SLAB Solidifies Samsung Relationship
We have written several times about fabless semiconductor maker Silicon Laboratories SLAB, most recently noting that their largest customer, Samsung, had adopted their latest wireless handset chip. Now it looks as if Samsung has been keeping an eye on many of the company’s products. According to a News Release:
Samsung Electronics, the world’s second largest monochrome laser printer manufacturer, and Silicon Laboratories, Inc. (Nasdaq:SLAB), a leader in high-performance, analog-intensive, mixed-signal ICs, announced today that Samsung selected Silicon Laboratories’ Si2435 Fax ISOmodem(R) solution for its fax products.
We aren’t sure whether this is the first time Samsung has used Silicon Laboratories chips for products other than cel phones, but either way the selection helps SLAB dig deeper into the relationship and diversify its product base, if not its customer base.
Disclosure: William Trent has a long position in SMH.
Like this article? Why not try out:
I am curious as to your thoughts on Mr Greens purchase of On Semi from TPG.
http://www.marketwatch.com/news/story/canada-investor-boards-semiconductor/story.aspx?guid=%7B58C13EC0-D442-4057-873C-A5DE3C406E2A%7D&dist=TNMostMailed
I wrote that ON was one of the few stocks priced at a level that may attract a financial buyer. The big question I have now is, with private equity actively looking for deals, why would anyone want to take the buy side of something they are selling? Going further, I would rather see horizontal than vertical consolidation in the semis, and active rather than passive investors to encourage financial discipline. So a distributor buying a big slug, from a private equity investor, on a passive basis – all of it just doesn’t do much for me.