NXP Consolidates No. 1 Position in Worldwide ID Market

NXP has extended its lead in the global Identification market, after eight quarters of consecutive growth in total sales across all market segments using Identification technologies. In 2010, NXP’s Identification business unit posted global revenues of $589 million across its three product lines Secure Transactions, Secure Identity, and Tagging & Authentication, attaining the No.1 position in the worldwide ID market. In the first half of 2011, NXP reported revenues of $383 million in Identification, firmly establishing its No. 1 position with recently announced Q2 revenues of $194 million.

“ABI Research believes NXP is uniquely positioned and differentiated from its peers in that the company supports the full range of RFID frequencies from LF to HF to UHF,” said Mike Liard, research director for RFID at ABI Research. “Primary applications supported by NXP’s transponder ICs are broad and far-reaching, including automobile immobilisers, security/access control, contactless payment, ticketing, NFC, government ID, asset management, item-level tracking, authentication and many others.”

“NXP is the volume leader in many of these application areas, particularly within HF-based markets,” added John Devlin, ABI Research’s practice director for Auto ID and Smart Cards. “In fact, given its recent results and growth in 2010, NXP can claim to be the No. 1 Identification semiconductor company, including both its RFID and secure IC product groups.”

In addition to an overall No. 1 position, NXP has achieved market-leading positions in the following sectors where it has invested in advanced technology platforms, building on its strength in cards and readers to develop end-to-end solutions based on an in-depth understanding of each application area. NXP ranks:

No. 1 in eGovernment. 77 out of 91 countries, or 85% of worldwide electronic passport projects, have put their trust in NXP’s secure microcontrollers such as the SmartMX™.

No. 1 in transport and access management. Over 1.2 billion people worldwide have access to NXP’s MIFARE™ technology, which has more than 70 percent market share in the automatic fare collection (AFC) industry.

No. 1 in RFID tags and labels. With market share of more than 50 percent in RFID, NXP covers the entire tagging market, excelling in fashion and retail apparel, electronics, fast-moving consumer goods (FMCG), media management, and animal identification. NXP recently received the 2011 Frost & Sullivan Customer Value Enhancement Award recognizing its Tagging & Authentication RFID business for its unique multi-application approach, as well as its broad portfolio of technologies including LF, HF and UHF.

No. 1 in infrastructure. With over 70 percent market share in infrastructure, NXP delivers full system solutions for customers’ contact and contactless readers throughout a very wide range of applications including POS terminals, access gates and doors, set-top-boxes, laptops, accessories and more.

No. 1 in NFC and mobile transactions. As co-inventor of near-field communication (NFC) technology, NXP has led development and standard-setting in NFC since 2002, and is able to provide customers with a complete solution including RF, secure elements, and the associated software. NXP provides the complete, embedded secure NFC solution for Google Wallet, and NXP’s mobile transactions technology has been adopted by world-leading handset manufacturers such as Samsung, Nokia, LG, ZTE, Sony Ericsson, Huawei and many others.

No. 2 in banking. According to ABI Research`s payment cards report as of July 2011, NXP saw the greatest increase in shipments in 2010. After winning important dual interface tenders in 2010 and thanks to its focus on contactless technology ABI Research expects NXP to gain even more market share in the near future.

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