News
TEMPE, AZ – The slowdown in housing and other markets is starting to back up on manufacturing, according to a report released today by the Institute for Supply Management.
EL SEGUNDO, CA — Global shipments of mobile handsets equipped with GPS capability are expected to more than quadruple from 2006 to 2011 due to the U.S. government’s mandate for Emergency 911 capability as well as wireless operators’ initiatives to offer location-based services (LBSs), according to iSuppli Corp.
GPS-equipped mobile handset shipments will increase to 444 million units by 2011, rising from 109.6 million units in 2006. By 2011, 29.6% of all mobile phones shipped will have GPS capability, up from 11.1% in 2006.
“Besides cameras, multimedia capabilities and connectivity solutions, mobile-handset OEMs increasingly are investigating the integration of GPS functionality in mobile devices as a value-added product differentiator,” said Tina Teng, analyst, wireless communications at iSuppli. “Wireless carriers are looking at introducing various new GPS-based, revenue-generating services to increase average revenue per user.”
Such LBSs are the key services that could drive up ARPUs. LBSs include a broad range of value-added services that incorporate user location pinpointed by satellites or other tools with location databases. The most common services are user location, turn-by-turn navigation, location search, tracking, information services and social networking.
E911 mandates also are driving the expansion of the GPS-enabled handset market in the U.S. The U.S. FCC in 1996 issued a report that requires all operators to precisely locate the position of wireless callers making emergency 911 calls. The regulation was implemented in three phases: Phases 0, I and II. Phase II of the E911 implementation requires all operators to deliver specific latitude and longitude information of the caller, also known as Automatic Location Identification (ALI). This can be accomplished using a GPS-enabled mobile handset.
The U.S. and South Korea are expected to be the leading regions for GPS-enabled mobile handsets. Europe will be the next largest GPS-enabled handset market as GPS functionality penetrates into smart phones.
GPS-equipped mobile handset shipments will increase to 444 million units by 2011, rising from 109.6 million units in 2006. By 2011, 29.6% of all mobile phones shipped will have GPS capability, up from 11.1% in 2006.
“Besides cameras, multimedia capabilities and connectivity solutions, mobile-handset OEMs increasingly are investigating the integration of GPS functionality in mobile devices as a value-added product differentiator,” said Tina Teng, analyst, wireless communications at iSuppli. “Wireless carriers are looking at introducing various new GPS-based, revenue-generating services to increase average revenue per user.”
Such LBSs are the key services that could drive up ARPUs. LBSs include a broad range of value-added services that incorporate user location pinpointed by satellites or other tools with location databases. The most common services are user location, turn-by-turn navigation, location search, tracking, information services and social networking.
E911 mandates also are driving the expansion of the GPS-enabled handset market in the U.S. The U.S. FCC in 1996 issued a report that requires all operators to precisely locate the position of wireless callers making emergency 911 calls. The regulation was implemented in three phases: Phases 0, I and II. Phase II of the E911 implementation requires all operators to deliver specific latitude and longitude information of the caller, also known as Automatic Location Identification (ALI). This can be accomplished using a GPS-enabled mobile handset.
The U.S. and South Korea are expected to be the leading regions for GPS-enabled mobile handsets. Europe will be the next largest GPS-enabled handset market as GPS functionality penetrates into smart phones.
ST. LOUIS -- EMS provider LaBarge Inc. reported fiscal first-quarter net earnings rose 5% sequentially on a 19% jump in net sales.
For the period ended Sept. 30, net profits were $2.5 million on sales of $59.2 million.
Gross margin was 19.2%, up from 18% in the fourth quarter but down from 21.4% last year.
Net cash from operations was $5.1 million, up from $1.04 million in the fourth quarter and down from $10.4 million a year ago.
Bookings were extremely strong, exceeding $100 million, a record for the company, on demand from the defense, natural resources and industrial sectors. Backlogs at Sept. 30 were $245.5 million, also a record and up 19% from July 1 and 16% from last year.
Chief executive and president Craig LaBarge said, “LaBarge’s long-term business outlook remains very positive based on the strength of our current backlog and a healthy pipeline of new business opportunities. We expect second-quarter sales and earnings will compare favorably to this year’s first-quarter results. Further, we expect our improving mix of business to drive further gross margin improvement in the second half of the fiscal year. We expect fiscal 2008 to be another record year.
For the period ended Sept. 30, net profits were $2.5 million on sales of $59.2 million.
Gross margin was 19.2%, up from 18% in the fourth quarter but down from 21.4% last year.
Net cash from operations was $5.1 million, up from $1.04 million in the fourth quarter and down from $10.4 million a year ago.
Bookings were extremely strong, exceeding $100 million, a record for the company, on demand from the defense, natural resources and industrial sectors. Backlogs at Sept. 30 were $245.5 million, also a record and up 19% from July 1 and 16% from last year.
Chief executive and president Craig LaBarge said, “LaBarge’s long-term business outlook remains very positive based on the strength of our current backlog and a healthy pipeline of new business opportunities. We expect second-quarter sales and earnings will compare favorably to this year’s first-quarter results. Further, we expect our improving mix of business to drive further gross margin improvement in the second half of the fiscal year. We expect fiscal 2008 to be another record year.
MINNEAPOLIS -- Electronics manufacturing services firm Nortech Systems reported net sales of $29.6
million for the third quarter ended Sept. 30, up 17
% over the same period in 2006.
Operating income was $1 million, up 58%, and net income was $420,506, up 38%.
DURHAM, NC – The SMTA’s 3D/SiP/Advanced Packaging Symposium will be held Apr. 29-30 at the Washington Duke Inn & Golf Club, Durham, NC.
The symposium will provide research in the field of advanced packaging with particular attention to materials, manufacturing, assembly and Package/PWB reliability in a Pb-free environment.
Two-hundred to 300-words abstracts are being requested in the following areas: system in package; multi-chip packaging; materials/finishes/solder alloys; reliability; package on package; enabling technologies; die stacking/3D assembly; wafer-level packaging; bumping/flip chip on board; handheld electronics/miniaturization; 3D wafer level integration; 3D wafer level packaging; die/package/system co-design; modeling and simulation; drop/shock/bend performance, and infrastructure.
Send abstracts in Word to Melissa Serres, Melissa@smta.org.
Please include name, company, mailing address, telephone number, fax, e-mail, and presentation title.
The deadline for abstracts is Nov. 30.
Speakers will be required to submit presentation slides if selected.
SAN JOSE, CA – At the First Occam Process Developers Meeting on Oct. 17, the first three agreements for the development of the Occam process were established.
Companies committing to develop processes and work with interested OEMs to produce Occam products include microelectronics assembly company Promex Industries, PCB fabricator Micropress, and Hunter Technology Group.
Dick Otte, president of Promex stated, “We are just completing our first set of Occam process manufacturing runs … we’re excited about joining our Occam Process partners … and utilizing Occam to broaden our microelectronic assembly services.”
“We want to be the Occam Process leader in South America,” said, Gilmar Aparecido de Souza, president of Micropress, located in Sao Paulo, Brazil. “With over 2,000 customers in Brazil and throughout South America, we want to drive the Occam Process into our market … we will have our first Occam Process ‘fabsemblies’ completed within a few months.”
WELLESLY, MA – The global market for biometrics was worth nearly $2 billion in 2006 and is expected to increase to $2.7 billion in 2007 and $7.1 billion by 2012, a CAGR of 21.3% over the next five years, according to a report from BCC Research.
Fingerprint biometrics will continue to be the main revenue contributor, worth $1.3 billion in 2007. This market is forecast to grow to $2.7 billion by 2012, a CAGR of 16.3% during the period.
The main reason for this growth is the decrease in price of fingerprint sensors, and government initiatives that rely heavily on fingerprint biometrics, BCC said.
The second largest segment is face recognition. This market will grow to $1.3 billion by 2012, from $459 million in 2007, a CAGR of 23.8%. Hand biometry will be the next largest segment in 2007 with market revenue of $243 million. By 2012, the market value for this segment will be $752.6 million, the firm reported.
The remaining biometric segments of iris scan, middleware, multimodality, voice recognition, signature verification and other emerging segments constituted $729 million in 2007. These segments are estimated to grow at a CAGR of 26% to $2.3 billion by 2012.
In terms of region, Europe currently leads the biometrics market because of higher user acceptance and the introduction of biometric passports in the majority of European countries. However, the highest potential lies in the Asian region where technologically developed countries such as South Korea and Japan, and growing countries such as China and India, will drive growth, BCC concludes.
EL SEGUNDO, CA – Global shipments of mobile handsets equipped with GPS capability are expected to more than quadruple from 2006 to 2011 because of the U.S. government’s mandate for Emergency 911 capability, as well as wireless operators’ initiatives to offer location-based services, according to iSuppli Corp.
GPS-equipped mobile handset shipments will increase to 444 million units by 2011, rising from 109.6 million units in 2006. By 2011, 29.6% of all mobile phones shipped will have GPS capability, up from 11.1% in 2006, said the firm.
“Besides cameras, multimedia capabilities and connectivity solutions, mobile-handset OEMs increasingly are investigating the integration of GPS functionality in mobile devices as a value-added product differentiator,” said Tina Teng, analyst, wireless communications at iSuppli. “Wireless carriers are looking at introducing various new GPS-based, revenue-generating services to increase average revenue per user.”
Qualcomm Inc., supplier of code division multiple access solutions, began to integrate GPS processors into its digital baseband semiconductors in 2000.
The CDMA-dominated nations of the U.S. and South Korea are expected to be the leading regions for GPS-enabled mobile handsets. Europe will be the next largest GPS-enabled handset market, as GPS functionality penetrates into smart phones. In September, a Nokia smart phone with GPS capability was the top model purchased on the Web site of European carrier O2, according to iSuppli.
Semiconductor suppliers, wireless network operators and device manufacturers are already in the GPS game. LBS will encourage more suppliers to provide the most efficient solutions in terms of power consumption, time to first fix and affordable pricing for A-GPS adoption.
Semiconductor suppliers include baseband providers that offer complete solutions from cellular products to various connectivity options; companies that specialize in GPS and that provide GPS chipsets and software packages not only to handset manufacturers but also to automotive and personal navigation system manufacturers, and companies that specialize in Radio Frequency and that integrate GPS receivers into their current cellular RF receiver offerings, said iSuppli.
NEENAH, WI – Plexus Corp. announced fourth-quarter revenue was $426 million, an increase of 6.8% year-over-year.
Plexus targets revenue growth in the range of 15% to 18% in 2008.
Dean Foate, president and CEO, commented, "Our return on invested capital for fiscal 2007 of 17.6% was above our weighted average cost of capital and consistent with our long-term financial model. Despite being at the low end of our revenue guidance for Q4, we exceeded our earnings expectations, driven primarily by a favorable mix of customer programs, better than expected labor efficiencies and strong performance by our engineering services organization (Technology Group) ...
"Looking forward, we are expecting a strong start to fiscal 2008, with Q1 revenue in the range of $440 million to $460 million with single digit growth in all of our Market Sectors, with the exception of our Defense Sector, where we expect sequential revenue growth to exceed 25%. Including the production push-out from Q4 and a small follow-on order from our large defense customer, we are currently expecting approximately $54 million in revenue from this program in Q1 followed by approximately $26 million in Q2."
BOSTON – The big news from Nepcon East was what was happening away from the show floor. Most businesses, while noting a general slowing of growth this year, indicated that they were in hiring mode going into 2008.
OREM, UT – Electronics contract manufacturer Wolf Electronix has invested more that $1 million in equipment and facility improvements in Orem, UT.
Upgrades include ESD flooring, lighting, screen printers, SMT machines (inline), ovens, and automated optical inspection machines.
In addition, Wolf Electronix appointed 20-year veteran Robert Greiner as CEO. Prior to joining Wolf, Greiner was CFO of a management group in the Northwest, complementing 10 years of financial and operational management in the EMS industry.
The public is invited to an open house the first week of November; call 800-458-3179 for details.
KRAKOW, POLAND – Note has agreed to acquire half the shares of a new joint venture with Polish EMS provider Fideltronik.
Arne Forslund, Note’s CEO and president said, “Our joint venture will be based at Fideltronik’s current plant in Krakow and will have some 220 employees. The acquisition brings us access to additional cost-efficient production capacity in Poland that complements our other international facilities in the Baltic States and China.”
No other terms of the agreement were disclosed.
Press Releases
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- Absolute EMS Enters Strategic Partnership with PTEC Solutions to Enhance End-to-End Electronics Manufacturing Capabilities