Strategy Analytics: Skyworks Passes RFMD in Market Share

Economic Slowdown Shifts Power Amp Market
BOSTON--(Business Wire)--
Strategy Analytics, the global technology research company, today released,
"RFMD Loses Power Amp Market Lead to Skyworks," from the Strategy Analytics RF &
Wireless Component market research service, which explores changes in the
handset and cellular device power amplifier (PA) market brought about by the
economic slowdown and contraction in cellphone shipments, and what this means PA
to suppliers in 2009 and beyond.

The rapid growth of handsets has pushed the PA market to $2 billion per year,
driving the fates of the two largest suppliers, Skyworks and RFMD, both
dependent on PAs for the majority of their revenues despite diversification
efforts. Both firms and their competitors have invested heavily in new PA
products and technologies to meet the demands of the cellphone OEMs for ever
more bands, higher data rates and lower PA prices.

Christopher Taylor, Director of the RF and Wireless Components service and
author, stated, "The transition from the frenetic demand in the first half of
2008 to a severely depressed Q4 caught many PA suppliers off guard. PAs for
mid-priced handsets took the brunt of the slump, and so suppliers with high
share in PAs for low-cost handsets and PAs for higher-end 3G handsets fared
better than suppliers with broad portfolios at all price and performance points.
Both Skyworks and RFMD ended the year with close to one-third of the market, but
Skyworks edged slightly ahead of RFMD."

"Compound semiconductor-based PAs will continue as the enabling technology for
the high-growth 3G and emerging 4G markets," observed Asif Anwar, Director of
the Strategy Analytics GaAs and High Speed Semiconductor service. "However,
silicon-based PAs have started to gain traction in low-cost 2G handsets, as
underscored by the recent acquisition of CMOS PA supplier Axiom Micro Devices by
Skyworks. This acquisition should help Skyworks to maintain share in the
recession-resistant low-cost segment of the market."

About Strategy Analytics

Strategy Analytics, Inc. provides timely and actionable market intelligence
focused on opportunities and disruptive forces in the areas of Automotive
Electronics and Entertainment, Broadband Connected Home, Mobile & Wireless
Intelligent Systems and Virtual Worlds. http://www.strategyanalytics.com/

US Contact:
Christopher Taylor, 617-614-0700
ctaylor@strategyanalytics.com
or
European Contact:
Strategy Analytics
Asif Anwar, +44(0) 1908 423 635
aanwar@strategyanalytics.com

Copyright Business Wire 2009