This downturn in semis is different from past cycles in that each segment seems to be taking a beating at different times. This cycle is serial, not parallel, and we probably need to see all of that play out before the sector starts to recover.
5 chip companies revisited – With elevated stock prices and cheap debt the large companies have the means to further consolidate the industry. But this time even the biggest companies may be targets.
Heading into MWC, Qualcomm looks well positioned for 5G modems, but the industry is moving towards greater vertical integration, with internal chip suppliers. And as always, Apple remains an important wild card.
Yesterday, Avago announced it was going to acquire Broadcom. These are both big companies, and their combination puts them squarely into the top five of global chip companies. As I mentioned in […]