Texas Instruments

Embedded Processing

Video phoneOur Embedded Processing products are TI processors, both digital signal processors (DSPs) and microcontrollers, for which our customers invest their own R&D in writing software that runs only on these processors. DSPs perform mathematical computations almost instantaneously to process and improve digital data, while microcontrollers are microprocessors designed to control a very specific task for electronic equipment.

Sales of Embedded Processing products accounted for 15 percent of our revenue in 2010. The worldwide market for embedded processors was about $18 billion in 2010, and we have about 11 percent market share. We market and sell both DSP and microcontroller products that are sold across a wide variety of markets as well as application-specific products that are used in communications infrastructure and automotive electronics.

Our Embedded Processing business has a proven history of outperforming the market. We've stepped up our investment in this business in order to fuel a growth rate that outpaces the market by 2x. For example, we've increased our investment in microcontrollers, a product that represents almost 80 percent of the embedded processing market, but where we have only about 5 percent market share. We have aggressively expanded our product portfolio in this area, having increased the number of microcontrollers by 3x over a three-year period ending in 2010.