News
PALO ALTO, CA – HP announced net revenue of $25.5 billion for its second fiscal quarter ended Apr. 30, representing 13% growth year-over-year.
For the quarter, year-over-year, revenue in the Americas grew 11% to $10.7 billion; revenue in Europe, the Middle East and Africa grew 14% to $10.3 billion, and revenue in Asia Pacific grew 16% to $4.5 billion.
OTTAWA – Under a recent license agreement, Ottawa-based PELA Technologies Inc. will supply DEK VectorGuard stencils throughout Canada. Financial and other terms were not disclosed.
EL SEGUNDO – Communications infrastructure equipment OEMs are engaging in a spate of mergers and acquisitions to become one-stop shops that can sell everything needed for telcos to compete in IPTV, according to iSuppli Corp.
At stake is a market for IPTV equipment that is expected to grow to $22.1 billion in 2011, up from $9 billion in 2007, the company says.
Leading the OEM M&A frenzy is Ericsson – with its purchase of Marconi in 2005, Redback Networks Inc. and Entrisphere Inc. in 2006, and its current pursuit of Tandberg TV. The company is positioning itself to be a complete IPTV supplier, iSuppli says.
Also, Motorola Inc. has purchased Netopia Inc., Tut Systems Inc. and Vertasent LCC—a developer of Video-on-Demand and IPTV software—and has forged a strategic alliance with ECI Telecom Ltd. Cisco Systems Inc. has followed the same path with its purchase of Scientific- Atlanta, Linksys and Arroyo Video Solutions, a maker of video-networking software, continues the research firm.
Meanwhile, Nortel Networks Ltd. entered into an agreement to jointly develop middleware for the IPTV market with pay-TV software specialist NDS Ltd. During the same period, the merger that resulted in Alcatel-Lucent is a leader in the IPTV equipment space. Finally, Siemens and Nokia merged, creating another potentially powerful competitor, according to iSuppli.
iSuppli expects the M&A activity to sustain its fast pace in 2007. The focus of M&A activity in 2007 will be on middleware, VOD and possibly video encoding, the company predicts.
SHENZHEN – SMTA China is requesting technical papers for SMTA China South, which will be held Aug. 27-31 in conjunction with Nepcon South China.
Abstracts, author biographies and PowerPoints must be submitted in both English and Chinese, and all presentations must be made in Chinese.
Topics of interest include 01005 assembly, 3-D SiP, PoP, Pb-free reliability, component supply integrity, legal responsibility of non-RoHS parts/products entering europe, materials and process characterization, and flex circuit assembly.
Email abstracts to Peggy Chen, peggy@smta.org. Please include name, job title, company affiliation and all pertinent contact information.
The deadline for abstracts is May 30.
EL SEGUNDO, CA – Global semiconductor revenue will rise to $281.4 billion in 2007, up 8.1% from $260.2 billion in 2006, according to iSuppli. Earlier, iSuppli predicted 10.6% growth for the year.
The growth rate of the global semiconductor industry is slowing because of weaker mobile phone growth, excess chip inventories and lower DRAM prices, says the research firm. The decline in outlook is a result of less demand and lower prices for memory chips.
The growth rate of the global semiconductor industry is slowing because of weaker mobile phone growth, excess chip inventories and lower DRAM prices, says the research firm. The decline in outlook is a result of less demand and lower prices for memory chips.
Excess semiconductor inventories in the global electronics supply chain remained at $2.8 billion at the end of the first quarter.
Growth in the mobile-phone segment will slow dramatically in 2007 compared to 2006, which will impact chip sales, continues iSuppli. Revenue in the wireless communications equipment sector will rise to $202.3 billion in 2007, up 4.3% from $193.9 billion in 2006. This compares to 8.2% growth in 2006.
The biggest factor behind iSuppli's forecast revision is a reduction in expected DRAM revenue. The DRAM market hit a peak in 2006, with revenue rising by 35.2% to $33.9 billion. This strong increase will be followed by a major slowdown in growth, with revenue rising only 8.6% to reach $36.9 billion in 2007, predicts iSuppli. The company’s previous prediction was 13% growth in DRAM revenue this year.
The primary cause of the reduction is a plunge in DRAM average selling prices as available supplies increase. Memory suppliers are shifting capacity to DRAM and away from less-profitable NAND-type flash in 2007.
iSuppli also marginally reduced its outlook for global electronic equipment revenue in 2007. Global electronic equipment shipment revenue will rise to $1.49 trillion in 2007, up 6.3% from $1.4 trillion in 2006. This compares to iSuppli's previous forecast of 6.8% growth.
SCOTTSDALE, AZ – Asia will dominate the EMS/ODM markets for the next several years, reports In-Stat. China, with low-cost advantage and high demand, will account for nearly 76% of the Asian EMS/ODM market in 2011, the high-tech market research firm adds.
In-Stat says the Asia contract electronics manufacturing market will grow to $281.8 billion in 2011, from $121.5 billion in 2006. Asia will capture 55.1% of the global EMS market in 2011, up from 45% in 2006.
Consumer electronics will experience the fastest growth rates, followed by the communications segment.
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