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Product category: Recruitment, Reports and Resources
News Release from: Strategy Analytics
Edited by the Electronicstalk Editorial Team on 01 November 2006

RF component suppliers continue to
profit

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More than half of the leading suppliers of RF components reported significant profits in Q2, about the same industry financial performance as reported in Q1.

The Strategy Analytics' RF and Wireless Component service has released its "RF component industry review: April-June 2006", which notes that more than half of the leading suppliers of RF components reported significant profits in Q2, about the same industry financial performance as reported in Q1 In the second quarter of 2006, the majority of RF component suppliers reported strong profits, in many cases driven by continued demand for components for cellphones

Not coincidentally, TSMC and Qualcomm reported the highest profits.

According to Chris Taylor, Director of the RF and Wireless Component service: "While reported profits remained strong, investor confidence and stock prices weakened during the second quarter, most likely exacerbated by investigations into stock option backdating at several RF component suppliers".

"Marvell Semiconductor's proposed acquisition of Intel's products for mobile handsets also seemed to shake investor confidence", added Stephen Entwistle, VP of the Strategy Analytics Strategic Technologies Practice.

"However, in spite of the weaker stock performance in the sector, venture capital firms continued to put money into RF component start-ups, especially those involved in WiMAX, mobile TV and compact antennas for mobile devices".

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