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Headquartered in Sunnyvale, California, Silicon Image, Inc. (NASDAQ: SIMG) is a leader in the design and implementation of high-speed digital interface technologies for consumer electronics (CE) and personal computing (PC) products. As a technology innovator, Silicon Image creates and drives industry standards for digital content delivery, including HDMI, DVI, and SATA, leveraging its partnerships with global leaders in the CE and PC industries to meet the growing worldwide demand for transmission and storage of high-definition (HD) content. The company designs and markets semiconductors that implement these technologies, exploiting significant growth opportunities related to the migration from analog to digital systems. Silicon Image also licenses its intellectual property (IP) to other manufacturers.
Building on our past success, new initiatives to expand and diversify Silicon Image's market opportunities include two distinct programs targeting different aspects of the mobile markets - our MHL and SPMT programs and our work with a program we call the Personal Entertainment Network or PEN -- a networked, room-to-room, secure, simple, and robust interconnect technology.
With approximately 635 employees and revenues of $321 million in 2007, Silicon Image is a market leader in HD interconnectivity solutions. The company's three principal product lines - Vastlane™ (HDMI and DVI), PinnaClear™ (HDTV solutions), and SteelVine™ (storage) - are manufactured, assembled, and tested under contract by third parties, and sold through distributors and direct-sale channels to manufacturers and resellers worldwide. For more information about our past successes and our ongoing development activities, please see the FAQ section of this site.
Leadership through innovation… Silicon Image promotes and administers the highly successful HDMI standard through a wholly-owned subsidiary, HDMI Licensing LLC. To further foster the growth of the standard, Silicon Image also provides testing and consulting services through Simplay Labs, LLC, also a wholly-owned subsidiary. Simplay Labs operates HDMI Authorized Testing Centers (ATCs) on three continents and has tested over 200 products from a number of major CE and PC leading manufacturers. The Simplay HD designation is only awarded to products that have passed a rigorous series of advanced performance tests, including "plug testing" for reliable interoperability between devices.
In late 2007, Silicon Image announced the Mobile High Definition Link™ or MHL, a new audio/video interface that connects portable consumer electronics devices such as mobile phones, digital cameras, camcorders and portable media players to HDTVs using a single cable via the standard HDMI input port.
In early 2008 Silicon Image joined forces with ARM, Hynix Semiconductor, Inc., LG Electronics, Samsung Electronics, Sony Ericsson Mobile Communications AB and STMicroelectronics to create a working group to advance a new memory interface architecture, Serial Port Memory Technology or SPMT, initially targeted for Dynamic Random Access Memory (DRAM) chips, that employs a serial interface architecture rather than a parallel interface architecture as commonly found in current memory offerings. This new architecture will enable greater bandwidth flexibility, significantly reduced pin count, lower power demand and savings on overall system cost.
In addition to these programs, Silicon Image is also furthering its development efforts on what we call the Personal Entertainment Network or PEN. The Personal Entertainment Network essentially creates a way for consumers to share high-quality digital content across their digital TVs and source devices such as set-top boxes, DVD players and cell phones. Over the past 5 years, we have been incubating a new protocol and security architecture that can be implemented in a low-cost semiconductor solution, which will give consumers a plug and play experience while accessing entertainment content on any device, in any location. This solution will also run over standard 802.11 wireless connections.
The company's overall strategic direction is based around several key objectives:
Promote and advance open standards, such as HDMI, and innovate ahead of the competition. In less than six years, Silicon Image and the other founding members of the HDMI standard have introduced six revisions of the standard - the most significant being 1.3 in June 2006. Over 800 manufacturers around the world have now adopted HDMI into a growing list of CE and PC products (including set-top boxes, DVD players/recorders, DTVs, game consoles, HD and Blu-ray Disc camcorders, and digital still cameras), and analysts predict 229 million HDMI-enabled devices will be shipped in 2008, up from 144 million devices in 2007. As the only merchant chip supplier in the HDMI founders group, Silicon Image has been a pioneer, offering customers a time-to-market advantage with industry-first HDMI 1.3 products that support advanced features such as Deep Color, automatic lip-synch correction, and "one touch" universal remote control functionality.
Our MHL, SPMT and PEN initiatives each represent an opportunity to innovate and lead industry changes through potentially new standards.
Develop and lead new markets. New markets which Silicon Image has entered for HDMI include game consoles, digital still cameras and HD and Blu-ray Disc camcorders. We are also targeting new emerging potential markets, such as portable media players, handheld game devices, and smart phones. Our 2008 product offerings have been tailored specifically to address mobile functionality through our MHL and SPMT initiatives. Selling into these markets could over time significantly increase our market opportunities.
Become the market leader for DTV solutions through PinnaClear. Silicon Image's product road map includes plans to expand its HDMI leadership in the rapidly growing DTV market by introducing new, advanced functionalities on discrete and input processors that offer customers best-in-class performance, full HDMI feature sets, robust interoperability capabilities and bill-of-material cost savings.
Bring a CE-centric storage solution to the mass market through SteelVine. The increasingly widespread consumer investment in downloadable media such as music, TV episodes, and movies, together with priceless personal photos, is creating a growing need for simple, robust home storage solutions. SteelVine products offer a strong value proposition in this emerging market: reliable, scalable, protected storage systems that are designed for ease-of-use.
Develop and lead a next-generation networked market that goes beyond today's point-to-point connectivity solutions. The market shift to electronic media downloads has been accompanied by a profusion of new devices, and redefined roles for some of the old ones. When PCs, TVs, and handheld devices are all capable of displaying much of the same content, it is expected that there will be growing demand for new tools to easily transfer and share this content between these devices around the house, without sacrificing copyright protection or storage reliability. Our PEN solution is being developed to facilitate this new media environment: a networked, room-to-room, secure, simple, and robust interconnect technology.
Please note that above, or other material accessible on this web site, is not a solicitation to buy or sell securities in Silicon Image, Inc. The above makes forward-looking statements within the meaning of federal securities regulations. These forward-looking statements include statements related to development of future revisions of the HDMI standard, development of new standards such as MHL, SPMT and PEN, anticipated benefits of these various standards, and revenue growth opportunities for SIMG. These forward-looking statements involve risks and uncertainties, including those described from time to time in Silicon Image's filings with the Securities and Exchange Commission (SEC) that could cause the actual results to differ materially from those anticipated.