Another potential application for high-speed wireless is the Digital Still Camera. These cameras also will be liberated from wires to the PC someday, connecting to printers via short distance wireless at first, and later to the Internet through 3G wireless. Internet Audio and digital still cameras can stand on their own as they are today. Yet they also are good examples of candidates for using the wireless bandwidth that 3G will make available. They also are excellent examples of opportunities that have emerged from TI's catalog DSP and analog businesses.
Products have long life cycles and are sold to thousands of customers.
In the catalog market, price is not the driver for customer consideration, because customers primarily care about performance, applications support and development tools. So gross margins for catalog products are among the highest in the company - more than 60 percent. Catalog now accounts for 17 percent of our semiconductor revenue. But, they're also assured of strong customer support and the best development tools in the industry. Catalog is a very strong component of our overall success in the marketplace today and will only become more important to us in the future.