Mixed-Signal Analog

C.S. LeeSenior Vice President

High Volume Analog and Logic

Analog MarketTotal Analog TAM

$23.9 Billion

Vertical Applications

$14.8B

Vertical Applications

$14.8B

Standard$9.1B

Standard$9.1B

Mixed-Signal Markets

Source:WSTS 2002

Mixed-Signal Market Characteristics

2002 growth 2x total analogHigh volume, end-equipment focusRequirement for integration of analog + digital plays to TI strengthsSignificant investment to enter

Communications$4.9

Communications$4.9

Computing$2.7B

Computing$2.7B

Auto$2.9BAuto$2.9B

Consumer$3.3B

Consumer$3.3B

Other$1B

Other$1B

Mixed-Signal Important to TI Analog

High PerformanceHigh Performance

Mixed SignalMixed Signal

2002 TI Analog Revenue$3B

PrinterHDDConnectivityAutomotiveDisplayWirelessBroadbandOther

Who Are The Mixed-Signal Analog Players?

Change (%) Mixed-Signal2001 Rank 2002 Rank Company 2001 Revenue 2002 Revenue 2001-2002 Focus

1 1 STMicroelectronics 3212 3360 4.6 Auto, Comm, Consumer

2 2 TI 2950 3100 5.1 Auto, Comm, Consumer

5 3 Infineon Technologies 1547 1791 15.8 Auto & Communications

3 4 Philips Semiconductor 1572 1438 -8.5 Consumer

4 5 Analog Devices 1556 1274 -18.1

6 6 National Semiconductor 1192 1244 4.4 Communications

7 7 Maxim 1089 917 -15.8

9 8 Sanyo 850 889 4.6

8 9 Motorola 888 873 -1.7 Automotive

10 10 Toshiba 809 839 3.7

Source: Gartner Dataquest (March 2003)

To win, must have:Both digital and analogScale to support the investmentInternal wafer processing capabilityLong-term technology roadmap

TI Mixed-Signal Analog in Hard-Disk Drive

TI is servo leader, followed by STM. TI unit shipments grew 22% compared to 5% combined competitors’ growth.

Pre-ampPre-amp

ServoServo

TI is pre-amp leader, followed by Agere. TI unit shipments grew 44% compared to flat combined competitors.

Will continue to produce cost and performance advantages ahead of drive manufacturers’ needs.

Strong investment commitment, with technology leadership, backed by world-class manufacturing.

TI Mixed-Signal Analog in Printers

Revenue up 59% in 2002 -- printer consumables and share gains

Continue progress in all three areas: motor control, printhead driver and cartridge heater chip

TI Mixed-Signal Analog in Automotive Systems

Semiconductor content continues to increase in cars

Safety ManagementInflatable RestraintsOccupant Detection / PositioningIntelligent Restraint ActivationTire Pressure Measurement

TI is well positioned in all integrated solutions requiring highvoltage, high current, high intelligence

Design-ins ramping to production, TI revenue grew 42% in 2002Expanding customer base to Japan, Korea and China

Engine Management Knock SensorFuel injector/ignitionMAMsAdvanced Alternator System42 Volt DMC Solutions

High End BodyDashboardHVACInstrument PanelPower Window Lifter

Chassis ControlABS / Traction ControlVehicle StabilityCollision AvoidanceElectrical BrakingActive Suspension

Computer

Peripherals

Consumer

TI Mixed-Signal Analogin Connectivity

TI leads in PCI and 1394 -- 20M notebook PCI and 30M 1394 connections

First to market with 800 Mbps 1394b and bus-powered USB 2.0

Investing in PCI Express and Ultra-Wide-Band to expand leadership

Mixed-Signal Analog in Display

World leader in active matrix mobile display drivers with 20% share

Preeminent position in plasma display drivers

Leader in LCD gate drivers with 20% share

Mixed-Signal PowerIC Characteristics

Precision Analog High-PerformanceInput Signals Digital Processing Outputs

Temperature Hardwired DSP 60V

Position ARM7 MCU 10A

Speed MSP430 RF

Pressure Digital Gates

Sound

Light

TAM increasing due to miniaturization, cost, and electronics replacing mechanical

TI advantaged by unique semiconductor processes

Design, manufacturing, quality, reliability are critical

1994 1996 1998 2000 2002 2004

High-voltagePower + SOI

PowerTechnology

AnalogCMOS

1850A03520V

LBC745/60/90V

Density

0.18µm 1.8/3.3V CMOS+ Power LDMOS + Non-Volatile Memory

0.13µm 1.5/1.8/3.3V CMOS + Non-Volatile Memory

307A1220/30V

3370A0720/30V

3370A07S20/30V

LBC620V

LBC545/60V

LBC5’45/60/95V

LBC820/30V

Power

0.45µm 5/8V CMOS

0.35µm 3.3/5V CMOS+ Power LDMOS + Non-Volatile Memory

1.0µm 5/10V CMOS+ Power LDMOS

0.72µm 5/8V CMOS+5/10V Power LDMOS on SOI

50A305V

307A2120/30V

LBC320/45/60V

LBC420/45/60V LDI-1

80/100V LDI-280/250V Isolation

Process Technology to Serve All Power IC Needs

Summary2003 Plans

Keep gaining market shareAutomotiveHDD pre-ampIndustrialPrinter consumables

Maintain high market share in HDD servo, printers and connectivity products

Achieve $1B of Power IC new design-winsAutomotivePrinterHDDDisplay Industrial