Atmel Corporation ( ATML - Analyst Report ) recently introduced its latest SAM4L family of devices. Atmel’s newly-introduced product will be engaged in optimizing the efficacy of its ARM Cortex-M4 processor-based microcontrollers (MCUs) through minimizing the overall power consumption process.

The company’s newest SAM4L family is claimed to be the first MCUs in the industry to offer the lowest power consumption facility along with maximum application performance. The latest MCUs are embedded with picoPower technology and provide various types of services such as SleepWalking, Peripheral Event System, unmatched wake-up times and intelligent peripherals.

The SAM4L family is particularly designed for battery-powered clients, industrial as well as portable healthcare products. Management averred that the company’s newly introduced device coupled with AVR picoPower technology would surely mitigate the increasing demand in the industry by offering lowest power consumption option.

Microcontrollers are poised to grow significantly due to their versatile application in various end markets, such as communications, industrial, automotive, computer and consumer. Atmel is in the process of transforming itself into a purely microcontroller-based company, which it believes will improve its cost structure and unlock value. In addition, the growing microcontrollers business is expected to contribute to the company's top-line growth going forward.

Even though Atmel has globally established itself in the microcontroller business, it operates in an intensely competitive market. The industry is marked by rapid technological changes, evolving standards, short product life cycles and decreasing prices as competition increases. The company’s primary competitors include big players such as Texas Instruments Inc. ( TXN - Analyst Report ) and Intel Corporation ( INTC - Analyst Report ) .

The current Zacks Consensus Estimates for Atmel are3 cents and 15 cents for third quarter of 2012 and for 2012, respectively. As the current macroeconomic conditions continue to be challenging, the company continues to have a Zacks #4 Rank, which translates into a short-term ‘Sell’ rating. Nevertheless, we maintain a Neutral recommendation on the stock for the long run.