Though its set-top-box (STB) chip shipments may decline 10% sequentially in the first quarter on seasonality, ALi expects that demand will begin picking up in March, and that the segment will continue to be a major revenue driver for the company this year.

ALi, which began shipping STB chips in the third quarter of 2005, saw related shipments total more than two million units in December last year, and shipments surpassed eight million for all of last year, according to the sources.

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