Ti's global factories shut down for three weeks to cope with the market downturn
at the moment of global chip surplus, Ti has become a rare thing in a radical way - Global factories shut down for three weeks. This made the agents in a hurry. According to one agent, "we are all actively preparing to stock up."
"in March, most of our chip factories will be shut down for three weeks, mainly to ensure good inventory and supply-demand balance. The sooner we take active action, the more important the date will be with the customer's order demand." On February 14, Ti replied to this newspaper, but declined to disclose the cost saved by the shutdown
according to the latest financial report for the fourth quarter of last year released by Ti, the revenue decreased to 2.49 billion US dollars from 3.56 billion US dollars in the same period of last year, and the net profit was 107million US dollars, down 85% from 756million US dollars in the same period of last year
among them, inventory is the first problem to be faced. Ron sremec, vice president of Ti in charge of investor relations, said at the analyst meeting, "the current situation is not just an inventory adjustment problem that will naturally improve after three quarters, but an economic slowdown with wide impact. Consumption has declined sharply and may continue to decline."
"due to the economic crisis and the depression of the semiconductor industry, Ti is taking this opportunity to adjust its production line and inventory." Guwenjun, an analyst at iSuppli, said
"Ti is not optimistic about the situation in the first half of the year." An insider at Ti said
"customer orders have decreased significantly in the past few months, directly affecting the company's revenue." Richardktempleton, CEO of Ti, used the 24 bit a/d conversion single chip microcomputer collection system to show that due to the impact of the global financial crisis, customers delayed placing orders
steel handle: hard wood richardktempleton pointed out that the market demand is slowing down. From the current order situation of the company, I am afraid that the protective cover of the horizontal tensile testing machine will show a downward trend in the first quarter of next year. The customer also strengthened risk control to prevent excessive inventory
Nokia, TI's largest customer, has lowered its production forecast for the global market in 2009. According to the financial report for the fourth quarter of 2008 released by Nokia, the sales volume of Nokia mobile terminals was 131.1 million, a decrease of 15% compared with the same period last year and 4% compared with the previous quarter. The decline was greater than the industry average
"since ti's product line involves many fields, such as consumer electronics, industrial applications, medical electronics, etc., once the global factory stops production, it will have a great impact." An insider said, "although the inventory in the fourth quarter of last year was very large, the consumption peak brought by December was basically digested, and there was even a partial shortage in January."
without any sign, Ti suddenly announced that it would stop production, which made customers nervous. It is reported that Ti has about 8 authorized agents in China, and many devices are exclusively supplied. Except for some large customers who can be taken care of, other small customers will be blackmailed by speculators
"we have made plans for customers' orders and expectations. According to different conditions, the shutdown period of each plant in March is up to three weeks." Ti replied that the market is changing rapidly. If the market has urgent needs, how can Ti ensure rapid response? "Ti's production process is very flexible, so we will try our best to adjust the production schedule and delivery time to support customers." Ti said
Ti declined to disclose detailed information about the current inventory of Ti and how long it can support to the maximum extent
in order to cope with such a "protracted economic weakness", Ti announced a layoff plan of 3400 people. Last October, Ti announced that it would sell its gsm/gprs/edge baseband chip division facing the commercial market, and it is expected to cut 650 jobs
regarding the impact of the global plant shutdown on employees, Ti said: "ti will provide employees who are unable to work due to the shutdown of the plant with additional paid leave to subsidize the personal financial impact during the period."