MCHP (MICROCHIP TECHNOLOGY INCORPORATED )
Jim:
Now, we're going to talk about 'Driving Excellence,' and that's because Steve Sanghi, the CEO
and President of Microchip Technology, is joining me.
I actually read it, and I like it.
Now, let me ask you something. A lot of my buddy, friend, pals are saying that the integrated circuit market is finished; it's done. There's no more momentum. I look at what you've said as recently as April. You would certainly disagree with that, wouldn't you?
Sanghi: I absolutely would. Those people are either wrong or misinformed.
Jim: Now, let's talk about the big-screen TVs, because you've got MCHP technology in it. Some guys have been shorting Best Buy (BBY) betting that the big-screen TVs have backed up; that there's inventory. Corning (GLW) being shorted for the same reason. You look at your order book every day. Doesn't that trade seem wrong to you?
Sanghi: Well, MCHP is in thousands of applications; our business is not dependent on any single killer application.
Jim: Oh, but that sounds like you dodged the question, and that makes me upset.
Sanghi: Well, uh, Jim, I do not have particular - we do business with 50,000 customers, and no single application makes up over a very, very small percentage of our business. I wouldn't have visibility into an end-market inventory of a specific item, like the TVs.
Jim's final comments: I wanted a good answer on the TV thing - don't buy, don't buy, don't buy - didn't get it. I know, maybe I'm too granular, so I'm not doing it.
I actually read it, and I like it.
Now, let me ask you something. A lot of my buddy, friend, pals are saying that the integrated circuit market is finished; it's done. There's no more momentum. I look at what you've said as recently as April. You would certainly disagree with that, wouldn't you?
Sanghi: I absolutely would. Those people are either wrong or misinformed.
Jim: Now, let's talk about the big-screen TVs, because you've got MCHP technology in it. Some guys have been shorting Best Buy (BBY) betting that the big-screen TVs have backed up; that there's inventory. Corning (GLW) being shorted for the same reason. You look at your order book every day. Doesn't that trade seem wrong to you?
Sanghi: Well, MCHP is in thousands of applications; our business is not dependent on any single killer application.
Jim: Oh, but that sounds like you dodged the question, and that makes me upset.
Sanghi: Well, uh, Jim, I do not have particular - we do business with 50,000 customers, and no single application makes up over a very, very small percentage of our business. I wouldn't have visibility into an end-market inventory of a specific item, like the TVs.
Jim's final comments: I wanted a good answer on the TV thing - don't buy, don't buy, don't buy - didn't get it. I know, maybe I'm too granular, so I'm not doing it.
