RF Micro Devices, a designer, developer and manufacturer of radio frequency circuits used in wireless devices, says it is starting to ship a “high volume” of two power amplifier modules to “a leading handset manufacturer.” Company officials declined to discuss terms of the deal or to name the buyer.
The company will say the deal is worth “multi-millions,” and that payment will be received during this calendar year by the original equipment manufacturer that is purchasing the product.
Credit Suisse First Boston analyst Michael Masdea says the times are getting better for wireless component suppliers, including RF Micro Devices.
“Recent data points show that March orders picked up and inventories will reach normal levels by the end of the quarter,” Masdea says. “We believe this is a positive sign that the fourth quarter 2001 inventory build overhanging first quarter 2002 has subsided, with end demand starting to pick up.”
The amplifiers RF Micro Devices is shipping are used with high-speed data connections to provide wireless users with instant messaging and gaming features, as well as an electronic phonebook and calendar scheduling.
