Southern Africa
Avitronics, a joint venture owned by Grintek (51%) and SAAB of Sweden (49%), has received an order in excess of R150m, from helicopter manufacturer Agusta-Westland. The order is for the provision of the Avitronics multisensor warning system as part of a helicopter self-protection electronic warfare suite. The system warns aircrew of radar, laser and passive heat seeking missile threats. The system is fully integrated with a countermeasure dispensing system, which automatically dispenses appropriate decoys to protect the helicopter against such threats.
Spescom's telecommunications subsidiary, Spescom Telecommunications, has been awarded a two-year contract by Telkom as sole vendor for the supply of Free Space Optics (FSO) solutions. Peter Hinks, Operations Director of Spescom Telecommunications, says that LightPointe FSO products plus other applications will be deployed in the metro access area of Telkom's network. This installation will complement Telkom's existing fibre-optic network, facilitating fast and inexpensive broadband solutions to end users.
Canadian group Winters Instruments has entered into SA production through its acquisition of Rhomberg, a leading local manufacturer of industrial instrumentation and industrial automation, and Aquapay, the local prepaid water and electricity metering system manufacturer. Both companies are based in the Cape. Rhomberg, who designs, manufactures and supplies pressure and temperature measuring instruments, originated as two separate organisations; Control Instruments Gauge and Rhomberg Electronics. Currently, Rhomberg employs over 300 employees and has various locations in South Africa (Cape Town, Johannesburg and Durban) and a facility in the UK. In a related transaction, Winters Instruments has also acquired Rhomberg Electronica, located in Buenos Aires, Argentina.
Celtron International is to launch its New Generation Vehicle Tracking System using General Packet Radio Services (GPRS). GPRS enabled networks offer 'always-on', higher capacity, Internet-based content and packet-based data services. "Other than the fact that the combination of cellular GPRS and satellite GPS in our new product range now ensures that our vehicle tracking systems remain online all the time, it also gives us the flexibility to offer high speed mobile data services with theoretical maximum speeds of up to 171,2 Kbps using all eight timeslots at the same time," says Allen Harington, CEO of Celtron. "This is about three times as fast as the data transmission speeds possible over today's fixed telecommunications networks and ten times as fast as current Circuit Switched Data services on GSM cell networks." The product will be launched to coincide with the opening of the company's UK subsidiary, earmarked for later this year.
BMI-TechKnowledge's new report: The South African IT security hardware and software forecast and analysis (2001-2006); values the SA IT security hardware and software market at R291m in 2001 and expects it to grow by a CAGR of 20% to 2006. The report states that many SA vendors were not affected by the recession in the US or the events of 09/11, and indications are that any slump in sales was rather created by the dramatic drop in the R/$ exchange rate in 2001. Some findings: antivirus and firewall/VPN products still dominate the SA market, showing the deep penetration these solutions are achieving, with antivirus software making up approximately 90% of the secure content management revenue; encryption software is still very much in its infancy in SA and, worldwide, shows the lowest growth rates of all segments; intrusion detection and vulnerability assessment software are starting to gain momentum. Another local phenomenon says the report, is that IT security vendors and service providers still derive most of their revenues from products (software and hardware) rather than from services - contradictory to international markets where services contribute more than 40% of total IT security revenues according to BMI-T.
Tio-Lec became a black affirmative company in October 2001 and readers are reminded that it is now trading under the name of Lerato Electronics. Contact details are: PO Box 15149, Jatniel 1509; tel 011 963 0263; fax 011 963 0255.
Overseas
Business
Finland's Nokia Group has lowered its forecast for the second half of this year amid a slowdown in the handset and other wireless markets. Nokia's preliminary outlook for the second half of 2002 is for year-on-year sales growth of up to 10%, compared with previous expectations for at least 15% growth.
Intel expects to take a pre-tax charge of approximately $100m in the second quarter as a result of the decision to wind down its unprofitable Intel Online Services (IOS) operations.
Companies
Infineon Technologies is to acquire Ericsson Microelectronics in Sweden and related global activities for around Euro 400m. Ericsson Microelectronics, which has about 700 employees, is most known for its efforts in the Bluetooth chip arena. Under the terms, Infineon will also assume control of Ericsson Microelectronics' products, R&D, and certain manufacturing facilities. The transaction makes Infineon a strategic supplier of important components for Ericsson in the areas of wireless infrastructure and mobile phones, and significantly strengthen the company's communications business.
Agere Systems has sold its wireless local area networking (WLAN) equipment business to Proxim for $65m in cash. Under the terms, Proxim acquires Agere's 802.11-based Orinoco product line, while Agere will retain its 802.11-based chip, module, and card products.
IBM's Microelectronics Division is selling its wireless chipset business to TriQuint Semiconductor for $22m. Under the agreement, TriQuint will take over the design, development, marketing and sales of certain standard and custom IBM semiconductor products used in wireless phones and other communications applications. IBM will continue to manufacture the components for TriQuint. The IBM products being transferred to TriQuint include voltage-controlled oscillators (VCOs), receivers and wideband CDMA chipsets, all based on IBM's silicon germanium (SiGe) process technology. IBM said it is refocusing its microelectronics business on high-end foundry, ASICs and PowerPC-based standard products.
Agere, Infineon Technologies, and Motorola have joined forces to establish StarCore, a new company focused on developing and marketing digital signal processor (DSP) technologies that can be easily and cost-effectively adapted for widespread use in new communications and consumer products. StarCore will develop and license easily scalable DSP 'cores' based on the established StarCore DSP architecture. The company will be headquartered in Austin, Texas, with a subsidiary office in Tel Aviv, Israel. The new company said its central goal is to proliferate world-class DSP core technologies through open licensing.
RF Micro Devices and BrightCom Technologies have announced a collaboration to offer a complete Bluetooth solution. The solution is comprised of RFMD's RF2968 transceiver and BrightCom's IntelliBLUE chips and BrightCORE software. RFMD and BrightCom intend to offer evaluation platforms and reference designs, giving customers the ability to rapidly develop Bluetooth-enabled applications and quickly move into volume manufacturing.
Fujitsu and Toshiba have announced that they have agreed to explore a comprehensive collaboration in system-on-chip (SoC) solutions. Aiming to provide SoC solutions at 100 nanometres and finer, the companies intend to establish several joint working groups to investigate collaboration in such areas as standardisation of design and development platforms and silicon technology, co-development of processor cores and other intellectual property, as well as joint development of advanced LSIs for communications and other fields. Through these collaborations, the two companies said they aim to strengthen their semiconductor businesses and create a competitive business model that combines their complementary strengths and capabilities.
AVO International has announced it is changing its name to Megger. According to the company, the Megger name is more widely-recognised than AVO in all of the company's geographic and product markets.
Industry
The Semiconductor Industry Association (SIA) released its 2002 mid-year forecast, outlining the view that an industry-wide recovery is now under way. Semiconductor sales are expected to increase by 3,1% in 2002, with the growth rate accelerating to 23,2% in 2003 and 20,9% in 2004. This year's increases will come solely from the Asia-Pacific region, said SIA, which is expected to grow 27% over last year. Other geographic regions - the Americas, Europe and Japan - are expected to show revenue declines in 2002. Breaking down the overall revenue numbers, sales in the Americas region are expected to fall 4% to $35 bn this year; in Europe, revenues will dip 2% to $30 bn; Japan will fall the most of any region, down 14% to $28 bn this year; Asia Pacific is the only region forecasted to experience growth in 2002 with sales increasing 27% to $51 bn. Among technologies winners include DSPs (forecast to grow 9% to $5 bn this year); DRAMs (up 39% to $16 bn); Microprocessors (up 14% to $27 bn); and analog (up 3% to $24 bn). Downers include opto components (down 15% this year to $6 bn); MOS logic (down 4% to $32 bn); and microcontrollers (down 5% to $9 bn).
Despite trying times in the last 12 months for both handset component manufacturers and handset manufacturers alike, signs of returning growth are starting to appear. High-tech market researchers InStat/MDR report that with 2,5G and 3G already in operation, long-term prospects for growth look good, and new technologies appear promising. By 2006, semiconductor revenue is forecast to top $20 bn, as new subscriber growth continues and the more expensive components and features in 2,5G and 3G handsets become more pervasive. InStat says that despite the fact that the handset semiconductor industry will not be growing at a large rate in the next few years, the cellular handset industry will still be undergoing major changes which affect semiconductor content including: the introduction of colour LCDs in the US and Europe, the uptake of cameras in Asia and elsewhere, continued development of the disposable cellular handset, the appearance of more PDA style handsets, the arrival of Bluetooth, stabilisation of handset size, the slowing of battery life gains, and the pervasiveness of multimode and multiband phones.
World leaders must shape the direction of the 'Information Society', the United Nations General Assembly was told recently. "Some countries have prospered, while others have fallen behind," Yoshio Utsumi, Secretary-General of the International Telecommunication Union, told the General Assembly of the United Nations in New York. "If we do not take any action. The gap between the information 'haves' and 'have nots' will continue to grow." Information poverty is a reality for much of the world: according to ITU, 83 countries still have a teledensity below 10 lines for every 100 inhabitants; 25 countries still have a teledensity below 1%, and the situation is worse for Internet access. Some 61 countries have less than 1% Internet use. While Utsumi acknowledged that people could not live on information alone, "it is quite obvious that humanity, for better or worse, is now entering an age where information-oriented activities are a major part of GDP," he said. "It is all the more urgent to build the basic telecommunication infrastructure and to develop the capable human resources needed to make the best use of information technologies for every aspect of human activity. Information has become the key to competitive advantage for both business and modern states."
IDC has raised its worldwide PC shipment forecast from 3% to 4,7% in 2002. Now, IDC projects worldwide PC shipments to jump from 133,47 million units in 2001, to 139,71 million in 2002. In 2001, the market fell 4,1% over 2000. In 2003, the worldwide PC market is expected to hit 155,25 million in terms of unit shipments, an 11,1% growth rate over 2002, according to IDC.
Royal Philips Electronics hopes to take number one position in consumer electronics in Europe with the introduction of a new marketing strategy that has 'consumer focus' as its most important element. The new strategy is aimed at realising Philips' ambition to become the clear number one player in all its European CE markets within the next three years. This was announced by Rudy Provoost, Executive Vice President Philips Consumer Electronics, at an international press conference in Malaga, Spain.
Despite current controversy over the delivery of digital music, InStat/MDR says that online music revenues are expected to grow at a compound annual growth rate of 33,4% between 2001 and 2006 and portable digital music player unit shipments (including solid state and revolving media products) will grow from about 7,2 million in 2002 to almost 30 million in 2006.
The ITU has set a global standard for Metro 'Optical Fibre' Networks that will expand the use of Coarse Wavelength Division Multiplexing (CWDM) in metropolitan networks. This standard is necessary to meet the increasing demand of voice, data and multimedia services for low-cost short-haul optical transport solutions, and it is expected to produce savings for telecommunications operators, which it is hoped will be passed on to consumers. CWDM applications are especially good for coverage of up to 50 km.
Infineon Technologies has announced that it has shipped over seven million Bluetooth units as of June 2002. Also, Infineon has just unveiled its new Bluetooth chip, the 'BlueMoon Universal', a single chip solution, manufactured in a 0,13 micron CMOS technology, that comes in a standard leadless package smaller than 36 mm2.
Technology
A start-up company founded by Stanford and Harvard Scientists has announced what it says is breakthrough technology for devices that can see in 3D. Tyzx says the new technology enables inexpensive devices for everyday life that can 'see the world in three dimensions, interpret what is going on and respond instantly'. Tyzx technology is based on stereo vision where a pair of inexpensive CMOS imagers capture left and right views that are compared by a Tyzx ASIC chip to measure the millimetre distance to each pixel. The image information is processed at rates of up to 132 frames per second to track moving objects over a wide range of distances. Tyzx claims the computations are performed at over 50 billion calculations per second (compared to today's fastest microprocessors that perform around 2,5 bn/s) while using very little power. Taking the 3D image data, Tyzx software then interprets what it sees and responds in realtime.
E Ink revealed the world's thinnest active-matrix displays at the Society for Information Display Symposium in Boston recently. The prototypes are less than half the thickness of a credit card, giving a total display thickness of just 0,3 mm. Traditional active-matrix display panels measure 2 mm thick and often require a backlight - making for a combined thickness of 4 mm or more.
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