Flat first quarter seen for suppliers to handset manufacturers

Companies supplying components to handset manufacturers are expected to have a flat first quarter, according to industry sources. An increase in orders to these vendors aren't expected to hit until March. Until then, handset manufacturers are seen cleaning out inventory of older models. During that period, Brand manufacturers like HTC, and design companies like Arima Communications and Compal Communications are expected to have lower sales. That will negatively impact component vendors who will receive fewer orders during that time period.

New phones expected in the late first quarter or early second quarter include the HTC One+, Samsung Galaxy S5, Sony Xperia Z2, Nokia Lumia 1820 and the LG G Pro 2. All of these models could hit the market with QHD displays in excess of 5 inches, and feature the Qualcomm Snapdragon 805 CPU. Many of these models could have fingerprint scanners.

The suppliers aren't expecting to receive steady orders from the manufacturers until March, just before many of these newer models are released. The majority of these phones are new flagship models that will be replacing currently offered units. 

source: DigiTimes

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