‘Business as Usual’ For Microchip/Microsemi Distributors

Microchip Technology Inc.’s $10.1 billion acquisition of Microsemi Corp. will not have a short-term impact on the suppliers’ distribution relationships, Microchip chairman and CEO Steve Sanghi told analysts last week. Microchip conducts business with many of Microsemi’s distributors, he added, and post-merger channel relationships will be jointly evaluated after the deal is closed. For the…

Merger Mania and the Future of the Semiconductor Landscape

If there’s an example of positive impacts of consolidation on a market, the past few years in the memory sector could well be that example. I have to admit, as a general rule, I’m leery of waves of M&A that push sectors toward oligopolies. Along this vein, I confess to having been concerned during the…

The New Era of Supply Chain Collaboration

Certainly the M&A and consolidation story has been big this year for the semiconductor and electronics industry. With this comes a number of changes and adjustments, be they partner or component line shifts, logistics, EOL, pricing and so forth. However these are not, in the least, new moments for our industry. Nestled among the strategic…

Chip M&A Underscores Significant Global Shift

There’s much to be said about the spate of consolidations this year, to be sure, as EPS’ Bolaji Ojo recently discussed; there are real industry changes afoot. Certainly, much of the transactional strategies have to do with the views into new market positions, and the opportunities to scale and refine oligopolies — among other competitive…

distributors

Chip Mergers: For Arrow, So Far, So Good

So far, Intel Corp.’s acquisition of Altera Corp. has not affected either supplier’s relationship with global distributor Arrow Electronics Inc. Although neither company was mentioned by name, Arrow CEO Mike Long told analysts on a quarterly conference call this week that consolidation in the semiconductor market — which also includes NXP/Freescale and Avago/Broadcom — has…

2 Acquisitions in 2 Years: Sager Buys Norvell

When several now-global distributors were busy gobbling up competitors in the 1990s, Sager Electronics maintained its laser-focus on its specialty products – IP&E—and its position in the Americas market. Although not historically acquisitive, Sager – with its announcement it would acquire Norvell Electronics Inc., headquartered in Carrollton, Texas, — has made its second acquisition in…

distributors

Intel/Altera Could be a Distribution Game-Changer

Altera Corp.’s acquisition by Intel Corp. looks like a sure winner in all ways but one: Altera’s distribution channel. FPGA maker Altera and its closest rival Xilinx Inc. are two of the last suppliers practicing an unofficial distribution policy called “shelf-sharing.” Under shelf-sharing, a supplier refuses to be sold by (or “share shelf” with) any…

Consolidation Rules Home Appliances Market

El Segundo, Calif. — Home appliance manufacturers are looking to increase their market share through acquisitions, new territories and new market segments to take advantage of strong growth in the market, according to a new report from IHS Technology (NYSE: IHS). Worldwide shipments of home appliances are forecast to reach 611 million units by the end of 2014,…