Additionally, this conference call will be broadcast live over the Internet and can be accessed by all interested parties in the Investors section of MACOM's website at http://www.macom.com. To listen to the live call, please go to the Investors section of MACOM's website and click on the conference call link at least fifteen minutes prior to the start of the conference call. For those unable to participate during the live broadcast, a replay will be available shortly after the call and will remain available for approximately 30 days.
About MACOM
MACOM enables a better-connected and safer world by delivering breakthrough semiconductor technologies for optical, wireless and satellite networks that satisfy society’s insatiable demand for information.
Today, MACOM powers the infrastructure that millions of lives and livelihoods depend on every minute to communicate, transact business, travel, stay informed and be entertained. Our technology increases the speed and coverage of the mobile Internet and enables fiber optic networks to carry previously unimaginable volumes of traffic to businesses, homes and datacenters.
Keeping us all safe, MACOM technology enables next-generation radars for air traffic control and weather forecasting, as well as mission success on the modern networked battlefield.
MACOM is the partner of choice to the world’s leading communications infrastructure, aerospace and defense companies, helping solve their most complex challenges in areas including network capacity, signal coverage, energy efficiency and field reliability, through its best-in-class team and broad portfolio of RF, microwave, millimeterwave and lightwave semiconductor products.
MACOM is a pillar of the semiconductor industry, thriving for more than 60 years of daring to change the world for the better, through bold technological strokes that deliver true competitive advantage to customers and superior value to investors.
Headquartered in Lowell, Massachusetts, MACOM is certified to the ISO9001 international quality standard and ISO14001 environmental management standard. MACOM has design centers and sales offices throughout North America, Europe and Asia.
MACOM, M/A-COM, M/A-COM Technology Solutions, M/A-COM Tech, Partners in RF & Microwave and related logos are trademarks of MACOM. All other trademarks are the property of their respective owners. For more information about MACOM, please visit www.macom.com follow @MACOMtweets on Twitter, join MACOM on LinkedIn and Facebook or visit the MACOM YouTube Channel.
Special Note Regarding Forward-Looking Statements
This press release and our commentary in our conference call held today each contain forward-looking statements based on MACOM management's beliefs and assumptions and on information currently available to our management. Forward-looking statements include, among others, information concerning our stated business outlook and future results of operations, our expectations concerning our plans to follow through on investments in support of critical customers and program ramps, our expectations for business and market conditions, our positioning and growth aspirations in the Industrial & Defense, Data Center, Telecom, Cloud Data Center, 5G Telecom and China markets and elsewhere, the requirements, timing and success of the 5G Telecom buildout, the potential consideration, timing and benefits associated with our joint venture transaction with Goertek, the size of the 5G Telecom opportunity, our expectations for the launch and success of our Data Center solutions business model, our anticipated controlled ramp and efforts to scale our 25G lasers into high volume production, statements regarding market and geographic cycles and downturns for MACOM in terms of revenue and demand, our anticipated ability to navigate international trade tensions and geopolitical headwinds, our belief that recent macroeconomic and trade-related cross currents are short term and temporary in nature, our commitment to invest in our portfolio of disruptive technologies, our beliefs regarding our ability to meet industry demand, any expectations as to our relationships with customers and vendors, statements about the inventory levels of customers, our predictions regarding the build out of ground based radar in the United States, our belief that Global and Homeland Defense will be a growth engine, our future market share, the timing or nature of future Cloud Data Center and network upgrade cycles, our prediction that 100G has a long lifecycle, customer order activity and customer adoption of our solutions, our future investment decisions, our GaN strategy and expectations for execution on that strategy, business strategies, competitive position, industry conditions, acquisitions and market opportunities. Forward-looking statements include all statements that are not historical facts and generally may be identified by terms such as "anticipates," "believes," "could," "estimates," "expects," "intends," "may," "plans," "potential," "predicts," "projects," "seeks," "should," "will," "would" or similar expressions and the negatives of those terms.
These forward-looking statements reflect MACOM's current views about
future events and are subject to risks, uncertainties, assumptions and
changes in circumstances that may cause those events or our actual
activities or results to differ materially from those expressed in any
forward-looking statement. Although MACOM believes that the expectations
reflected in the forward-looking statements are reasonable, it cannot
and does not guarantee future events, results, actions, levels of
activity, performance or achievements. Readers are cautioned not to
place undue reliance on these forward-looking statements. A number of
important factors could cause actual results to differ materially from
those indicated by the forward-looking statements, including the
potential that we are unable to identify and timely enter into new
markets for our products, such as our publicly-announced market
opportunities in Cloud Data Centers, 100G optical networks, 10G PON, 25G
lasers, L-PICs, Active and Security Radar Antennas and our AlGaAs,
heterolithic microwave ICs (HMIC), Indium Phosphide (InP) etched facet
laser and GaN technologies, the potential that we are unable to timely
deliver the quantities of our products targeting these or other
applications at the right price point due to design challenges,
manufacturing bottlenecks, supply shortages, yield issues or otherwise,
the potential that the expected rollout of Cloud Data Center build-outs,
5G network upgrades, fiber-to-the-home network technology or other new
optical or other network technology deployments in the U.S., China,
Japan and other geographies fails to occur, occurs more slowly than we
expect or do not result in the amount or type of new business we
anticipate, lower than expected demand in the Cloud Data Center market,
the optical network infrastructure market or any or all of our primary
end markets or from any or all of our large OEM customers based on
seasonal effects, regulatory action (such as the ZTE export ban or
ongoing Huawei investigation and resulting charges or other denial
orders prohibiting sales to Chinese customers) or inaction, technology
shifts, standards changes, macro-economic weakness or otherwise, and
other events and trends on a national, regional and global scale,
including those of a political, economic, business, competitive,
intellectual property and regulatory nature, the potential for greater
than expected pricing pressure and average selling price erosion based
on attempts to win or maintain market share, competitive factors,
technology shifts or otherwise, the impact of international trade
agreements, including new or potential increases in existing trade
tariffs, on our business, our suppliers, or our customers, our potential
inability to ramp key new products into volume production with
acceptable manufacturing yields to satisfy key customer demand in a
timely fashion, the potential for inventory obsolescence and related
write-offs, a delay or failure to efficiently transition the activities
from our Ithaca facility to our headquarters, the expense, business
disruption or other impact of any current or future investigations,
administrative actions, litigation or enforcement proceedings we may be
involved in, the potential loss of access to any in-licensed
intellectual property or inability to license technology we may require
on reasonable terms, the impact of any claims of intellectual property
infringement or misappropriation, which could require us to pay
substantial damages for infringement, expend significant resources in
prosecuting or defending such matters or developing non-infringing
technology, incur material liability for royalty or license payments, or
prevent us from selling certain of our products, greater than expected
dilutive effect on earnings of our equity issuances, outstanding
indebtedness and related interest expense and other costs, our failure
to realize the expected economies of scale, lowered production cost,
increased customer penetration and other anticipated benefits of our
previously announced GaN intellectual property licensing program or
supply chain build-out initiatives, the potential for defense spending
cuts, program delays, cancellations or sequestration, failures or delays
by any customer in winning business or to make purchases from us in
support of such business, lack of adoption or delayed adoption by
customers and industries we serve of Cloud Data Centers, MACsec,
single-Lambda PAM4, MMICs, L-PICs, Active and Security Antennas, SPAR
tiles, GaN, InP lasers, AlGaAs HMIC, or other solutions offered by us,
failures or delays in porting and qualifying GaN or InP process
technology to our fabrication facilities or third party facilities and
achieving anticipated manufacturing economies of scale, lower than
expected utilization and absorption in our manufacturing facilities,
lack of success or slower than expected success in our new product
development or new product introduction efforts, loss of key personnel
to competitors or otherwise, failure of any announced transaction, such
as our joint venture transaction with Goertek, to close on the
anticipated timeframe or at all, in accordance with its terms, failure
to successfully integrate acquired companies, technologies or products
or realize synergies or other anticipated benefits associated with
acquisitions, divestitures or joint venture transactions, the potential
that we will experience difficulties in managing the personnel and
operations associated with our acquisitions, loss of business due to
competitive factors, product or technology obsolescence, customer
program shifts or otherwise, the potential for a shift in the mix of
products sold in any period toward lower-margin products or a shift in
the geographical mix of our revenues, the impact of any executed or
abandoned acquisition, divestiture, joint venture, financing or
restructuring activity, the impact of supply shortages or other
disruptions in our internal or outsourced supply chain, the impact of
changes in export, environmental or other laws applicable to us, the
relative success of our cost-savings initiatives, as well as those
factors described in "Risk Factors" in MACOM's filings with the
Securities and Exchange Commission (the “SEC”), including its Annual
Report on Form 10-K for the fiscal year ended September 28, 2018, as
filed on November 16, 2018 and its Quarterly Report on Form 10-Q for the
fiscal quarter ended December 28, 2018, as filed on February 6, 2019.
Except as required by law, MACOM undertakes no obligation to publicly
update or revise any forward-looking statement, whether as a result of
new information, future events or otherwise.
