In anticipation of the Mobile World Congress 2012 in Barcelona, which began Monday, Texas Instruments (NYSE:TXN) has released a marketing video comparing an Android tablet running one of its OMAP 5 SoCs (probably an OMAP5430) with its two ARM Cortex A15 cores against Nvidia’s (NASDAQ:NVDA) Tegra 3 quad-core with four ARM Cortex A9 processors and additional power-efficient companion core.
The video illustrates a benchmark test comparing webpage loading speeds between the tablets. According to the results, the TI OMAP5 tablet finishes its benchmark in 95 seconds whereas the Tegra 3 tablet finishes in almost double the time.
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TI Turns up the Heat on Qualcomm, Nvidia
This may be a plausible cause of concern for Nvidia as mobile and game console computing chips account for 13% of its overall value.
Nvidia is heavily relying on its Tegra 3, which is featured in consumer electronic devices like the Asus Eee Pad Transformer Prime, IdeaPad K2, Acer Iconia Tab A700 and the LG Optimus 4X HD. Nvidia held the number 6 spot in smartphone CPU market in 2011 according to research firm Strategy Analytics 
The OMAP5 smartphone platform is one of the best platforms in the industry currently and with its introduction, TI is looking to take back the number one spot in the smartphone CPU market back from Qualcomm. Devices powered by OMAP5 should arrive by Q4 2012 or early 2013.
While TI chips away at both Qualcomm and Nvidia, it has fewer causes for concern back home as its main business remains insulated from both these competitors. Mobile & wireless products contribute less than 3% to Texas’ overall value and hence any gain or loss in the application processor market isn’t likely to hurt TI.
Our price estimate for Texas Instruments stands at $36.51, implying close to a 10% premium to the market price.Notes: