Strategy Analytics, the research and consulting company, released “RF Industry Review October – December 2006,” which notes that leading suppliers of RF components continued to report significant profits in Q4 on strong wireless handset and wireless system demand.
In the fourth quarter of 2006, the majority of RF component suppliers reported strong profits, but profits dropped slightly from the previous quarter, signaling possible weakness in early 2007.
According to Chris Taylor, director of the RF and wireless component service, “A seasonal decline in handset shipments after the holidays could mean flat sales and lower profits for top RF and wireless component suppliers such as Texas Instruments, Qualcomm and Infineon in early 2007.”
Stephen Entwistle, VP of the Strategy Analytics Strategic Technologies Practice, added, “The long-term outlook for the RF sector remains positive. For example, VC funding of RF component start-ups exceeded $280 M in the quarter, the highest level of the past few years.”