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Microchip (MCHP) Expands Portfolio With FPGA & SOC Solutions

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Microchip Technology (MCHP - Free Report) is expanding its portfolio with the launch of PolarFire 2 FPGA and Intelligent Edge Solution Stacks for PolarFire FPGAs and System-on-Chip (SoC). These new solutions are available for domains including Smart embedded vision, Industrial edge and Edge communications.

Smart embedded vision applications include H.264 compression, HDMI, Serial digital interface and CoaXpress. Industrial edge application includes Motor control and OPC/UA. Edge communications applications include Software-defined radios, USXGMII, Small Form-factor Pluggable optical modules and 5G ORAN.

PolarFire family brings twice the power efficiency of FPGAs. Moreover, PolarFire SoC devices create new configurable processing capabilities through hardened RISC-V core complexes in a fast FPGA fabric.

Microchip Benefits From a Strong Portfolio

MCHP and GlobalFoundries (GFS - Free Report) recently announced the immediate release of production of the Silicon Storage Technology (SST) ESF3 third-generation embedded SuperFlash technology NVM solution in the GF 28SLPe foundry process.

GlobalFoundries implements SST’s widely deployed ESF3 SuperFlash technology. This delivers a number of capabilities and benefits, including the lowest cost 28-nm HKMG ESF3 solution with only 10 masks added, including true 5V IO CMOS devices.

Microchip also released its PIC18-Q20 family of microcontrollers, the industry’s first low pin count MCUs with up to two I3C peripherals and Multi-Voltage I/O. Available in 14 and 20-pin packages as small as 3 x 3 mm, the PIC18-Q20 MCUs are a compact solution for real-time control, touch sensing and connectivity applications.

Further, Microchip expanded its portfolio with the launch of the MPLAB Machine Learning (ML) Development suite. This innovative software package empowers developers to seamlessly integrate ML capabilities into MCUs and microprocessor units. Microchip’s integrated solution is designed for embedded engineers and is the first to support 32-bit MCUs and MPUs and 8 and 16-bit devices to enable efficient product development.

The company recently introduced its first automotive-qualified Ethernet PHYs. This family of 10BASE-T1S devices with AEC-Q100 Grade 1 qualification includes the LAN8670, LAN8671 and LAN8672.

However, Microchip is facing stiff competition from its Zacks Semiconductor - Analog and Mixed industry peers like onsemi (ON - Free Report) and NXP Semiconductors (NXPI - Free Report) .

onsemi is benefiting from solid momentum across automotive and industrial end-markets. Its broad-based strength across industrial, computing, consumer and automotive end-markets for both silicon carbide and insulated-gate bipolar transistor-based products remains positive.

Meanwhile, NXP Semiconductors is benefiting from a strong demand environment, as well as strong momentum across automotive, and communication infrastructure & other end-markets.

Nevertheless, Microchip is riding on consistent strength in its analog and microcontroller businesses. The company’s dominance in 8,16 and 32-bit microcontrollers is driving top-line growth. It is benefiting from an expanding portfolio.

Microchip expects net sales to be $2.22-$2.312 billion for the second quarter of fiscal 2024. Non-GAAP earnings are anticipated between $1.60 per share and $1.64 per share.

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