MACOM Technology Solutions

MACOM Technology Solutions

Formerly called	Microwave Associates M/A-COM Technology Solutions[1]
Type	Public
Traded as	NASDAQ: MTSI
Industry	Technology
Founded	1950
Headquarters	Lowell, Massachusetts
Key people	John R. Croteau, (CEO, President and Director) Robert J. McMullan, (CFO)[2]
Products	Semiconductors
Revenue	US$420.6 million (2015)[3]
Operating income	US$10.9 million (2015)[3]
Net income	US$203.6 (2015)[3]
Number of employees	1,100
Website	www.macom.com

TO272S-4

MACOM Technology Solutions is a developer and producer of radio, microwave, and millimeter wave semiconductor devices and components. The company is headquartered in Lowell, Massachusetts, and in 2005 was Lowell's largest private employer.^[4] MACOM is certified to the ISO9001 international quality standard and ISO14001 environmental standard.^[5] The company has design centers and sales offices in North America, Europe, Asia and Australia.

History

Early History

MACOM was founded in the 1950s as Microwave Associates by the engineers Vessarios Chigas, Louis Roberts, Hugh Wainwright and Richard M. Walker.^[6] The company was initially a small supplier of magnetrons to the U.S. Army Signal Corps. The name was changed to M/A-COM in 1978 to reflect the company's growing involvement in the telecommunication industry. In May 1981, MACOM acquired Ohio Scientific. In the 1990s, MACOM was acquired by AMP Inc., which was in turn acquired by Tyco Electronics.^[7][8]

2000-2010

In 2001, Tyco acquired Com-Net Ericsson and placed the company under the administration of MACOM, as part of the deal, the company acquired the EDACS radio systems team and products and merged them with its own OpenSky resources. The deal also allowed MACOM to become the second largest two-way radio communications manufacturer in the United States.^[9] The combined company subsequently developed a P25 radio offering, and has grown its critical communications systems business to be a large player in the modern wireless two-way communications market. In June 2003, XMA Corporation, located in Manchester, New Hampshire, purchased from MACOM the Omni Spectra line of coaxial attenuators and terminations.

On May 13, 2008, Tyco Electronics announced that it would sell its RF Components and Subsystem Business to Cobham plc for $425 million. Tyco Electronics retained the wireless communications part of MACOM, but renamed it Tyco Electronics Wireless Systems.^[10] On September 29, 2008 Tyco Electronics and Cobham announced the completion of the sale of Tyco Electronics’ M/A-COM Radio Frequency Components and Subsystems business to Cobham plc.^[11] Tyco Electronics kept its Wireless Systems business unit, and changed its name from M/A-COM to Tyco Electronics Wireless Systems.

On March 30, 2009, the company acquired all of the outstanding stock of M/A-COM Technology Solutions Inc., the primary operating subsidiary of MACOM and the related foreign operating subsidiary, M/ACOM Technology Solutions Limited from Cobham.^[12] Cobham plc announced that it had sold M/A-COM's commercial business segment, M/A-COM Technology Solutions, to John Ocampo, the owner of GaAs Labs, on March 31, 2009.^[13] In May 2010, MACOM acquired Mimix Broadband, a fabless supplier of GaAs semiconductors.^[14]

2011-present

In May 2011, MACOM acquired Optomai Inc. a semiconductor company that developed integrated circuits and modules for 40 and 100-Gbps fiber optic networks.^[15] The company announced it had reached a deal to purchase Mindspeed Technologies, a network infrastructure semiconductor business in November 2013.^[16] In February 2014, the company announced that it had sold Mindspeed's wireless business to Intel Corporation.^[17] On February 13, 2014, the company purchased Nitronex LLC, a privately-held designer of Gallium nitride semiconductors for $26 million.^[18] That same year, MACOM also purchased the RF and microwave company IKE Micro and SiPh services company, Photonic Controls.^[19] In November 2014, MACOM reached an agreement to buy BinOptics Corporation, a provider of InP lasers that started at Cornell University, for $230 million.^[20] In November 2015, the company announced that it planned to acquire the Japanese optical subassembly supplier, FiBest Limited, before the end of the first quarter in 2016.^[21] In December 2015, MACOM acquired Aeroflex's diode business, Aeroflex Metelics from Cobham for $38 million in cash.^[22]

Operations

Technology

MACOM develops and supplies semiconductor technologies for optical, wireless and satellite networks. The company has a portfolio of analog RF, microwave, millimeterwave and photonic semiconductor products. MACOM has 16 Design and Operational centers worldwide including 11 in the United States, two in Ireland and one in Australia, Japan and Taiwan.^[23] MACOM produces an array of chip technologies, including gallium arsenide (GaAs), gallium nitride (GaN), silicon photonics (SiPh), aluminum gallium arsenide (AlGaAs), indium phosphide (InP), silicon (Si), heterolithic microwave integrated circuit (HMIC), and silicon germanium (SiGe).^[24] The company's acquisition of BinOptics in 2014, allows them to use self-aligning etched facet technology to ensure an efficient manufacturing and testing process.^[19]

Markets

MACOM creates semiconductors for a variety of industries, while the company does provide some semiconductors for consumer electronics its products are primarily used in commercial and industrial applications.^[25] In the Aerospace and defense industries MACOM supplies Northrop Grumman with technologies that are designed to be used with surveillance devices such as radar. The technology is also used by the National Oceanic and Atmospheric Administration (NOAA) and the Federal Aviation Authority.^[26]

The company's networking and communications products are included in satellite, wired and wireless networks and used by clients like Cisco. MACOM also creates high-speed optical networking components that include data center, long-haul and metro core networks.^[27]

MACOM received a Technology & Engineering Emmy Award for its development of technology that enables high density video switching and routing solutions in 2015. The technology is important in broadcast video infrastructure.^[28]

The company also provides RF power transistors to clients in a variety of industries, including the medical and automotive industries.^[29]

Litigation

On January 15, 2009, the State of New York terminated its contract with Tyco Electronics Wireless Systems (often referred to as M/A-COM) due to ongoing and unresolved deficiencies with the OpenSky system.^[30]

On February 13, 2009, Tyco Electronics filed a complaint against the New York State Office for Technology (NY-OFT), in the New York State Court of Claims, disputing the claims made by the OFT. In the complaint, Tyco Electronics disputed many of the NY-OFT’s public criticisms of both the company and the system, maintaining that SWN (which included OpenSky) ‘worked as contracted.’ The complaint also claimed the state hindered the company’s ability to build the system in a timely manner, defamed the company by stating that its technology did not work, and that the state inappropriately drew $50 million from the standby letter of credit the company established for the project.^[31]

In June 2014, a Judge ruled that Laird Technologies, Inc. was no longer allowed to supply Ford Motor Company with GPS Modules after MACOM sued for patent infringement.^[32]

In April 2016, MACOM filed a suit against the German technology company, Infineon Technologies after alleging that the Infineon was in breach of contract, covenant of good faith and fair dealing and interference with contract.^[33]

References

External links

• Official M/A-COM Technology Solutions website
• Archive of official M/A-COM site
• Cobham plc
• Official XMA Corporation website