Peregrine Semiconductor (PSMI, Financial) is taking some solid measures to cut costs and return to profitability by improving its cost structure.
The worldwide demand for LTE smartphones remains robust. Peregrine is also witnessing rising complexity of RF obligations for 4G phones with wireless operators continuously to forcing OEMs to enhance support for higher frequency bands.
OEMs are continuously demanding Peregrine parts get the challenges linked to LTE support resolved. Going forward, this trend is expected to continue for larger time with rising number of carriers targeting on launching LTE complex carrier aggregation networks and aims its entry towards greater frequency bands.
This OEM shift is believed to continue with star shipping continuing to export markets in the successive year and larger OEMs expanding sales ahead of domestic consumption. Peregrine is successfully contributing to this market by including several reference designs and with its unique cultural module partners.
Smart product development
The UltraCMOS 10 of Peregrine is currently in volume production. There’s strong customer adoption primarily due to the superior performance the product offers and hence truly solid gross margins.
Its worldwide family of one integrated RF front-end products is continuously advancing excellently. Peregrine is developing on its progress by supporting larger frequency bands and expanding the key product portfolio by leveraging its power amplifier.
Considering Peregrine’s superior performance analog business, the company sells a varied range of diverse product to more than 1,500 customers in several end markets, comprising of test and measurement, broadband and wireless infrastructure.
During the quarter, Peregrine again recorded considerable growth of its sales funnel in general; design wins for the quarter increased more than 200% compared to the second quarter of 2013. The demand for its HPA products is accelerated by the change to silicon from gallium arsenide.
The UltraCMOS technology of Peregrine is capable of meeting its customer’s performance needs with customers keen on alternatives to gas with all of the advantages of CMOS that includes enhanced reliability and quality, better cost structure and improved technology roadmap.
In the wireless infrastructure market, Peregrine is constantly benefiting from the LTE rollout not only in China but across the globe. It achieved several innovative design wins for key infrastructure equipment OEMs during the quarter.
The broadband market is viewed as an innovative focus market segment for Peregrine and it just signed a multimillion dollar lifetime revenue design agreement with a key provider of cable TV set-top boxes for supporting the launch of DOCSIS 3.1 equipment. Moreover, Peregrine’s PE42723 single pole double throw switch is solely believed to be the lone market product presently meeting the needed insertion loss and linearity requirements for DOCSIS 3.1.
Conclusion
In the test and measurement market segment, Peregrine closed key design wins for many popular OEMs. In the enterprise Wi-Fi market segment, Peregrine has one reference design sockets from many popular platform providers available in the field. This significant customer traction witnessed by Peregrine is bound to benefit the company in a longer term.
