Renesas aims to gain market share with SoCs


Renesas aims to gain market share with SoCs

Peter Clarke

9/30/2010 9:08 AM EDT

LONDON – Japan’s Renesas Electronics Corp. has announced measures it says will strengthen the company’s system-on-chip (SoC) business and how it addresses the networking and industrial infrastructures that support cloud computing.

Emphasizing the importance of internal design and manufacturing Renesas said its main thrusts would include memory and SoCs with memory for networking, USB controllers, SoCs with Ethernet PHYs built-in and microcontrollers for smart-grid applications. The company laid out plans to gain market share in many of these areas.

Renesas said that it see its process technology circuit intellectual property design capabilities and long-term manufacturing capacity as competitive advantages.

Renesas Electronics’ first SoC business unit will concentrate its business primarily on the infrastructures that support cloud computing, whereby various service applications are provide over the internet and via numerous devices including PCs, smartphones and mobile handsets. By concentrating resources into the networking and industrial areas, Renesas Electronics aims to increase the annual sales of the SoC business by an average of approximately 5 to 7 percent per year from FY2010 to FY 2012, thereby expanding market shares in each focused area.

For example Renesas will focus on memory devices for networking equipment and SoCs for USB devices and aims to further expand its share in these markets. Renesas can supply quad data rate/double data rate SRAM, low latency dynamic random access memory and ternary content addressable memory. Renesas said it also expects to expand its SoC offering with devices that integrate memory and peripheral SoCs. Renesas Electronics aims to expand its market share of memory devices for network equipment from the current 40 percent to 60 percent in FY2012.

Renesas has released a USB 3.0-compliant host controller chip and said it plans to launch hub controllers and other USB 3.0-compliant SoCs for peripheral devices starting in 2011 and aims to increase its global market share of USB SoCs from 15 percent at present to 30 percent in FY2012.

Renesas said it plans to release Ethernet physical layers ICs (PHYs) for industrial applications that offer real-time processing and high reliability for industrial automation products and subsequently is scheduled to start sample shipments of SoCs that incorporate these PHYs in November 2010. Renesas Electronics said it expects to expand global market share of its SoCs for industrial devices from the current 25 percent to 30 percent in FY2012.

In addition Renesas Electronics addresses the smart grid market by providing SoCs with Ethernet, ZigBee and power line communication (PLC), together with MCUs with power measuring features, and aims to expand into the smart grid market.