According to the report, Broadcom revealed in its last quarter financial report released on the 15th that its wireless chip business in the first quarter of fiscal year 2018 as of the end of January has grown significantly, with revenue growing 88% compared to the same period in 2017. Moreover, revenue from wireless communications accounted for it. About 41% of total revenue in the first quarter. According to Broadcom CEO Hock Tan, at the recent quarterly financial company conference held in the first quarter of fiscal year 2018, wireless revenue growth in the first quarter of fiscal year 2018 was mainly due to a North American The growth of the next-generation platform for smartphone customers has been driven by growth. Although Hock Tan does not clearly state the name of the manufacturer, the general market expects that this customer is considered to be Apple because Broadcom’s revenue comes from selling chips. Apple's profit.
This result also seems to echo what the Cowen and Company said recently that the output of Apple iPhone X in the first quarter of 2018 reached 53 million, which is the same unit as 30 days ago. The iPhone X output is expected to be 52.5 million. The situation is basically in line with the argument. However, in the face of the following second quarter revenue outlook, Broadcom said that wireless chip sales this quarter will be significantly lower than the same period in 2017.
According to Hock Tan, for the second quarter of fiscal year 2018 as of the end of April, Broadcom expects that the seasonal decline in wireless communications revenue will be much larger than usual. The reason is that Broadcom’s sales to this North American smart phone customer. Volume, the second quarter will be a sharp decline compared to the first quarter.
Hock Tan further pointed out that Broadcom’s wireless performance growth in the first quarter was partly due to the delayed launch of this North American smart phone customer, which squeezed chip demand into the first quarter. However, after the 2nd season, The decrease in shipments of the overall smart phone has affected the shipment status of Broadcom. In fact, the market adjustment agency Cowen and Company also pointed out that the Apple iPhone X production in the second quarter is expected to drop significantly to 17 million.
However, Hock Tan stated that although Broadcom’s shipments to suspected Apple customers have fallen significantly from the previous quarter, it has made up for the decline due to the growth in shipments to South Korean technology giant Samsung. The increase in wireless chip shipments was mainly due to the launch of Samsung’s flagship smart phone, the Galaxy S9 Series, which made Broadcom’s overall revenue decline in the wireless communications industry less severe. However, this situation also explains , Apple's iPhone X sales may not be as expected as the situation may be more and more serious, and fears will drag down its supply chain revenue.