎‏‎‎‏‎‎‏‎‎‏‎‎‏‏‏‎‎‏‎‎‎‏‏‎‎‏‎‏‏‎‎‏‏‎‏‏‎‎‎‏‎‏‏‏‎‎‏‏‏‎‏‏‎‎‏‎‏‎‎Is Realtek eating Sigma's Lunch?

posted Oct 21, 2009, 5:30 AM by Henrik Cort Tranæs   [ updated Jan 5, 2010, 12:33 PM ]

Realtek Still Above $50 million per month
Realtek have been posting quite good revenue numbers since June 2006 growing fast in revenue and income.
Sigma have on the other hand slowed in their growth and the recently on a investor call said the they were experience challenges in the first two months of the current Q3 2009 quarter.

The numbers show that Realtek have been growing in revenue month over month this year higher than last year. Realtek total revenue also include Audio and Network chip sales. Also Realtek is bout 3 times as large revenue wise compared to Sigma. There is no mention in their financial reports over how much media processors make up of their total revenue, so the growth could also come form elsewhere. However The slew of new players being launched at the moment, are almost entirely featuring Realtek Media Processors. End products such as ASus O!Play, Xtreamer's Xtreamer, CinemaTube Seagate Free agent Players all feature the Realtek RTD1073 chip set.

Sigma below $40 million per quarter
Is Sigma's command of the Media Player market falling fast? It could seem so. One would expect them to have better numbers in these quarters, but since the total revenue where 80% comes form IP Settop boxes in could indicate a slowdown in sales of these, like Broadcom recently in their Q3 2009 statement said. However with the launch  of the new WDTV Live player featuring an Sigma 8655 chip set together with Western Digitals good brand and channel strategy. Sigma might strengthen their market position again if the WD TV LIVE player becomes successful. Also if the new Popcorn C-200, which feature an advanced SMP 9644 Processor, wins over the enthusiast buyers of digital media players and provide an upgrade for existent A-110 users, this might lead to a boost in Q4 revenue for Sigma Designs.

the data on reveune does not take account of different accounting rules between Taiwan and US.