Despite of recent market share gains, Taiwan-based chipset designers, namely VIA Technologies and Silicon Integrated Systems Corp., still experience consequential revenue declines, say recent financial reports from both core-logic companies.

VIA Technologies’ net sales for October 2004 reached approximately $55.32 million.On a sequential basis, this monthly sales revenue represents a 1.87% decrease over September’s figure $56.37 million and 6.32% decline from October 2003. SiS’ sales were $32.72 million, down 31% annually, and up only about 2.9% sequentially.

During the Q3 2004 Intel Corp. supplied 62.1% of all chipsets shipped worldwide, VIA Technologies commanded 18.5% of the market, Silicon Integrated Systems Corp. shipped 9.9% of core-logic products in Q3 2004, while ATI Technologies and NVIDIA Corp. only occupied 4.5% and 4.2% of the market.

According to Merrill Lynch analyst Den Heyler VIA’s third-quarter 3.6% market share gains become possible as shipments of core-logic chipsets supporting Intel and Advanced Micro Devices microprocessors rose 17% and 67%, respectively, from the second quarter of 2004. Shares of ATI, NVIDIA and SiS also increase 1% each in Q3.

Chipset business of companies like VIA, SiS and ATI, who supply the majority of their core-logic products for PCs running Intel Pentium 4 processors, is believed to be under fire, as Intel Corp. competes fiercely in the entry-level and mainstream chipset market segments, which puts pricing pressure on third-party core-logic makers.