Friday, June 17, 2016

The semiconductor industry M & A wave fundamental reason Secret

Expand market share, networking opportunities, increased research and development costs, China's ambitions for the semiconductor industry, all of which contributed to the recent mergers and acquisitions wave.
Not difficult to find, the recent surge in M ​​& A activity, including the Chinese consortium "aggressive" in the new program aims to strengthen its voice in the semiconductor industry.
Except that "fanaticism", "crazy" this word is really hard to describe 2015, the semiconductor industry's huge wave of mergers and acquisitions. In the first half of 2015 a short time, it has announced the acquisition of a semiconductor involving an amount of up to $ 72.06 billion (as shown in Figure 1), which over the past five years (2010-2014) the average deal nearly six times.

2010-2015 involving an amount of mergers and acquisitions in the first half of the semiconductor
Three acquisitions in the first half of 2015 has been the 2015 merger record history. First, NXP announced in March to $ 11.08 billion in cash and stock acquisition of Freescale; in late May, Avago announced a $ 37 billion acquisition of Broadcom; only four days later (June 1), Intel said it has reached an agreement to $ 16.7 billion cash acquisition of Altera Corporation. Avago surprisingly acquisition Broadcom IC industry and so far largest acquisition.
Throwing money to take the money
In many ways, 2015 has become a perfect storm in the joint between acquisitions, mergers, major suppliers, IC manufacturers saw sales slow down its existing market segments, need to expand their business in order to keep investors. Rising costs of product development and research of advanced technology, but also need to encourage manufacturers to make larger scale and in the next five years, a higher sales rate. Things huge market potential, but also led to a major supplier of integrated circuits readjust their strategy, and quickly fill part of their portfolio missing. China's ambitious goal, namely to reduce the imports of IC devices, and even self-sufficient, which also contributed to a number of Chinese companies and investment group acquisitions.
IC industry to mature
IC Insights analysts believe that an increasing number of mergers and acquisitions will lead to major chip manufacturers and suppliers less and less, which is a major change in the supply chain, indicating the maturity of the industry. In addition to the wave of mergers and acquisitions taking place, such as lack of start any new entry point for IC manufacturers, the strong momentum into the fab-lite business model, as well as capital expenditure as a percentage of sales ratio decline trend, are harbingers of the next five years, the semiconductor industry will remodeling.
Finding electronic components, www.lincomponents.com is a specialized web for obsolete and hard to find electronic components,most of components types found at our web, such as: mgls240128 and SB2A0, visit our website for more components which your need to buy.

No comments:

Post a Comment