Optimism in China for rebound in handset demand in 3Q

While sluggish demand in the global handset market has led handset vendors to adjust their sales goals for the second half of this year, market watchers in China believe handset demand in the local China market will pick up in late July, and chipset makers can expect increased orders in August and September.

Taiwan IC design house MediaTek indicated that according to the sources at downstream distributors, China handset manufactures have begun to increase their stock to prepare for the Olympics in August, and if the demand meets expectations, sales will pick up further.

However, MediaTek mentioned that because its sales for handset applications exceeded expectations in the second quarter, overall shipment volumes demand for this quarter is unpredictable.

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