On the eve of several Taiwanese media reported that MediaTek, one of the leading manufacturers of chipsets for mobile gadgets, is allegedly preparing for massive staff reductions and is going to lay off about three thousand employees within a year.

The Taiwan chipmaker made a refutation, calling such allegations groundless.

"Currently, MediaTek has no plans for large-scale dismissal," the company said in a statement sent to the Taiwan Stock Exchange, quoting DigiTimes.

MediaTek was warned that they reserve the right to use any available legal means for those who disseminate unconfirmed or false information about the company, misleading investors and the public, and which may adversely affect the activities of MediaTek or affect the credibility of the company and its management.

Meanwhile, MediaTek reported data on sales in the past month. The chipmaker's revenue in May reached 18.44 billion Taiwan dollars (615 million US dollars), which was the second best result of the company in 2017, after the March figure of 20.82 billion Taiwan dollars.

Market analysts believe that MediaTek sales will continue to grow in June and range from 19.9 to 24.4 billion Taiwan dollars (661-811 million US dollars).