Maxim s Factory Automation Business Update Sui Shieh, General Manager, Industrial & Health Care June 1, 2018

Transcription

1 Maxim s Factory Automation Business Update Sui Shieh, General Manager, Industrial & Health Care June 1, 2018

2 Safe Harbor This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements include, without limitation, the Company s projections and statements regarding revenue, gross margin, earnings per share, capital expenditures and other financial and business metrics. These statements involve risks and uncertainties that could cause actual results to differ materially from expectations. Please refer to the Company s Annual Report on Form 10-K for the fiscal year ended June 24, 2017 for a description of some of the risk factors that could cause actual results to differ materially from such forward-looking statements. All forward-looking statements included in this presentation are made as of the date hereof and based on the information available to the Company as of the date hereof. The Company assumes no obligation to update any forward-looking statement. 2

3 Industrial Has Led Total Analog Growth Analog Industrial TAM [$B] % 5-YEAR CAGR Source: WSTS Calendar Year

4 Factory Automation is the Largest Market Within Industrial 2017 Industrial Analog TAM: $13.5B Test, Security, Video Other Factory Automation $3.6B Medical Power & Energy Building & Home Source: WSTS, IHS, Maxim 4

5 China s Industrial Upgrade is a Secular Tailwind Numerical Control Ratio, i.e. % of machine tools automated 100% 75% % Japan 25% China Source: Deutsche Bank 5 0%

6 Factory Automation is a Key Revenue Driver for Maxim Factory Automation Revenue [$M] $305 $245 $260 CY 2015 CY 2016 CY

7 Industrial Automation Markets of Interest Controllers Sensors Robots INDUSTRIAL CONTROLLERS 14M 10% Units, year CAGR FLOW PRESSURE POSITION TEMPERATURE INDUSTRIAL SENSORS 91M Units, % 5-year CAGR INDUSTRIAL ROBOTS 350K Units, % 5-year CAGR Source: Semicast, International Federation of Robotics (IFR) 7

8 Modern Factory Network MANAGEMENT LAYER SUPERVISORY LAYER CONTROL LAYER MAXIM CONTENT EDGE LAYER 8

9 Industrial Controllers Are Getting Smaller and More Complex Room Size Industrial Controllers Circa 1970 Compact PLCs Today Increasing IO Channel Density 9

10 Increasing Maxim Opportunity With Higher I/O Density INDUSTRIAL CONTROLLER INDUSTRIAL CONTROLLER Power Module & CPU 8-ch Digital Input 4-ch Digital Output 4-ch Analog Input 2-ch Analog Output 2-ch Serial 2X Inputs and Outputs Power Module & CPU 16-ch Digital Input 8-ch Digital Output 8-ch Analog Input 4-ch Analog Output 4-ch Serial 10

11 Key Maxim Technologies in Factory Automation INTERFACE Input/Output Serial Transceivers Isolation MAX14827A dual IO-Link transceiver has been adopted by Omron. The high-performing device utilizes IO-Link sensors to reduce maintenance and increase uptime. INDUSTRIAL POWER DC-DC Converters Power Modules Protection Maxim Himalaya DC-DC converters 60V input and low thermal dissipation help us consistently meet reliability and standards requirements. 11

12 Increasing Maxim Opportunity With Higher I/O Density INDUSTRIAL CONTROLLER INDUSTRIAL CONTROLLER Power Module & CPU 8-ch Digital Input 4-ch Digital Output 4-ch Analog Input 2-ch Analog Output 2-ch Serial 2X Inputs and Outputs Power Module & CPU 16-ch Digital Input 8-ch Digital Output 8-ch Analog Input 4-ch Analog Output 4-ch Serial Optocouplers Discrete Digital IOs Serial Transceivers 2X Content for Maxim + 10% Unit CAGR Growth Isolation Integrated Digital IO w/ diagnostics Serial Transceivers IO-Link, RS485 Analog Processing Analog Processing Industrial Power Industrial Power 12

13 Maxim s Technology Platform in High-Performance Power High Functional Integration Small Size High Efficiency High-Performance Power 13

14 Maxim s Technology Dramatically Reduces System Size Power solutions used In industrial systems 2.6 mm x 3 mm package Reducing size of the power subsystem through integration 14

15 Maxim s Technology Enables Cooler Operation Industrial IO Link Transceiver Example FOOTPRINT THERMAL IMAGE MAX mm 2 Maxim s Technology Delivers 80% Lower Heat Dissipation Competitor 7.5mm 2 15

16 Global Industrial Controller Suppliers Note: Logos are the property of their respective trademark owners 16

17 Industrial Sensors Are Getting Smaller and More Capable Size reduced 100X Higher Resolution Faster Response Time 1964 LVU 1991 AGS 2001 C minitwin 260mm x 175mm 105mm x 90mm 40mm x 48mm 15mm x 32mm Photos courtesy of SICK AG 17

18 Sensing Element Sensing Element New Industrial Sensors Need More Maxim Technology 1.5X Content for Maxim + 10% Unit CAGR Growth Binary Output IO-Link Analog Signal Chain Analog Signal Chain Power - LDO Power DC/DC & LDO SIMPLE SENSOR INTELLIGENT, CONNECTED SENSOR 18

19 Global Sensor Suppliers Note: Logos are the property of their respective trademark owners 19

20 Maxim s History of Leadership in Serial Interface Standards RS-232 RS-485 Profibus IO-Link MAX232 Industry s First Integrated RS232 transceiver MAX1485 Industry s Smallest, Lowest Power RS485 transceiver MAX14770E Industry's Highest ESD-Protected PROFIBUS-DP Transceiver MAX14828 Industry's Lowest- Power, Ultra-Small, Robust IO-Link Transceiver 20

21 IO-Link is Becoming the USB of Industrial Sensors IO-Link Installed Base [Mu] 15 INDUSTRIAL CONTROLLER FIELDBUS INDUSTRIAL SENSORS Source: Profibus Group 21

22 Robot Shipments Expected to Grow at 15% CAGR 15% CAGR 694 KU MAXIM TECHNOLOGY STRENGTHS High-Speed Interfaces 346 KU Industrial Power Analog Signal Chain 2017E 2018F 2019F 2020F 2021F 2022F Source: IFR, Maxim 22

23 New Design Wins in Factory Automation Cadence of new design wins in Factory Automation: 15% CAGR CY

24 Key Takeaways Industry has decades of runway in Factory Automation deployment Annual units growing at 10%+ CAGR ~15M Controllers ~100M Sensors ~350k Robots Maxim content growing at leading edge: 2X with controller complexity 1.5X with smarter, connected sensors New opportunities in industrial robots 24

25 25 Empowering Design Innovation