Guessing 6 USD a chip, an high estimate, says they are selling 3M HPNA chips a quarter. With AT&T adding 600K new subscribers per quarter, where in the hell are the other 1.8M HPNA chips going? Surely AT&T is not buying 5 HPNA chips per subscriber, no?
Even more of a mystery is where are Sigma's 700K HomePlug chips going? Given Sigma's much more expensive BOM for their CG2210 chip, surely nobody would be buying the CG2210 over QCA or BRCM chips. Mystery.
Quotes from the 2015Q3 Earnings Call.
In home networking, our home networking business contributed 23 million in revenue this quarter, an increase of 5.2 million over our previous quarter as a result of sequential increase in HomePNA and HomePlug deployment. The future Home Video Networking market is being driven by the need to bring video service to multiple set-top boxes or television in the home and ensure that reliable connections of 4K TV, is more self installation and lower overall operator cost. As the only standard that enables all wire connectivity, G.hn has been getting additional momentum in the worldwide service provider space based on reliable bandwidth it offers, the self installability and a fit as a complement to wireless solutions being used by many providers.
We have been heavily engaged with the market as our sales force continues its aggressive effort to gain adoption via G.hn solution with specific focus on service providers in North America and China. Now established HomePNA product and customers continue to account for over 80% of our product line revenue, which has recently shown new growth. We believe our home networking product line revenue may fluctuate throughout the next few quarters.