Economic Challenges for Dedicated Micros

By John Honovich, Published Nov 10, 2009, 07:00pm EST

While Dedicated Micros is a privately held company that does not disclose revenue, at the November 2009 Security New Ground conference, an executive made the following comment [link no longer available]:

“The economy will have the biggest impact [in 2010]. It’s become very hard to predict revenues each month. We used to use the POS reports of our partners but we can’t really do that anymore because they are shrinking inventory. The economy has to show signs of recovery.”

Shrinking inventory is a common theme we hear from traditional analog suppliers who cut back hard after September 2008. The drop and signs of a rebound are demonstrated by the financials of large analog component supplier Techwell.

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