As system solution approach is a good strategy but be sharp enough to identify the right socket, especially in industrial application, is not easy. The total available market is not as large as consumer market, the entry barrier is relatively higher, the difference in the "right" approach for different customers in the same industry can be very large.... All these makes the chip vendor difficult to cleverly specify what the market really needs and generate a rocking solution! BTW, it is necessary for analog chip vendor to think more about system approach.
It is true that analog vendors are closer to specific applications by default so they may have the system design understanding for each down cold. It takes a combo analog and digital house like ST Microelectronics to make it all happen, especially as MEMS become part of the equation. Not taking anything away from the TIs of the world but intent is one thing, execution much harder.
No doubt, we’ve seen major digital semiconductor suppliers, like Intel, providing system-levels solutions for years. But a growing number of analog companies, including Maxim and Linear Tech, have recently said that they are pursuing a systems-level strategy to serve multiple end markets with highly integrated solutions instead of standard parts.
Analog industry is facing many challenging requirements to integrate many different devices into single integrated circuit. In genermql these requirements will be unique for different applications and many times the companies has to collect such many requirements ans design an optimum solution that could be used across many applications.