If I understand it correctly, TUNE's patent portfolio covers methods which allow it to more highly integrate the tuner function, onto a single chip. This gives them an advantage, but does not seriously handicap competitors, IMO. Several other companies can provide an equivalent function, though it may require an additional chip or other small external parts. For a settop box manufacturer, it usually comes down to total cost, so it depends how dearly they value the incremental space or extra chip.

I haven't heard anything about results of their filing against alleged Broadcom infringement.

Microtunes weakness is that they are only at the RF front end. Broadcom offers everything from RF through complete digital processing. You can build almost a whole settop with nothing but Broadcom parts, and some of the Broadcom parts further along the chain are very highly integrated. Broadcom doesn't like Microtune, and makes it difficult to use Microtune front end with Broadcom back-end. This is why Microtune partnered with ST to offer complete solution. Unfortunately, ST's back end parts aren't as highly integrated as Broadcoms.

Microtune has excellent cable RF tuners, no doubt. Decent margins on those, too. But that's it. Nothing for satellite, nothing for broadcast TV, no back-end parts for cable or anything else. Low margin bread and butter car radio stuff, from their acquisition of temic telefunken a few years ago, and cable.

In my opinion, and you must keep in mind that I have stated over and over again that I think they're grossly overvalued here, they do not have the resources to expand beyond this one niche anytime soon. They are not profitable, and only the most optimistic of estimates show them making a profit next year. Current price is still almost 1000x that most optimistic earnings estimate for NEXT year.

Insiders appear to be preparing to bail out in a big way.
Chart looks like textbook example of head and shoulders, indicating a big fall to come.