The Chinese MP4 player market in China reached a size of more than one million units in 2006, with large-scale growth continuing into 2007. Potential market opportunities have attracted various Chinese chip makers to enter the MP4 chip arena, such as MP3 chip maker Actions Semiconductor, Fuzhou Rockchip Electronics - the earliest company to launch MP4 chips in China - , and PC camera chip maker Vimicro. Other Chinese IC design houses that have released MP4 chips include Anyka Technologies, Shanghai Jade Technologies, and Chipnuts Technology. This report analyzes the development of leading Chinese MP4 IC design houses.