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Atmel, Nvidia design kit enables next-gen mobile devices

Posted: 16 Feb 2011 ?? ?Print Version ?Bookmark and Share

Keywords:Tegra 2 ARM-based processor? mXT1386 touchscreen chipset? Android-based mobile Internet devices? tablet market?

To meet demand for its touch-screen chips, MCUs and other products, Atmel has expanded its foundry capacity at Taiwan Semiconductor Manufacturing Co. Ltd and United Microelectronics Corp. "Added capacity (at TSMC and UMC), which will support revenue in excess of $600 million (per) quarter before the end of the year, should help draw-down lead-times even further, primarily at the distributor level," he said.

"Stepping back, Atmel has done a tremendous job of winning MCU and touch-screen controller market share, with the firm likely to enjoy fundamental strength for some time to come," said FBR's Berger.

"Essentially, we think Atmel can penetrate a meaningful share of the non-Apple smartphone and non-Apple tablet/e-book reader market. We also assume that a high proportion of smartphones and even feature phone units will have touch screens, enabling Atmel to more fully participate in these markets," he said.

"Assuming a 27 percent incremental operating margin on its maXTouch chips (which could be a generous assumption in our view), we estimate that Atmel will see revenues of $306 million in 2011, $390 million in 2012 and $433 million in 2013" in touchscreen chips, he added.

- Mark LaPedus
??EE Times

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