What is the Size and Growth of the DSP Systems Market?
According to Forward Concepts, a market research firm specializing in DSP electronics, the total world-wide market for programmable DSP microprocessors is expected to grow at a compound annual rate of 40%, from US$2.3 billion in 1995 to US$12 billion in 2001.
The DSP Systems Market which utilizes these DSP microprocessors, is comprised of several segments. The market numbers for these segments, reported by Forward Concepts, are:
Market Segment WW Size 1996 CAGR (%)
----------------------------------------------------------
General Purpose/Development Boards $206 21%
CTI Boards $425 35%
DSP Software (figures not avail) Est. 1/8 h/w mkt size ($80M)
How is "Leadership" defined?
There are many ways to define "leadership" in a given market. Some of the key factors which indicate leadership are:
Revenue (largest and growing) Profit (continuous improvement/growth) Growth (# of employees) Product Line (depth and breadth) Business Strategy (innovative and leading edge) Innovations (product and company) Customers and Partners (also leaders in their industries)
Leadership positions are often confused with "hype" or quantity of exposure, through press or advertising. Spectrum believes these to be poor definitions of leaders and relies instead on solid financial, corporate and product criteria.
Who Is the Leader?
There are no DSP Systems companies in the world, public or private, who have achieved more revenue than Spectrum in the last three years. Revenue figures can be verified by Forward Concepts, an independent market research firm.*
Results of a comparison between Spectrum and its public competitors are clear.
Revenue
Listed below are the publicly available revenue figures for public companies who offer DSP solutions (in $ thousands U.S.):
Note: Of the public companies compared, Spectrum and Ariel are the only companies who exclusively offer DSP solutions. Both Mizar and CSP Inc. offer older generation/RISC products in addition to their DSP product line. Where possible, the DSP only revenues for each company has been shown.
Name Yr.Fnd Symbol 9 ms.1996 1995 1994
--------------------------------------------------------
Ariel Corp. 1982 ADSP $8,943 $9,515 $6,865
CSP Inc. 1968 CSPI $12,150 $18,526 $19,460
Mizar(DSP Prod) 1992 MIZR $5,534 $8,174 $4,334
Mizar(Whole Co) 1982 MIZR $8,667 $14,018 $11,088
Spectrum Signal 1987 SSPIF $17,729 $19,071 $13,500
Revenue Growth Rate
The following table illustrates the revenue growth rates for each company compared with the same period the previous year:
Name Symbol 9 mos. 1996 1995
----------------------------------------------------
Ariel Corp. ADSP 33 % 39 %
CSP Inc. CSPI (11) % (5) %
Mizar(DSP Prd)MIZR 6 % 89 %
Mizar(Whl Co.)MIZR (28) % 26 %
Spectrum SSPIF 32 % 41 %
Profitability Growth Rate
The following chart shows the profitability growth or loss rates (shown in brackets) reported during these periods (dollar figures in $thousands U.S.):
Name 9 mos. 1996 % 9 mos. 96/95 % 95/94
---------------------------------------------------------
Ariel Corp. $(5,502) (136)% (130)%
CSP Inc. $(82) (113)% (78)%
Mizar (Whole Co.) $1,051 (60)% 109%
Spectrum Signal $695 184% 52%
Spectrum is the only company to show continuous profit growth for the illustrated time period (1994-96).
Breadth of Product Line
Each company produces a catalog to showcase their own products as well as products developed by their partners (often referred to as 3rd parties). The differences between the product lines are outlined below:
Company PC VME Modules Software Total
----------------------------------------------------------
Ariel 4 4 6 6 20
Mizar 0 9 1 5 15
CSPI 0 4 2 2 8
Spectrum 7 12 22 9 50
As illustrated above, Spectrum's product offering is more than double that of our closest competitor.
Most Innovative Business Strategies
Business Strategies can be measured in a number of ways. A measure that indicates which companies were first to develop innovative strategies would be a suitable starting point.
The list below summarizes Spectrum's achievements, all verifiable and significant to the company and the industry as a whole.
First Third Party Company to introduce a TI DSP board to North America (1987) First DSP Systems Company to Go Public (1989) First Company to Market DSP Boards through catalogs and field sales force (1989) Largest DSP Board Company (since 1990) First DSP Board Company to Develop Custom (ASIC) Semiconductors (1991) First DSP Board Company to Diversify into the CTI Market (1993) First DSP Board Company to Achieve ISO9000 quality rating
(1994) First Company to introduce C40-based DSP VXI product suite (1996)
Many of Spectrum's DSP competitors have lagged behind, not matching Spectrum's leadership, strategies or innovations.
Most Innovative Products
Spectrum offers a complete line of DSP hardware, software and I/O products for the DSP Systems market based on the latest DSP microprocessors, Bus interface standards, I/O standards, and Software Development environments.
Best Customers and Partners
All competitors serving the DSP Systems market have impressive customer lists. As DSP technology and implementation is initially adopted by government and market leaders, all DSP Systems companies have multiple Fortune 500 customers. By offering ISO 9001 certified products, DSP expertise tailored to their specific application requirements, and quality service and support, Spectrum can consistently exceed the expectations of our customers.
In order to balance Spectrum's leadership strategy, Spectrum chooses Partners who are also leaders in their respective technology areas. The balance of expertise allows Spectum to bring only THE BEST solutions to the DSP Systems Market.
What conclusions can be drawn?
Based on the information presented in this paper, the following conclusions can be drawn for Spectrum:
Revenue: Largest of public DSP companies and growing. Profit: Only DSP company experiencing profit growth, rather than loss. Growth: Company growth patterns are at par with our largest competitor. Product Line: Product suite double that of our closest competitor. Business Strategy: With multiple industry "firsts", leaders in technology and business innovations. Innovations: Products and Company in line with technological and business
trends. Customers and Partners: Customer and partner base are also leaders in their respective fields.
The information presented confirms, Spectrum is the leader in the DSP Systems solution market.
Can the information presented in this document be verified?
Yes. The majority of company information presented here is available in public documents, from the Internet or from the companies themselves.
* For an independent opinion, Spectrum recommends you contact well known DSP market analyst, Will Strauss, Forward Concepts.
What is the Size and Growth of the DSP Systems Market?
According to Forward Concepts, a market research firm specializing in DSP electronics, the total world-wide market for programmable DSP microprocessors is expected to grow at a compound annual rate of 40%, from US$2.3 billion in 1995 to US$12 billion in 2001.
The DSP Systems Market which utilizes these DSP microprocessors, is comprised of several segments. The market numbers for these segments, reported by Forward Concepts, are:
Market Segment WW Size 1996 CAGR (%)
----------------------------------------------------------
General Purpose/Development Boards $206 21%
CTI Boards $425 35%
DSP Software (figures not avail) Est. 1/8 h/w mkt size ($80M)
How is "Leadership" defined?
There are many ways to define "leadership" in a given market. Some of the key factors which indicate leadership are:
Revenue (largest and growing) Profit (continuous improvement/growth) Growth (# of employees) Product Line (depth and breadth) Business Strategy (innovative and leading edge) Innovations (product and company) Customers and Partners (also leaders in their industries)
Leadership positions are often confused with "hype" or quantity of exposure, through press or advertising. Spectrum believes these to be poor definitions of leaders and relies instead on solid financial, corporate and product criteria.
Who Is the Leader?
There are no DSP Systems companies in the world, public or private, who have achieved more revenue than Spectrum in the last three years. Revenue figures can be verified by Forward Concepts, an independent market research firm.*
Results of a comparison between Spectrum and its public competitors are clear.
Revenue
Listed below are the publicly available revenue figures for public companies who offer DSP solutions (in $ thousands U.S.):
Note: Of the public companies compared, Spectrum and Ariel are the only companies who exclusively offer DSP solutions. Both Mizar and CSP Inc. offer older generation/RISC products in addition to their DSP product line. Where possible, the DSP only revenues for each company has been shown.
Name Yr.Fnd Symbol 9 ms.1996 1995 1994
--------------------------------------------------------
Ariel Corp. 1982 ADSP $8,943 $9,515 $6,865
CSP Inc. 1968 CSPI $12,150 $18,526 $19,460
Mizar(DSP Prod) 1992 MIZR $5,534 $8,174 $4,334
Mizar(Whole Co) 1982 MIZR $8,667 $14,018 $11,088
Spectrum Signal 1987 SSPIF $17,729 $19,071 $13,500
Revenue Growth Rate
The following table illustrates the revenue growth rates for each company compared with the same period the previous year:
Name Symbol 9 mos. 1996 1995
----------------------------------------------------
Ariel Corp. ADSP 33 % 39 %
CSP Inc. CSPI (11) % (5) %
Mizar(DSP Prd)MIZR 6 % 89 %
Mizar(Whl Co.)MIZR (28) % 26 %
Spectrum SSPIF 32 % 41 %
Profitability Growth Rate
The following chart shows the profitability growth or loss rates (shown in brackets) reported during these periods (dollar figures in $thousands U.S.):
Name 9 mos. 1996 % 9 mos. 96/95 % 95/94
---------------------------------------------------------
Ariel Corp. $(5,502) (136)% (130)%
CSP Inc. $(82) (113)% (78)%
Mizar (Whole Co.) $1,051 (60)% 109%
Spectrum Signal $695 184% 52%
Spectrum is the only company to show continuous profit growth for the illustrated time period (1994-96).
Breadth of Product Line
Each company produces a catalog to showcase their own products as well as products developed by their partners (often referred to as 3rd parties). The differences between the product lines are outlined below:
Company PC VME Modules Software Total
----------------------------------------------------------
Ariel 4 4 6 6 20
Mizar 0 9 1 5 15
CSPI 0 4 2 2 8
Spectrum 7 12 22 9 50
As illustrated above, Spectrum's product offering is more than double that of our closest competitor.
Most Innovative Business Strategies
Business Strategies can be measured in a number of ways. A measure that indicates which companies were first to develop innovative strategies would be a suitable starting point.
The list below summarizes Spectrum's achievements, all verifiable and significant to the company and the industry as a whole.
First Third Party Company to introduce a TI DSP board to North America (1987) First DSP Systems Company to Go Public (1989) First Company to Market DSP Boards through catalogs and field sales force (1989) Largest DSP Board Company (since 1990) First DSP Board Company to Develop Custom (ASIC) Semiconductors (1991) First DSP Board Company to Diversify into the CTI Market (1993) First DSP Board Company to Achieve ISO9000 quality rating
(1994) First Company to introduce C40-based DSP VXI product suite (1996)
Many of Spectrum's DSP competitors have lagged behind, not matching Spectrum's leadership, strategies or innovations.
Most Innovative Products
Spectrum offers a complete line of DSP hardware, software and I/O products for the DSP Systems market based on the latest DSP microprocessors, Bus interface standards, I/O standards, and Software Development environments.
Best Customers and Partners
All competitors serving the DSP Systems market have impressive customer lists. As DSP technology and implementation is initially adopted by government and market leaders, all DSP Systems companies have multiple Fortune 500 customers. By offering ISO 9001 certified products, DSP expertise tailored to their specific application requirements, and quality service and support, Spectrum can consistently exceed the expectations of our customers.
In order to balance Spectrum's leadership strategy, Spectrum chooses Partners who are also leaders in their respective technology areas. The balance of expertise allows Spectum to bring only THE BEST solutions to the DSP Systems Market.
What conclusions can be drawn?
Based on the information presented in this paper, the following conclusions can be drawn for Spectrum:
Revenue: Largest of public DSP companies and growing. Profit: Only DSP company experiencing profit growth, rather than loss. Growth: Company growth patterns are at par with our largest competitor. Product Line: Product suite double that of our closest competitor. Business Strategy: With multiple industry "firsts", leaders in technology and business innovations. Innovations: Products and Company in line with technological and business
trends. Customers and Partners: Customer and partner base are also leaders in their respective fields.
The information presented confirms, Spectrum is the leader in the DSP Systems solution market.
Can the information presented in this document be verified?
Yes. The majority of company information presented here is available in public documents, from the Internet or from the companies themselves.
* For an independent opinion, Spectrum recommends you contact well known DSP market analyst, Will Strauss, Forward Concepts.
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