Samsung Electronics Co. (SSNHY) gained share in the market for standalone applications-processing semiconductors used in mobile phones thanks to Apple Inc.'s (AAPL) iPhone, according to research firm iSuppli Corp.
But Samsung remained the No. 2 player in that segment behind Texas Instruments Inc. (TXN).
Standalone applications processors tend to be used in higher-end models of smartphones and the like, which require greater computing power.
The South Korean company's market share rose 0.8 percentage point from the first quarter to 15.9%, putting it behind Texas Instruments's 24.4%. TI's first-quarter share was 27%.
"Since the introduction of the first model in January 2007, Samsung has occupied the key applications processor slot in Apple's iPhone line," iSuppli analyst Francis Sideco. "With the new 3G S model allowing the iPhone to gain share in the smart-phone market, Samsung also is claiming a larger portion of standalone applications processor shipments."
However, Samsung's position could come under pressure if Apple decided to move sourcing in-house to PA Semi, which it acquired last year.
Among other players, Renasas Technology was a strong third, rising 2.4 percentage point to 12% share. No. 4 Marvell Technology Group Ltd. (MRVL) was the only top provider to see share fall, with a 0.3-point drop to 7.4%. STMicroelectronics NV's (STM) share rose to 6.6% from 5.7%.
All told, the top five providers hold two-thirds of the market.
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