Infineon Technologies a Leading Supplier in the Access Semiconductor Market

Transcription

1 Infineon Technologies a Leading Supplier in the Access Semiconductor Market March 19, 2004 Vice President and General Manager Business Unit Carrier Access slide - 1 -

2 Disclaimer Please note that while you are reviewing this information, this presentation was created as of the date listed, and reflected management views as of that date. This presentation contains certain forward-looking statements that are subject to known and unknown risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements. Such risks and uncertainties include, but are not limited to the Risk Factors noted in the Company's Earnings Releases and the Company's filings with the Securities and Exchange Commission slide - 2 -

3 Communications Group DWDM/SDH/SONET WAN / Backbone MAN / Metro OPTICAL NETWORKING SAN / LAN Ethernet Fiber Access Fiber Channel ATM/SDH/SONET/GB-Ethernet FIBER OPTICS slide ACCESS T/E, SHDSL ADSL, VDSL Copper Access

4 Agenda Market Definition Market Size Infineon Position Major Market Trends Infineon Strategy and Roadmap slide - 4 -

5 Agenda Market Definition Market Size Infineon Position Major Market Trends Infineon Strategy and Roadmap slide - 5 -

6 The Access Semiconductor Market: Applications Copper Twisted Pair digital Downlink Uplink analog slide DSL Modem DSL Home Gateways / Router IP Phone PBX Phone Analog Modem Cable Modem DSLAM Digital Loop Carrier MDU Switch Head End Central Office Switch PBX

7 The Access Semiconductor Market: Segmentation Analog Modem Cable Modem CODEC / SLIC ISDN DSL VoIP T/E slide - 7 -

8 Agenda Market Definition Market Size Infineon Position Major Market Trends Infineon Strategy and Roadmap slide - 8 -

9 Access Market Development CAGR: ~5-8% Mio EURO * 2002* 2003** 2004** slide Sources: * isuppli, June 2003; ** Infineon Market Model - Forecast

10 IFX Access Market Position Marketshare 16% 14% 12% 10% 8%! In 2002, IFX became ww #1 in the access semiconductor market - for the first time within 15 years 6% 4% 2% 0% ! In 2003, IFX's Access business was growing by more than 30% slide Position Source: isuppli, June 2003 IFX Forecast

11 Access' Worldwide R&D Network total force : > 500 engineers Munich Germany Düsseldorf Germany Bangalore India San Jose USA Singapore Netanya Israel slide Villach Austria

12 Access Can Rely on In-house Production ALTIS Semiconductors Essonnes* CMOS, edram, JV with IBM Richmond Semiconductors Richmond DRAM, edram DRAM, edram, Flash, 300 mm CMOS Dresden Outsourcing to major Taiwan based Foundaries 8" power process Mch B Mch P* Regensburg* Villach* Mask House Mixed Signal, RF Mixed Signal, CMOS Power semiconductors slide * main sites IFX sites used by Access

13 Agenda Market Definition Market Size Infineon Position Major Market Trends Infineon Strategy and Roadmap slide

14 DSL is Becoming Standard For Every Home and Will Deploy With > 50' Lines p.a ' DSL ww phone lines ww DSL subsc. 2010! The number of access lines is increasing p.a. by + 50' lines! DSL is ramping up fast, 25' of the 60' line have been installed in the last year! DSL is deployed in more than 40 countries! There is still only a 5% penetration rate DSL growth will further heat up since DSL offers a true user benefit slide times higher speed

15 Video-on-Demand is Finally Getting Reality T-Online Vision on TV Set-Top-Box for video-on-demand, , electronic program guide (EPG) Push/Pull Videos for EUR 3-4 / 24h Copy protection via WMV9 Select from blockbusters or more than 4000 video library slide Coming in March 2004 for T-DSL customers (T-DSL is a trademark of Deutsche Telekom.) With Fujitsu-Siemens Activity Media Center GHz processor, 160 GByte HDD, DVD player / recorder, surround sound, - Plug-ins for: satellite or cable TV and pay-tv decoder - Connection to DSL modem / router: Ethernet

16 In the Second Half of the Decade Voice Infrastructure Will Be Replaced In Large Scale Today's approach: overlay Installation Rate phone line Voice Line Card Class 5 Switch voice network year Replacement ADSL Line Card DSLAM data network slide phone line full compatible service including life line Tomorrow's solution: voice & data integration (IVD) Voice & ADSL Line Card voice enabled DSLAM data network! lower system cost! lower installation cost! lower maintenance cost

17 VoIP Is On the Move From a Technology to a High Volume Application Ethernet LAN connection to Ethernet Switch PBX is obsolete, cost reduction in infrastructure DSL Modem DSL Connection ATA New carriers can offer phone service based on DSL access slide

18 DSL is Extended by Wireless Home Networks Which Can Distribute Multimedia Services smart camera (MPEG-4/7) Timeshift Video, Picture-in-Picture Camera WLAN! Multimedia Data, > 100 Mbits/s! Control / Request of Data slide Broadband subscriber access Home Gateway Media- & Camera- Server

19 Agenda Market Definition Market Size Infineon Position Major Market Trends Infineon Strategy and Roadmap slide

20 The General Strategy - Standard Telecom Phase 1! early time to market! complete system solution to control the BOM Phase 2! aggressively grab market share Phase 3! design to cost re-engineering slide NT Repeater Class 5 central Office PC Card ISDN Phone PBX Phone AB-adapter : T1/E1-single channel T1/E1-multi channel LIU : Low end China Line Card CPE, PBX Class 5 central Office : Standard Telecom Segment Position! ISDN Nr. 1! T1/E1 Nr. 1! CODEC/SLIC Nr. 2

21 Analog Line Interface: VINETIC Enabling the Migration to VoIP and Broad Band Solutions Analog Line Card:! 7th generation of CODEC/SLIC! more than 300 mio channels shipped in more than 120 countries; very broad portfolio and integration level Options : VoIP : all VoIP DSP functions: echo canceling, voice compression, packet generation, jitter buffer CODEC Standard VoIP SLIC Standard analog LC VoIP LC slide IVD : broadband SLIC, operates splitterless with GEMINAX chip set Broadband DSLAM+ TDM DSLAM+VoIP

22 The Infineon DSL & VoIP Program slide

23 Success Factors - Central Side Success factor slide Complete Portfolio Early Innovation, Standard Compliance, Time to Market Cost Position, Density, Power Dissipation, BOM Interoperability

24 DSLAM - Port Folio Requirements Data rate [Mbit/s] 60 VDSL 20 2 ADSL2+ SHDSL 1 km 2 km 3 km 4 km 5 km Line Length 5 km subscriber Line Driver DSL ATM / Ethernet Processor Ethernet Switch SLIC CODEC slide optional

25 The ADSL Roadmap ADSL : GEMINAX chip set, optimized! for high density DSLAM! high density Voice Data Integration (IVD) for DLCs and voice enabled DSLAMS GEMINAX-LD LD GEMINAX-A0 D/A A/D GEMINAX-D DSP slide GEMINAX-S SLIC CODEC CODEC CODEC CODEC VINETIC - VIP IVD Control BUS DSP First IVD solution, fully integrated splitter and VoIP option

26 Interoperability Activities Interoperability Lab! Significant investment in interop lab! Over 180 different modems! Partnership and cooperation with key customers, telcos and modem manufacturers for interoperability! State of the art interop and testing equipment including latest ADSL2+ line testers and prototype modems! Temperature chamber for temperature testing Interoperability is a major asset of a DSL chipset slide

27 VDSL VDSL! Fully standard compliant ITU approved! Highly cost optimized QAM implementation for Ethernet-based MDU market! Large deployment in Asia > 3 mio ports shipped! VDSL2 roadmap, ADSL2+ backwards compatible slide

28 Success Factors : CPE Side Success factor Complete Portfolio Customer Access -Taiwan Cost Position, BOM Time-to-Market, Interoperability slide

29 Customer Premisses Equipment: Portfolio Requirements DSL Modem DSL Connection Analog Telephone Adaptor WLAN RF WLAN Network Processor Small Ethernet Switch DSL DSL Modem Gateway Access Point Router in IFX portfolio LAN available not available VOICE VoIP Network Processor ATA VoIP Router slide

30 ADMtek ASIC! 10/100/1000M DSP PHY! SoC Integration! WLAN a/b/g MAC, BBP! Switch Engine! MPEG2/4, MP3 Multimedia! Decoder 10/100/1000M NIC Core Technology Software Software! SoC Platform! Wireless Applications! VPN! IPv4/v6 Routing! NAT 10/100/1000M Switch Engine a/b/g MAC, BBP Home Gateway (SoC) slide /100/1000M DSP PHY

31 ADMtek Perfect fit! Together complete portfolio for all CPE applications! No overlap RF WLAN Network Processor DSL DSL WLAN Small Ethernet Switch LAN VOICE VoIP Network Processor slide

32 ADMtek Company Profile! Founded : May, 1997! Headquarters : Taiwan! Major Shareholders: Accton! Employee : > slide Besides portfolio completion we gain:! Strong team in the "center" of the broadband CPE market! Cost optimized solutions! Strong relationship with Accton

33 Cost Optimized CPE Solutions Continuous BoM improvement is key to market success! Access to all IP blocks allows further integration roadmap Single chip Gateway! Intensive cost-optimized chip design! In-house production slide

34 Time-to-Market, Interoperability ADSL ADSL Vendor 1 Vendor 2 Early availability of an IFX ADSL2+ modem chipset + significant deployment of IFX based ADSL2+ DSLAMs Vendor 3 ADSL2+ capable DSLAMs slide will support fast market entry of IFX-based broadband gateway solutions.

35 IP_Phone Single Chip IP_Phone! Outstanding audio quality! Based on 15 years experience in PBX phone market! Major design wins slide Ethernet INCA_IP ramping up! Full duplex speaker phone! MIPS CPU! 3-port Ethernet switch! Integrated Ethernet PHY

36 To create Semiconductor Solutions, enabling the Technology Lifestyle of the Individual in the 21st Century slide