Business News | Apr 05, 2011

IMS Research Says "TI to Dominate Power ICs and LED Driver ICs Market"

Texas Instruments’ acquisition of National Semiconductor for $6.5 billion will create a giant that dominates the power IC field according to the latest data* from IMS Research.The combination of these two titans will represent about 17% of the power management and driver IC market, or $2.2 billion in revenue, whilst their share of the LED IC market will stand at over 25%.

IMS Research senior power analyst Ryan Sanderson commented: “Assuming that the deal is waived through by the regulators, TI, once it completes the acquisition and integration of National, would have just over twice the market share of #2 ranked Infineon, assuming previous years’ results.” Within the power management area, TI has a strong position in areas such as switching controllers and battery management. Meanwhile, National is strong in areas such as voltage regulation ICs. As a result, the combined company will have a very strong position across a wide range of power IC products.
The merger will also consolidate the two companies’ leadership positions in some emerging areas such as LED driver ICs. IMS Research ranked TI and National #1 and #2 respectively in 2010 and the combined share of the new company is estimated at 26%. Jamie Fox, senior LED lighting analyst at IMS Research, commented: “We estimate that TI held around 19% of this market in 2010, whilst National took 7%. The new combined company will be four times bigger than its nearest competitor in this high growth market, which was worth nearly $1 billion in 2010”.
Prior to the acquisition, TI had been successful in several high volume markets such as mobile, signage and lighting. National was also strong in mobile as well as operating in other sectors such as automotive and lighting.
*Numbers drawn from two reports: The LED Driver IC market 2011 and the Power Management and Driver IC market 2011. Both will be published shortly. For additional information on this publication please visit
About IMS Research:
IMS Research is the leading independent provider of market research and consultancy to the global electronics industry. The company’s headquarters is in the UK, with offices in the US, China, Japan (2011), South Korea and Taiwan. IMS Research publishes detailed research on the Power Semiconductor and LED Driver IC markets, among many others.