Strong Cellphone Demand Continues to Drive RF Components




Boston, MA -/November 1, 2006 - Wi-Fi Technology News/- The Strategy Analytics' RF & Wireless Component service has released "RF Component Industry Review: April - June 2006," which notes that more than half of the leading suppliers of RF components reported significant profits in Q2, about the same industry financial performance as reported in Q1.

In the second quarter of 2006, the majority of RF component suppliers reported strong profits, in many cases driven by continued demand for components for cellphones. Not coincidentally, TSMC and Qualcomm reported the highest profits.

According to Chris Taylor, Director of the RF & Wireless Component service, "While reported profits remained strong, investor confidence and stock prices weakened during the second quarter, most likely exacerbated by investigations into stock option backdating at several RF component suppliers."

"Marvell Semiconductor's proposed acquisition of Intel's products for mobile handsets also seemed to shake investor confidence," added Stephen Entwistle, VP of the Strategy Analytics Strategic Technologies Practice. "However, in spite of the weaker stock performance in the sector, venture capital firms continued to put money into RF component start-ups, especially those involved in WiMAX, mobile TV and compact antennas for mobile devices."

About Strategy Analytics
Strategy Analytics, Inc. - a global research and consulting firm - provides timely insights and strategic business solutions to companies operating at the convergence of information, communications and entertainment technologies. With worldwide headquarters in Boston, MA, and principal offices in England, France and Germany, Strategy Analytics focuses on market opportunities and challenges in the areas of Automotive Electronics & Multimedia, Digital Consumer, Wireless Strategies and Enabling Technologies. For more information, see http://www.strategyanalytics.com