The incredible shrinking OEM
Article Abstract:
The trend in the semiconductor market towards incorporating a greater number of functions directly onto the chip results in lower profit margins and diminishing business opportunity for OEMs. OEMs must develop ways to differentiate their products and services from the large semiconductor manufacturers. However, the increasing simplicity of digital technology based electronic component design provides an opportunity for enterprising OEMs to develop innovative chip sets that compete with products from large manufacturers. Analysts forecast that the standardization of many semiconductor and hardware components will compel networking companies to use software development as a key differentiating factor. The new development structure places a greater emphasis on an OEM's ability to provide semiconductor solutions quickly.
Publication Name: Electronic Business Today
Subject: Electronics and electrical industries
ISSN: 1085-8288
Year: 1997
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Chip makers eye HDTV bonanza
Article Abstract:
Semiconductor vendors stand to benefit from an Apr 1997 FCC order requiring high definition television (HDTV) broadcasting. Some broadcasters already have begun altering their signals to HDTV from analog, as the FCC has demanded full compliance by no later than 2006. The shift will create a new market for mixed-signal and other semiconductor vendors. Consumers who seek HDTV's higher picture quality must buy either a new HDTV receiver or set-top box, says Jon Henderson, chief researcher at Hitachi America's Digital Multimedia System Lab. This means digital decoding must take place on 300 million to 500 million sets, says Glenn Pohly, Hitachi's communication systems manager of system products. The semiconductor market for digital TV will total $718 million by 2002, according to market researcher Dataquest. .
Publication Name: Electronic Business Today
Subject: Electronics and electrical industries
ISSN: 1085-8288
Year: 1997
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Cisco's urge to merge
Article Abstract:
Cisco Systems has used its soaring stock prices to acquire 10 companies since Dec 1995. Over the fiscal years 1995 and 1996 Cisco quadrupled revenues to over 44.1 billion, and its stock valuation is now second only to Microsoft and Intel. Cisco's acquisitions include its $4 billion purchase of StrataCom. The aggressive buying strategy included stock offers, and has helped the company keep its new employees. Cisco has evolved into an end-to-end network systems provider, mainly through acquisitions. The company has a dedicated cadre of professionals who seek out opportunities to acquire companies and technologies, looking for both short-term benefit and long-term compatibility. A separate team is then responsible for integrating new companies into the larger corporate body.
Publication Name: Electronic Business Today
Subject: Electronics and electrical industries
ISSN: 1085-8288
Year: 1997
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Comment about this article or add new information about this topic:
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