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Research Confirms Motorola Retains #1 Auto Semiconductor Vendor Spot

29 August 2000

Strategy Analytics Research Confirms Motorola Retains #1 Automotive Semiconductor Vendor Spot

    BOSTON, Aug. 29 A recent study by leading IT industry
analysts at Strategy Analytics, Inc. indicates that Motorola SPS retained its
leading vendor position for automotive semiconductors to the global market in
1999, despite having reduced segment sales from separating its SCG group into
'ON-Semiconductor.'
    The Strategy Analytics research concludes that of the 1999 $10.2 billion
worldwide automotive semiconductor vendor sales, Motorola SPS had a 14.6%
share, with estimated sales of $1.49 billion.  Even though Motorola SPS sold
off part of its automotive components portfolio in early 1999 with the
separation of its former SCG (Semiconductor Components Group), now operating
as ON Semiconductor, it remained significantly ahead of its nearest rival, STM
(6.7%).
    Thanks in particular to strong growth in domestic Japanese and Far East
car audio and navigation system demand (where STM has significant component
business for processor and power amp ICs), STM at 6.7% moved up into #2
position, edging out NEC (6.6%) and Toshiba (6.5%).  The top 10 vendors
accounted for 62% of the market, the other vendors being Infineon (6.0%),
Philips (5.4%), TI (4.6%), Bosch (4.3%), Hitachi (4.2%), Intel (3.2%).
    'Motorola's dominance in automotive microcontroller architecture and
semiconductor based pressure sensors (for engine management systems), plus
recent collaborations in the rapidly expanding in-car networking market,
ensured its continued leadership position', according to Chris Webber,
Director for SA's Automotive Electronics Service.  'Also, Japanese shipments
of car CD players, navigation and mini disc in 1999 more than doubled over the
previous year, boosting the shares in particular of STM and NEC'.

    Report Background:
    These conclusions are presented in the recent market report "Automotive
Semiconductor Vendor Market Shares - 1999", published as part of the Strategy
Analytics Service, 'Automotive Electronics Service'.  This service provides
leading automotive players with insights into key automotive electronic system
and component market trends.