"Buzz is really all there is to MPEG-4 AVC currently," said Michelle Abraham, an In-Stat analyst, in a statement. "We expect the market will be small in 2005, as many decoder IC suppliers have been conducting interoperability testing with encoder suppliers."
In-Stat predicts that as DVB-H and DMB standards are increasingly deployed, MPEG-4 Video ICs will appear in more mobile handsets.
NEC Electronics held onto the top unit share spot in 2004 due primarily to DVD recorder design wins. STMicroelectronics recorded the highest MPEG Video IC revenue in 2004, In-Stat said.