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Power ICs in the Mobile Device Market (report)

Communications Industry Research
Market Study  December 2003

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CIR believes that Power Management/Power IC manufacturers face new opportunities as mobile devices such as laptop PCs, PDAs, cell phones, MP3 players, portable CD and DVD players, GPS systems, etc., continue to proliferate. Many of these devices must incorporate sophisticated power-management chips in order to maximize the time that batteries can operate between recharges, minimize charging times and improve the lifetime of the battery itself.

However, while new revenue opportunities in this sector abound, Power IC manufacturers are challenged by the burgeoning changes in mobile-device technology:

  • Increasing functionality. The incorporation of new audio, image, video, data input, and wireless capabilities in mobile equipment is leading to new demands and requirements for Power ICs to support these subsystems.
  • Faster processors. As processor speeds increase, power-management chips and subsystems must be built to cope with novel electrical environments and to adjust processor speed in line with the needs of portable applications.
  • New battery technology. Although the Lithium-ion battery will rule for some years to come, there can be little doubt that batteries based on novel electro-chemistries are already having an impact and are leading to a rethinking of power-management product designs and requirements. In particular, the gradual penetration of miniature fuel cells will radically change the issues with which mobile power management will have to deal in the future.

It is CIR's belief that the Power IC manufacturers that will be most successful in this space will be those that can see through the growing complexity of the mobile-power environment to where the most profitable segments of this business lie. This report is designed to provide a clearer vision of the opportunities in this space, based on an understanding of the new functionalities and technologies that will be contained in the next generation of mobile electronics products and what they will mean for power management. We believe that the only way to carry out this work is to get inside the mind of the customer. As a result, the analysis and forecasting in this report are both carried out from a demand-side perspective:

  • This report provides an in-depth analysis of key technology and functionality trends for all the major categories of mobile devices, along with their likely timetables and implications for the Power IC industry.
  • In order to root our analysis in a true understanding of customer requirements and market realities, we have carried out an extensive interview program with leading mobile equipment OEMs as well as with Power IC manufacturers themselves.

Power ICs in the Mobile Device Market offers a detailed five-year market forecast—in both volume and value terms—for the main power ICs used in mobile devices, as well as an analysis of the main players in this space.

This report is intended for:

Marketing
Strategic Planning
Sales
Finance
Manufacturing
Purchasing
Internal Analysts

 

at semiconductor firms offering:

• DC/DC switching regulators and other DC/DC Power ICs
• PFC pre-regulators
• PWM/PFM controllers
• AC/DC off line regulators
• Linear regulators
• Battery charging and management ICs (including smart battery systems)
• Hot swap controller ICs
• MOSFETs drivers
• Specialized Power ICs

 

We also believe that this report will prove invaluable to venture capitalists and other investors carrying out due diligence in this sector.

Key Objectives of the Report

• To show how evolution of the mobile device market, including new product types, and the introduction of better display and battery technology, is changing the requirements for Power ICs.

• To identify where the evolving customer requirements for Power ICs are creating new opportunities for semi-conductor manufacturers and how these manufacturers can create the best value propositions for their customers. What will be the most successful Power IC products and strategies in the next five years?

• To predict future price trends for Power IC products and suggest the best strategies for maintaining margins under pressure.

• To provide a detailed five-year forecast of the main Power ICs in both volume and values in all the key application areas within the mobile device segment.

• To show how the Power IC industry will change over the next five years. Will there be more consolidations? What are the prospects for the latest round of start-ups in this space? Who will be the future leaders in the Power IC business and how will they achieve and maintain their leadership position? What are the pitfalls in the strategies of current market leaders?

Top Suppliers Covered

Analog Devices
Fairchild Semiconductor
Infineon
International Rectifier
Intel
Intersil
Linear Tech
Maxim
Microchip Technology
Mitsubishi
Motorola
National Semiconductor
ON Semiconductor
Philips Semiconductor
Semtech
STMicroelectronics
Texas Instruments
Vishay Intertechnology

PROVISIONAL TABLE OF CONTENTS

Executive Summary

Chapter One: Introduction

Objective
Methodology and information sources
- Scope of report
Mobile devices covered in this report
Plan of Report

Chapter Two: Five Key Trends in Mobile Device Design that Impact Power Management

Trend One: Bigger, better and more power-hungry display technology
Trend Two: More audio, video and graphics systems
Trend Three: Wireless communications everywhere
Trend Four: Improvements and replacements for Lithium-ion batteries;The emergence of fuel cells
Trend Five: Faster processors
Other design/functionality trends in mobile devices impacting power management

Chapter Three: Impact on Power IC/Power Management Requirements

Battery management
Power conversion
Weight, size and heat dissipation
Packaging
Process technologies and substrate materials
- Fabless vs. traditional approaches
ASICs, SOCs and the need for customization
Software Issues
Impact of power-management standards

Chapter Four: The Mobile Power IC Business: Structure and Strategy

Market segmentation, structure and strategies
The trend towards consolidation
Strategies of the top suppliers (Coverage will include the following companies:)

Analog Devices
Fairchild Semiconductor
Infineon
International Rectifier
Intel
Intersil
Linear Tech
Maxim
Microchip Technology
Mitsubishi
Motorola
National Semiconductor
ON Semiconductor
Philips Semiconductor
Semtech
STMicroelectronics
Texas Instruments
Vishay Intertechnology
Others

Where are the opportunities for start-ups?
Interesting start-ups with unique value propositions

Chapter Five: Five-Year Forecasts of Power ICs for the Mobile Device Market

Functionality evolution by mobile device type
Laptop/notebook computers and related devices
PDAs
Cell phones
- Impact of next-generation cellular services
Portable consumer electronics devices
- Portable DVD and CD players
- MP3 players
- Electronics games
- Digital cameras
- GPS systems
- Other
Portable instrumentation and industrial/medical handhelds
Forecasting methodology
Forecast by application
Forecast by device type
Revenue forecast for ASICs and SOCs
Appendix B: List of acronyms used in this report





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