2013

BUSINESS AND TECHNOLOGY REPORT

Week 1

Prepared by Ferhat nlkal 6/1/2013

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BUSINESS AND TECHNOLOGY REPORT

Week 1
Headlines Consumer Electronics (CE) LG Electronics has officially launched its 55-inch OLED TV. LG debuted its new line of NFC enabled Smart TVs. Sony has announced that it will stop producing its PS 2 consoles in Japan. Sony is set to unveil its own multichannel TV service. Sharp Corp. is considering making a public share offering worth more than $1.15-billion U.S. Westinghouse Digital announced a new line of LED TVs for the coming year devices that are Roku Ready for streaming-happy consumers. Flingo will be integrated into Haier Smart TVs. The LCD TV forecast for 2012 was reduced slightly to 205 million, slightly lower than in 2011. The total digital living room market is expected to cross $200 billion by 2018.

ICT Samsung is expected to widen its lead over Apple Inc in global smartphone sales. Samsung indicated that it plans to bring smartphones with its Tizen operating system to market by the end of the year.

Apple has partnered with chip manufacturer Broadcom to create 802.11ac chips. Apple is now reportedly considering a buyout of social navigation startup Waze. Mac mini could be the first Mac to be produced in the US. Apple is planning to unveil new MacBook Air and MacBook Pro models in June 2013. Apple Inc has started testing a new iPhone and the next version of its iOS software. Cisco and NXP announced that they have each made an investment in Cohda Wireless to advance intelligent transportation systems or ITS and carto-X communications. Nokia Siemens has decided to merge its Middle East and Africa (MEA) business. Trimble has announced that it has acquired privately-held ALK Technologies Inc. Foxconn will establish factories in the Indonesia in 2013. The long courtship between the Wi-Fi Alliance and the Wireless Gigabit Alliance is set to end in marriage. Global smartphone shipments will jump 27% to 875 million this year. M2M market is expected to grow from US$21.52 billion in 2011 to $85.96 billion in 2017. China has launched commercial and public services across the Asia-Pacific region on its domestic satellite navigation network. China-based telecom providers are reportedly planning to release a number of handsets that have tablet features ranging from 4.5- to 6-inch in size during 2013.

Panel Industry Sharp is reportedly witnessing a shortage of its in-house produced 5inch Full HD handset panels.

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AUO will reportedly drop its monthly production of 32-inch TV panels from 800,000 units to 600,000. Amazon has reportedly asked Taiwanbased panel maker AU Optronics (AUO) to enter its supply chain to provide panels. Innolux Corporation's LCD TV panel shipments in 2013 are expected to drop by 7-9% on year to 43.7 million units. BOE recently signed an investment agreement with the Chongqing Municipal Government to jointly invest US$5.26 billion in constructing a new 8.5G line. Corning plans to introduce two new products at CES 2013: Gorilla Glass 3. China has punished six companies and ordered them to pay a total of $56 million in fines.

QNX Software Systems has announced an automotive-grade middleware solution.

Service Industry The worldwide market for softwaredefined networking products and services in the enterprise and cloud service provider segments will grow from $360 million in 2013 to $3.7 billion by 2016.

Retail and Payment Industry NCR has agreed to partner with leading technology security provider McAfee to offer security solutions for retailers. Micros has announced the launch of the Micros Payment Gateway (MPG) along with an agreement. Total global smart card market will be worth $6.6 billion by 2015. Global Chipless RFID market to grow at a CAGR of 27.1 percent over the period 2011-2015.

Semiconductor Industry Intel is jumping from microprocessors to cable TV and set top boxes. NXP unveiled an industry standard Near Field Communication (NFC) controller. TI announced the full availability of a new ZigBee BoosterPack. GreenPeak Technologies's new GP410 chip features ZigBee PRO Green Power for low cost energy harvesting and ultra-long battery life ZigBee applications for the Smart Home. Global semiconductor revenues worldwide experienced less than one per cent growth in 2012 amounting to $304 billion.

Software Industry Microsoft's Windows sales dropped 11% on a year over year. Microsoft has beat both Apple and Google in acquiring a startup named R2 Studios which primarily works in home automation and entertainment. Google announced that it has some new Google TV partners and that new devices and more updates. Facebook reportedly plans to outsource new storage product orders.

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Consumer Electronics (CE) LG 55 OLED TV LG Electronics has officially launched its 55-inch OLED TV priced at around US$10,300. The company is currently taking orders for the TV in South Korea and has plans to announce launch dates in other markets throughout January 2013.

Sonys stock performance Online TV Services Sony is set to unveil its own multichannel TV service at next week's Consumer Electronics Show, in a bid to compete with Microsoft and Samsung in the streaming video business. Sources have told Variety that Sony is working on its own online TV service that we might see go live later this year. This comes after news that Intel will be launching a set-top box that is part DVR, part content delivery system. Not a lot of information is available, but what has been revealed is a plan to likely undercut traditional cable and satellite providers while giving consumers a broadbanddelivered television experience.

LGs stock performance NFC enabled Smart TV LG debuted its new line of NFC enabled Smart TVs which will make their first public appearance at CES 2013 in Las Vegas. Sharp

Sony Stop producing PS2 in Japan Electronics giant Sony has announced that it will stop producing its PlayStation 2 consoles in Japan.

Public Share Embattled Japanese electronics firm Sharp Corp. is considering making a public share offering worth more than 100-billion ($1.15-billion U.S.) early this year, a report said.

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Sharps stock performance Westinghouse Roku Ready devices Westinghouse Digital announced a new line of LED TVs for the coming year devices that are Roku Ready for streaming-happy consumers. The LED TVs will be introduced at 2013s Consumer Electronics Show in Las Vegas, which kicks off on January 8.

Haiers stock performance CE Market LCD TV The LCD TV forecast for 2012 was reduced slightly to 205 million, slightly lower than in 2011. In addition, plasma TV shipments are projected to fall 24% Y/Y to 13 million. Looking forward, the market is expected to be flat in 2013 on persistent economic uncertainty before entering a period of gradual growth as conditions improve and as price declines in the TV market accelerate.

Haier Smart TV cooperation with Flingo Flingo (www.flingo.tv), the world's largest publisher of Smart TV apps, announced that Samba, its new interactive TV platform, will be integrated into Haier Smart TVs to instantly synchronize any second screen -- tablet, phone or PC -- with live TV shows. Samba, which also launched today, automatically recommends related online videos or similar TV programs, and generates real-time information and social media discussions about the TV program currently playing. It also delivers additional capabilities such as checkins, tweets, polls, quizzes, cast and crew information, and special offers directly on the TV itself.

Digital Living Room The total digital living room market is expected to cross $200 billion by 2018 with a single digit growth rate. Currently, the market value is approximately $180 billion.

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ICT Samsung Smartphone Samsung Electronics Co Ltd is expected to widen its lead over Apple Inc in global smartphone sales this year with 35% growth, helped by a broad product lineup, market researcher Strategy Analytics told Reuters.

802.11ac chips for its 2013 PC range. Although a wireless networking standard still officially in the development stage, 802.11ac can provide throughput rates of up to 1 gigabit per second -- as good as or better than a wired Ethernet connection -- and is expected to become the standard wi-fi protocol by 2015. While it is already being tested in smartphones, tablets and internet routers, along with PC manufacturer Asus, Apple would be one of the first to bring the technology to its notebooks and desktops.

Samsungs stock performance Tizen OS in Smartphone Samsung indicated that it plans to bring smartphones with its Tizen operating system to market by the end of the year. The company said the devices would be competitive, but didn't provide any details about the hardware or which carriers around the world might sell them. Tizen is a version of Linux that's being developed by Samsung and Intel, with support from Huawei, Sprint, LiMo, and The Linux Foundation. Tizen has been in development since 2011 and reached 1.0 status in May 2012.

Apples stock performance Interesting in acquisition of Waze Less than a month after rumors of a potential TomTom acquisition swirled, Apple (AAPL) is now reportedly considering a buyout of social navigation startup Waze in an effort to improve its much-maligned Maps application.

Mac Mini production in US Reports are claiming that the Mac mini could be the first Mac to be produced in the US. DigiTimes claims that Apple will put Foxconn in-charge of the new automated production lines in the country.

Apple Implementing new wireless solution with Broadcom Apple has partnered with chip manufacturer Broadcom to create

New Macbook Air and Pro Models Apple is planning to unveil new MacBook Air and MacBook Pro models in June 2013, according to Digitimes.

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Patent Claims against Samsung Apple Inc has agreed to withdraw patent claims against a new Samsung phone with a high-end display after Samsung said it was not offering to sell the product in the crucial US market.

East and Africa (MEA) business into one single entity and has combined the new division with the Asia operations. According to the company, the operational rejig will allow NSN to better serve its large customers.

iOS 7 Apple Inc has started testing a new iPhone and the next version of its iOS software, news website The Next Web reported.

Trimble Acquisition of ALK Trimble has announced that it has acquired privately-held ALK Technologies Inc. of Princeton, New Jersey. ALK Technologies specializes in routing, mapping, mileage and navigation technologies. ALK Technologies offers proprietary routing and international map-based solutions for transportation, logistics and mobile workforces.

Cisco Cooperation with NXP for ITS Cisco Systems Inc. ( CSCO ) and NXP Semiconductors N.V. ( NXPI ) announced that they have each made an investment in Cohda Wireless to advance intelligent transportation systems or ITS and car-to-X communications. Cohda Wireless is a specialist in wireless communication for automotive safety applications.

Trimbles stock performance Foxconn Investment in Indonesia Ciscos stock performance Commenting on the recent news from Indonesia that Foxconn Electronics (Hon Hai Precision Industry) will establish factories in the country in 2013, Foxconn, although declining to confirm nor deny the reports, pointed out that it maintains a good communication with Indonesia and is currently focusing mainly on technology transfer and commerce development in the country.

Nokia Siemens Merging the operations a 50-50 joint venture betweenNokia Corporation (NOK) and Siemens AG (SI) has decided to merge its Middle

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million in 2012, the research firm said. Apple's smartphone sales are projected to reach 180 million this year, up 33% from last year, slightly trailing Samsung's 35% increase. This will give Samsung a 33% share of the 2013 smartphone market, up from last year's estimated 31%, while Apple will hold 21%, versus last year's 20%.

Foxconns stock performance Wi-Fi Alliance Fast Wireless LAN with Wireless Gigagit Alliance The long courtship between the Wi-Fi Alliance and the Wireless Gigabit Alliance, which promotes a fast wireless LAN technology that runs on very high frequencies, is set to end in marriage just a little too late for the International CES trade show next week. Under a memorandum of understanding reached just last week, the WiGig Alliance is to be folded into the Wi-Fi group, which will take over all WiGig development and promotion activities. The organizations expect the deal to become final by the end of this quarter, said Kelly Davis-Felner, marketing and program management director at the Wi-Fi Alliance.

M2M M2M market is expected to grow from US$21.52 billion in 2011 to $85.96 billion in 2017, according to data from Markets and Markets.

China Navigation Network China has launched commercial and public services across the Asia-Pacific region on its domestic satellite navigation network built to rival the US global positioning system.

Smartphone in China promoted by operators China-based telecom providers are reportedly planning to release a number of handsets that have tablet features ranging from 4.5- to 6-inch in size during 2013 in order to meet expected demand in China, according to China-based panel sources.

ICT Market Smartphone Shipments Global smartphone shipments will jump 27% to 875 million this year, slowing from last year's torrid 41% pace as growth is easing in many key markets such as North America, China, the developed economies of Asia, and Western Europe, Mawston said. South Korea's Samsung Electronics is forecast to sell 290 million smartphones this year, up from a projected 215

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Flat Panel Industry Sharp Shortage of 5 Full HD Panels Sharp is reportedly witnessing a shortage of its in-house produced 5inch Full HD handset panels due to explosive sales of its Aquos Phone SH930W in Taiwan, according to industry sources.

Innolux Focused on New Inches Market observers said Innolux Corporation's LCD TV panel shipments in 2013 are expected to drop by 7-9% on year to 43.7 million units due to the company focusing less on 32-inch panels and more on 39-, 50- and 58inch ones.

AUO Focused on Ultra HD 39 AU Optronics (AUO) will reportedly drop its monthly production of 32-inch TV panels from 800,000 units to 600,000 throughout the first quarter of 2013 and will focus more on producing 39-inch and Ultra HD (3840 by 2160) TV panels, according to industry sources. BOE Investment of 8.5G line China-based panel maker BOE recently signed an investment agreement with the Chongqing Municipal Government to jointly invest CNY$32.8 billion (US$5.26 billion) in constructing a new 8.5G line within the western China municipality. The line is expected to begin construction no later than the third quarter of 2013 and is likely to be completed by the second quarter of 2015.

Innoluxs stock performance

AUOs stock performance Tablet Panels for Amazon Amazon has reportedly asked Taiwanbased panel maker AU Optronics (AUO) to enter its supply chain to provide panels for its upcoming tablet products in 2013, according to industry sources.

Corning Gorilla Class 3 Corning plans to introduce two new products at CES 2013: Gorilla Glass 3, a new glass composition with durability enhancements; and optical cables by Corning, fiber-based, device-to-device } 9

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connectivity solutions that significantly extend the data transmission range past the limits of copper-based cables. Full product details will be included in announcements planned for Monday, January 7.

Semiconductor Industry Intel Virtual Cable TV service Intel is jumping from microprocessors to cable TV and set top boxes, and it will do so by launching its virtual cable TV service in a city-by-city effort to avoid licensing hurdles. According to reports, Intel is choosing a city-by-city approach in order to allow for more flexibility in negotiating content provider rates while more easily navigating city and state licensing issues.

Cornings stock performance

Flat Panel Market Manipulating LCD panel prices China has punished six companies, including Samsung and LG, for manipulating LCD panel prices in the country, and ordered them to pay a total of $56 million in fines. NXP NFC NXP, a provider in semiconductor services, unveiled an industry standard Near Field Communication (NFC) controller, delivering a fully compliant platform for handset manufacturers and operators to introduce next generation NFC devices and services.

Intels stock performance

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integrated system-on-chip solution for power harvesting end nodes for light switches, smart home devices, or for applications designed to run on a single battery for many years.

Semiconductor Market NXPs stock performance Global Semiconductor Revenues According to International Data Corp. (IDC), global semiconductor revenues worldwide experienced less than one per cent growth in 2012 amounting to $304 billion. However, the market research firm added that semiconductor revenues will improve by 4.9 per cent to $319 billion in 2013 and log a CAGR of 4.1 per cent from 2011-2016, reaching $368 billion in 2016.

TI Zigbee Texas Instruments Incorporated (TI) (Nasdaq: TXN), leading the industry with the most complete wireless connectivity portfolio for embedded applications, announced the full availability of a new ZigBee BoosterPack based on TI's CC2530 ZigBee system-on-chip (SoC) that enables developers to jumpstart their designs.

TIs stock performance GreenPeak Zigbee GreenPeak Technologies's new GP410 chip features ZigBee PRO Green Power for low cost energy harvesting and ultra-long battery life ZigBee applications for the Smart Home. The new IEEE 802.15.4 controller is a fully } 11

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Software Industry Microsoft Sales Drop Microsoft's Windows sales dropped 11% on a year over year basis during the holiday season in the U.S., according to new data from NPD.

week. Asus, Hisense, TCL and others will show products with Google TV launching in the coming weeks, Google say.

Googles stock performance Facebook Microsofts stock performance Outsourcing new storage products Acquisition of R2 Studios for home automation Microsoft has beat both Apple and Google in acquiring a startup named R2 Studios, which primarily works in home automation and entertainment. R2 holds a number of patents that have to do with using various mobile devices to control home entertainment software and hardware, and Microsoft is reportedly sending the company to work with its Xbox division. R2 was founded by Blake Krikorian, who also founded the company behind the Slingbox, a set-top device that allows users to stream video across the cloud. Facebook reportedly plans to outsource new storage product orders to Taiwanbased ODMs with both Quanta Computer and Wistron having a chance to land the orders, according to sources from the upstream supply chain.

Facebooks stock performance

Google Google TV Google announced that it has some new Google TV partners and that new devices and more updates from existing partners will be revealed at CES next QNX Automotive-grade Middleware QNX Software Systems has announced an automotive-grade middleware solution that it says will allow

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infotainment designers to integrate consumer devices such as iPods into vehicles while ensuring a simplified and seamless end-user experience. The product, called the QNX Aviage multimedia suite, provides a complete set of functions to identify, connect, organize, play, and record from multiple media sources.

Payment&Retail Industry NCR POS Security with McAfee NCR Corporation (NCR), the automated teller machine and point of sale (POS) solutions manufacturer, has agreed to partner with leading technology security provider McAfee to offer security solutions for retailers. NCRs security offering, NCR System Integrity for Retail, takes care of the entire operation of a retailer, i.e., from pointof-sale to back-office operations. NCR System Integrity will block unapproved POS software or systems thus reducing the number of malicious viruses or malware that could attack the payment system.

Service Industry Service Market Software defined networking The worldwide market for softwaredefined networking products and services in the enterprise and cloud service provider segments will grow from $360 million in 2013 to $3.7 billion by 2016, according to IDC. This represents a compound annual growth rate of 117.42% and includes network infrastructure, SDN applications and control plane solutions, and related professional services.

NCRs stock performance Micros Payment Gateway Micros Systems, a provider of IT solutions for the hospitality and retail industries, has announced the launch of the Micros Payment Gateway (MPG) along with an agreement with Equitable Computer Services (ECS)as its local partner in the Philippines.

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has also been witnessing the increasing investment in R&D. However, the low effectiveness of chipless RFID in supply chain management could pose a challenge to the growth of this market

References Tweets Micross stock performance Retail&Payment Market Global Smart Card Market Research firm MarketsandMarkets predicts that the total global smart card market will be worth $6.6 billion by 2015, with the telecommunication sector accounting for for almost 53.8 percent of revenues. MarketsandMarkets says smart cards will hit a CAGR of 7.3 percent from 2009 to 2014. Smart card shipments reached 5.2 billion in 2009, with growth driven by mobile penetration, acceptance by various governments and increased security and reliability. has effected the growth of smart card shipments, reaching 5.2 billion in 2009. Growth in the coming years will be supported largely by near-field communication (NFC) and machine-to-machine (M2M) communication, growing government ID projects across the globe and EMV compliance. Projected smart card shipment volume by end 2015 is 8.8 billion units. Please follow my twitter accounts (ferhatunlukal) if you want to reach the details of the news in the report.

RFID Market TechNavio's analysts forecast the Global Chipless RFID market to grow at a CAGR of 27.1 percent over the period 2011-2015. One of the key factors contributing to this market growth is the increasing demand for low-cost RFID. The Global Chipless RFID market

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