Analogue industry at an inflection point, says Maxim CEO

Analogue industry at an inflection point, says Maxim CEODavid MannersTuesday 16 October 2012 04:15 The analogue industry is at an inflection point, says Tunc Doluca, CEO of Maxim Integrated. It is consolidating, it is increasingly focussed on mobility and it is…

Analogue industry at an inflection point, says Maxim CEODavid MannersTuesday 16 October 2012 04:15 The analogue industry is at an inflection point, says Tunc Doluca, CEO of Maxim Integrated. It is consolidating, it is increasingly focussed on mobility and it is heading towards higher levels of integration. “Originally the analogue industry was dominated by building blocks,” says Doluca, “now we can help a customer build a system. The old single-function building block industry is going. Companies which can build highly integrated solutions can benefit.”
Twenty years ago the analogue IC industry had 10,000 parts, says Doluca, ten years ago it had 20,000 parts, now it has 40,000 parts. “will that number keep growing?” asks Doluca, “we think not.” According to a Maxim-funded survey last year, the priorities customers now look for from analogue companies are first reference designs, second, technical support, third an understanding of the customer’s system, fourth facilitation of a quick time to market and fifth, ease of identifying components.

A third of the analogue market is the mobility market, says Doluca. Asked by EW if this wasn’t a recipe for engaging in a constantly commoditising market, Doluca replies: “If you look at the mobile market, the building blocks get commoditised. In these markets it’s easy for people to make similar products. When we make building block products we make sure they’re highly differentiated and as soon as possible we integrate them into bigger chips. Very few companies can do that.” Maxim’s strength in the integrated analogue market derives, says Doluca, from having one of the broadest IP portfolios having been on the business for three decades and owning proven IP blocks which speeds product development. Doluca estimates the mobile analogue market at $10bn today, $11bn in 2013 and $19bn in 2015. The analogue IC industry is consolidating, says Doluca. 20 years ago none of the top five companies had more than 6% market share. Last year, the top five companies had over 50% market share. “Our strategy of higher integration products has worked for us,” says Doluca, “we have grown our high integration revenues two and a half times.” Asked by EW if the high integration strategy had resulted in higher ASP, Doluca, replies: “We don’t look at ASP as an important metric.”

Please enable JavaScript to view the comments powered by Disqus.
Comments powered by Disqus

Related Articles

Maxim smart grid platform blocks cyber attacks09 Oct 2012Elektra Awards Finalists02 Oct 2012Maxim claims Class D amps will simplify audio design28 Sep 2012Maxim bets its shirt on integration21 Sep 2012View all news

Latest Blog posts

Top 10 R&D Spend-to-Sales Ratios17 Oct 2012DIY customisable electric skateboard16 Oct 2012Boon For Drunks16 Oct 2012LED lighting, built in Britain – OMC, a company profile16 Oct 2012View all blogs

‘);

‘);

Industry Resources

Share the content

Most Viewed

Globalpress: Analogue industry at an inflection point, says Maxim CEOPosted:
04:15 16 Oct 2012ST considering break-upPosted:
13:21 12 Oct 2012Raspberry Pi gets more memory for Android 4.0 Posted:
10:11 15 Oct 2012Globalpress: Altera outgrowing the ASSP market by 3x, says Altera CEOPosted:
07:08 16 Oct 2012
Products

»   MAIN INDEX
»   Acal
»   Anglia
»   Arrow Electronics

»   Avnet Abacus

»   Avnet Memec
»   Avnet Silica
»   Digi Key
»   EBV Elektronik
»   Farnell
»   Future
»   Mouser
»   MSC Gleichmann UK
»   RS

Related Jobs

IC Resources Ltd: Principal IC Design Lead – ASIC/Mixed-Signal, BerkshirePosted:
08:00 17 Oct 2012IC Resources Ltd: Principal IC Design Lead – ASIC, EdinburghPosted:
08:00 17 Oct 2012IC Resources Ltd: Advanced Process Technologist – CambridgePosted:
08:00 17 Oct 2012IC Resources Ltd: Senior Analog IC Design Engineer – CaliforniaPosted:
08:00 17 Oct 2012

‘);

‘);

Products & Services
Email Newsletters
RSS
Blogs
Digital Magazine
Industry Resources
Company Directory
Videos
Subscribe
Media Centre
Terms and Conditions
Disclaimer
Privacy Policy
Site Map
Contact Us

© Metropolis International Group Ltd.

The Latest Electronics News

Design
Communications, EDA and IP, Embedded Systems, Legislation, Power

Components
Analogue & Discretes, Displays and Opto, Memory, Micros & DSP, Passives, FPGAs & Asics

Research
Materials R & D, Process R & D, Device R & D

Business
Distribution, Viewpoints, IT, Market Research

Production
Manufacturing, Test & Measurement

Products
Analogue ICs, Bus Systems & SBCs, Emech & Enclosures, Memory, Passives, Connectors, Digital ICs, Discretes,
Displays, DSPs, FPGA/PLD, Asics, Micros, Power Supplies, RF & Opto, Sensors, Software, Test & Measurement

Events
Diary Dates, Electronica, Elektras