Euro chipmaker STMicroelectronics has announced plans to reorganize its product groups in a bid to improve efficiency and strengthen customer relationships. The company, which is based in Switzerland, will streamline its operations into two product groups instead of three, effective from February 5.
The reorganization will see the establishment of two key groups – Analog, Power & Discrete, MEMS and Sensors (APMS) and Microcontrollers, Digital ICs and RF products (MDRF). Marco Cassis, ST President and member of the Executive Committee, will lead the APMS group, while Remi El-Ouazzane, also holding the title of ST President, will head the MDRF group.
The APMS group will focus on ST’s analog products, including power solutions for automotive, silicon carbide products, and MEMS (micro-electromechanical systems) and sensors. It will be divided into two reportable segments: Analog products, MEMS, and Sensors (AM&S), and Power and discrete products (P&D).
The MDRF group, on the other hand, will encompass digital chips, microcontrollers, and RF products, including those used for automotive applications and infotainment. Like the APMS group, it will consist of two reportable segments: Microcontrollers (MCU) and Digital ICs and RF Products (D&RF).
As a result of the reorganization, Marco Monti, the former president of the Automotive and Discrete Product Group, will be leaving the company. However, it is yet to be confirmed if the restructuring will result in any further employee layoffs.
The move is expected to accelerate time-to-market for STMicroelectronics, enhancing its product development efficiency and innovation. The new structure will also enable the company to strengthen its relationships with customers by establishing an application marketing organization based on end markets. The organization will cover four major markets: Automotive, Industrial Power and Energy, Industrial Automation, IoT and AI, and Personal Electronics, Communication Equipment, and Computer Peripherals.
This reorganization comes as STMicroelectronics stands out in the semiconductor industry, having exceeded analyst expectations and experienced strong demand in its Automotive and Industrial segments in the past year. The company is also set to receive substantial funding from the European Commission for a chip manufacturing plant in France.
The broader semiconductor industry is showing signs of a potential return to growth, with global sales experiencing an increase of 5.3% in November 2023 compared to the previous year. Industry experts predict double-digit growth in the global semiconductor market for 2024.
STMicroelectronics, alongside other semiconductor manufacturers like TSMC, is well-positioned to capitalize on the rising demand for chips as various industries continue to adopt advanced technologies.
The source of the article is from the blog maestropasta.cz