Pam Smith

ST Micro: Can iPhone Orientation Sensor Point the Way To Improved Financials?

The coolest feature that you talk about in iPhone, as a matter of fact, has been around in Digital Still Picture (DSC) cameras for a while! Apple did not innovate this feature. iPhone is a great product but doesn't deserve credit for this feature and STM is not the only company that supplies orientation sensors. More importantly, at $2.95/unit, even if Apple sells 15MM iPhones, it just adds a mere 45MM/yr to a $10B revenue company and this cannot be the basis for STMs financial turnaround :-( STM is going fab-lite and divesting non-profitable/capex intensive businesses and this will help make the company more efficient financially.