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STMicroelectronics reveals market, product strategy

Posted: 12 Jul 2011 ?? ?Print Version ?Bookmark and Share

Keywords:MEMS? Internet-connected TV? automotive silicon?

At an investors' and analysts' meeting called in Hong Kong by STMicroelectronics, the company's senior executives put their best foot forward to explain their view of the market and trends of strategic importance to the company.

Using iSuppli's 2010 data, Didier Lamouche, COO, said the key applications for semiconductors include data processing, wireless and consumer in that order with the highest growth expected in wireless, automotive and industrial over 2010-2014.

Strategic trends
He outlined what ST sees are three key trends across segments, and added that the company's strategy is based on these trends, and on capturing growth in historical and new applications and markets.

In this report:
???Strategic trends
???Next-gen TV
???Regional markets

Multimedia convergence, according to Lamouche, is the result of one underline trend: "Everyone wants data everywhere and in real-time. And this is driving the need for smart consumer devices."

Yet another trend that cuts across all segments is power reduction. The IT infrastructure domain is now concerned about power consumption just like portable devices have always been. "A modern data center consumes between 5MW and 20MW, which means we need one nuclear power plant for 50 data centers. The data center industry has a higher carbon footprint than the airline industry," explained Lamouche. "Moreover, mobile devices are required to push more and more data [which consumes more power].

"The third one [sensors] is changing the way all the segments of our business are interfacing with the digital IC world," added Lamouche. Francois Guibert, Executive VP & President for Greater China and South Asia, added that STMicroelectronics is the leader in MEMS for consumer electronics and mobile handsets, having generated revenue of $300 million in 2010 (from an iSuppli TAM of $1.6 billion) and shipped over 1 billion accelerometers and gyroscopes.

Key applications

Figure 1: Key applications and compound annual growth rates (CAGR). Source: iSuppli; Courtesy: STMicroelectronics

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