Apple alone accounted for half of STMicroelectronics’ MEMS revenue in 2011, reports IHS

Apr 6, 2012 21:21 GMT  ·  By

A new analysis by IHS iSuppli’s Jérémie Bouchaud reveals that STMicroelectronics cemented its leadership position in the global market for microelectromechanical systems (MEMS) last year mainly thanks to the booming sales to Apple.

Exclusive design wins in the iPhone, iPad and iPod lines have allowed French-Italian based STMicroelectronics to maintain its status as the top MEMS supplier with a 30 percent share of the overall consumer market - up from 22 percent in 2010.

Last year, the company reportedly garnered an 81 percent increase in consumer and mobile MEMS revenue. It reached a high point of $638.7 million in revenue, up from $353.3 million the year before.

According to the IHS iSuppli MEMS & Sensors Service at information and analytics provider IHS, “this represented the highest level of growth among the top 10 suppliers of consumer and mobile MEMS, allowing STMicroelectronics to increase its market share and leadership margin over No. 2 ranked Knowles Electronics.”

IHS outlines that STMicroelectronics has been the top supplier of accelerometers - with the accelerometer’s function serving as a motion sensor in various applications - since 2009. The company is currently the sole provider of accelerometers and gyroscopes for Apple’s iPhones, iPads and iPods.

IHS estimates say that half of STMicroelectronics’ MEMS revenue in 2011 is attributed to its business with the Cupertino, California-based computer giant.

Jérémie Bouchaud, director and senior principal analyst for MEMS & sensors at IHS, said, “STMicroelectronics owes its success to early bets that have paid off.”

“As the first company to fully believe in the consumer MEMS business—even before the iPhone and Nintendo Wii game console arrived—STMicroelectronics had no difficulties ramping up and producing MEMS in mass volume when the market exploded starting in 2007,” said Bouchaud.

“STMicroelectronics then invested heavily in the development of 3-axis gyroscopes, and these parts eventually found their way into the iPhone 4 and into the Move controller for the PlayStation game console from Sony Corp.”