TI makes good on NS buy to lead industrial sector
7/25/2012 12:30 PM EDT
MANHASSET, NY -- Market research firm IHS iSuppli, in its latest report, has confirmed Texas Instruments’ purchase of National Semiconductor has boosted TI’s market share, reinforcing its dominance in 2011, as its revenue from the industrial electronics chip space grew to $2.2 billion, up 24.9 percent from $1.8 billion a year earlier.
“TI owed its boost in revenue last year to the firm’s acquisition of National Semiconductor at the end of the third quarter in 2011, which added $446 million to TI’s bottom line for industrial electronics,” said Jacobo Carrasco-Heres, analyst for industrial electronics at IHS, in a statement. “Without the buyout, TI’s revenue growth would have been flat.”
TI’s market share last year climbed to 7.3 percent, up from 6.4 percent in 2010.
The industrial electronics segment includes manufacturing and process automation, test and measurement, medical electronics, building and home control, energy generation and distribution, and military and civil aerospace.
IHS includes as part of the industrial electronics discretes, optical, sensors and actuators, and microcontrollers, as well as analog, microcomponents, logic and memory devices.
The National Semiconductor acquisition strengthened TI’s dominance in LED driver ICs as well as bolstered offerings in general-purpose analog ICs, such as amplifiers, voltage regulators, data converters and interface.
Ten companies had combined industrial electronics semiconductor revenue of $12.9 billion, roughly 42 percent of market worth approximately $30.6 billion, according to IHS.
Infineon had industrial electronics revenue of $1.8 billion, up 24.1 percent from $1.5 billion in 2010. STMicroelectronics was in third place in 2011 with revenue of $1.7 billion, up just 4.4 percent from $1.6 billion the year earlier, to give it a 5.4 percent market share.
According to IHS, STMicroelectronics is the top supplier for the building and home control market, but fell to third in manufacturing and automation as well as in medical electronics.