Linear Technology Corporation designs, manufactures and markets a broad line of
standard high performance linear integrated circuits. Applications for the Company's
products include telecommunications, cellular telephones, networking products,
notebook computers, computer peripherals, video/multimedia, industrial instrumentation,
security monitoring devices, high-end consumer products such as digital cameras
and MP3 players, complex medical devices, automotive electronics, factory automation,
process control, and military and space systems. The Company was organized and
incorporated in 1981. The Company competes primarily on the basis of performance,
functional value, quality, reliability and service.
Semiconductor components are the electronic building blocks used in electronic
systems and equipment. These components are classified as either discrete devices
(such as individual transistors) or integrated circuits (in which a number of
transistors and other elements are combined to form a more complicated electronic
circuit). Integrated circuits ("ICs") may be divided into two general
categories, digital and linear (or analog). Digital circuits, such as memory
devices and microprocessors, generally process on-off electrical signals, represented
by binary digits, "1" and "0." In contrast, linear circuits
monitor, condition, amplify or transform continuous analog signals associated
with physical properties, such as temperature, pressure, weight, light, sound
or speed, and play an important role in bridging between real world phenomena
and a variety of electronic systems. Linear circuits also provide voltage regulation
and power control to electronic systems, especially in hand-held battery powered
systems.
Linear circuits are used in various applications including telecommunications,
cellular telephones, networking products such as power over Ethernet switches,
notebook computers, computer peripherals, video/multimedia, industrial instrumentation,
security monitoring devices, high-end consumer products such as digital cameras
and MP3 players, complex medical devices, automotive electronics, factory automation,
process control, and military and space systems. The Company focuses its product
development and marketing efforts on high performance applications where the
Company believes it can position itself competitively with respect to product
performance and functional value.
The Company's sales organization is divided into domestic and international
regions. The Company's sales offices located in the United States are in the
following metropolitan areas: Seattle, Baltimore, Denver, Philadelphia, Raleigh,
Chicago, Dallas, Austin, Houston, San Jose, Los Angeles, Irvine, San Diego,
Huntsville, Minneapolis, Cleveland and Portland.
Internationally, the Company has sales offices in: London, Stockholm, Helsinki,
Dusseldorf, Munich, Stuttgart, Paris, Lyon, Milan, Tokyo, Nagoya, Osaka, Taipei,
Singapore, Seoul, Hong Kong, Bejing, Shanghai and Shenzhen. The Company's products
typically require a sophisticated technical sales effort.
Competition. Linear Technology competes in the high performance segment of the
linear market. The Company's competitors include among others, Analog Devices,
Inc., Maxim Integrated Products, Inc., National Semiconductor Corporation and Texas Instruments, Inc. Competition among manufacturers of linear integrated
circuits is intense, and certain of the Company's competitors may have significantly
greater financial, technical, manufacturing and marketing resources than the
Company. The principal elements of competition include product performance,
functional value, quality and reliability, technical service and support, price,
diversity of product line and delivery capabilities.
The Company believes it competes favorably with respect to these factors, although
it may be at a disadvantage in comparison to larger companies with broader product
lines and greater technical service and support capabilities.