Renesas Electronics Corporation · TSE:6723
Renesas Electronics — Investor Day (February 2020)
47 slides from Renesas Electronics's investor day presentation, Feb 17, 2020
Slide 1: Infra, Industrial and IoT Strategy
＜表紙サンプル＞ 産業制御システム向け INFRA, INDUSTRIAL AND IoT STRATEGY RZ/G セキュリティソリューションの紹介 IEC 62443-4-2認証取得に向けて FEBRUARY 17, 2020 SAILESH CHITTIPEDDI EVP AND GENERAL MANAGER IIBU RENESAS ELECTRONICS CORPORATION © 2020 Renesas Electronics Corporation. All rights reserved.
Slide 2: Mega Trends Driving Growth for IoT and Infra BU
MEGA TRENDS DRIVING GROWTH FOR IOT AND INFRA BU DATA-CENTER 5G INTELLIGENCE DISAGGREGATION RAMP MOVING TO ENDPOINT 33% cloud data CAGR ~0% penetration in 2019 1T connected devices ~20% in 2023 Industry 4.0 / 150MM industrial edge Optimizing underutilized resources / ~40% content expansio
Slide 3: Data Explosion Fueling Long Term Growth
DATA EXPLOSION FUELING LONG TERM GROWTH Every two days we create as much information as we did in the entire course of human history up until 2003 - Eric Schmidt 175 ZB Size of Global Datasphere 33 ZB 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 © 2020 Renesas Elec
Slide 4: Data Explosion Fueling Long Term Growth
DATA EXPLOSION FUELING LONG TERM GROWTH Every two days we create as much information as we did in the entire course of human history up until 2003 - Eric Schmidt Data Moving From Core to Endpoint … 175 ZB Core Size of Global Endpoint Datasphere Real-Time Big Intelligence Data Scale Low Latency Massi
Slide 5: IIBU Business Overview
IIBU BUSINESS OVERVIEW By Application By Product Infra SoC Number one memory interface supplier Technology leader in RF, timing and optical for 5G solutions Leading digital power controller Analog and power stage provider Infra IoT 25% Industrial Leading MCU & SOC Supplier + 35% Analog secur
Slide 6: Customer Overview
CUSTOMER OVERVIEW By Application Channel Reach Infra Focus on key DEEPER customers globally Gain Share & Strategic Cross Sell Accounts 80% of Resources Industrial Leverage our scale Assigned by “assigning” more customers & going Accounts deeper into BROADER customer base New Customer Focus on fewer,
Slide 7: Infra
INFRA Market ($m) Growth Driver CAGR 5％ Data Explosion 2019 Long term Revenue (oku-yen) 5G Ramp Accelerating Grow @SAM++ Evolving DC/Cloud Driving New Power Mgmt. and 2019 Long term Persistent Memory * Market CAGR: Renesas estimate based on Gartner research, Semiconductor Forecast Database, Worldwid
Slide 8: Industrial
INDUSTRIAL Market ($m) Growth Driver CAGR ７％ Industry 4.0 – Industrial Automation 2019 Long term Revenue (oku-yen) Human-Machine Interaction Grow @SAM+ Robotics Application 2019 Long term * Market CAGR: Renesas estimate based on Gartner research, Semiconductor Forecast Database, Worldwide, 4Q19 Upda
Slide 9: IoT
IoT Market ($m) Growth Driver CAGR 8％ E-AI – Intelligence Moving to Endpoint 2019 Long term Revenue (oku-yen) 1 Trillion Connected Devices Grow @SAM Wireless Charging Adoption 2019 Long term * Market CAGR: Renesas estimate based on Gartner research, Semiconductor Forecast Database, Worldwide, 4Q19 U
Slide 10: Product Portfolio
PRODUCT PORTFOLIO LEADING MCU + ANALOG & POWER SOLUTIONS FOR A DATA-CENTRIC WORLD Signal Processing, HDD, Core PMIC, BMIC OIS Servo-Controller Optical Flow, Humidity Gas, CO2, Temp, SOTB, Low Iq Thermopile Data Center Industrial Sensor Wireless Power Edge Signal Conditioning MCU + BL5.0, NB-IoT, 6Lo
Slide 11: How We Win
HOW WE WIN © 2020 Renesas Electronics Corporation. All rights reserved.
Slide 12: How We Win
HOW WE WIN 1 Differentiated Portfolio of Products 2 Content Expansion 3 Winning Combinations & Focused Sales Strategy 4 Scalable & Complete Solution Offerings 5 Ecosystem Partnerships © 2020 Renesas Electronics Corporation. All rights reserved. 11
Slide 13: How We Win
HOW WE WIN 1 Differentiated Portfolio of Products 2 Content Expansion 3 Winning Combinations & Focused Sales Strategy 4 Scalable & Complete Solution Offerings 5 Ecosystem Partnerships © 2020 Renesas Electronics Corporation. All rights reserved. 12
Slide 14: Broad & Differentiated Product Portfolio
BROAD & DIFFERENTIATED PRODUCT PORTFOLIO Microcontrollers and Analog & Mixed Signal, Other Technologies Microprocessors Power Management Clock & Timing, Analog Products Battery Mgmt. IC Digital Logic 8/16-bit Ultra-low energy 32-bit High power Factory Automation Sensing and Motor Control efficiency
Slide 15: Renesas Differentiation: MCU & MPU Excellence
RENESAS DIFFERENTIATION MCU & MPU EXCELLENCE High-Performance, High Security, Broad Connectivity, Wide Line Up IP Complexity • High Performance Using Arm Cortex Cores • High Flash Memory Integration • Leading Security IP Energy Harvesting Device • Extreme Low Current Solution Platform • Battery-Less
Slide 16: Renesas Differentiation: Analog / Mixed Signal & Power Leadership
RENESAS DIFFERENTIATION ANALOG / MIXED SIGNAL & POWER LEADERSHIP Core Power Wireless Power Timing RF/Optical Sensors >90% <1-msec Tiny Footprint End to End Efficiency Industry Leading Performance Complete Platform Solution AI-Based Human Presence Detection Low Cost Portable Power Broadest Portfolio
Slide 17: Renesas Differentiation by Application
RENESAS DIFFERENTIATION BY APPLICATION Infra Industrial IoT Leading Memory Interface Products Security-Differentiated MCUs Cloud Provider Partnerships Leadership in Power Advanced Communication Protocols SOTB for Energy-Harvesting MCUs RF Strength for Enabling 5G Market Leadership – Motor Control MO
Slide 18: How We Win
HOW WE WIN 1 Differentiated Portfolio of Products 2 Content Expansion 3 Winning Combinations & Focused Sales Strategy 4 Scalable & Complete Solution Offerings 5 Ecosystem Partnerships © 2020 Renesas Electronics Corporation. All rights reserved. 17
Slide 19: Content Expansion for Data Center: Server Main Systems
Infra Industrial IoT CONTENT EXPANSION FOR DATA CENTER SERVER MAIN SYSTEMS I2C I3C I2C I2C Server Server Server Server Platform Platform Platform Platform (Historic Gen) (Current Gen) (Next Gen) (Future Gen) PCIe Gen 3 PCIe Gen 3 PCIe Gen 4 PCIe Gen 5 CXL 12 slots per CPU 12 slots per CPU 16 slots p
Slide 20: Content Expansion for Data Center: Server Memory Modules
Infra Industrial IoT CONTENT EXPANSION FOR DATA CENTER SERVER MEMORY MODULES Client SODIMM PMIC, TS HDDIMM HDDIMM 10 DB, RCD, PMIC, 9 DB, RCD, I3C Hub, 2 TS PMIC, TS NVDIMM $ NVDIMM 10 DB, PMIC, 9 DB, PMIC, TS I3C Hub, 2 TS LRDIMM LRDIMM MB, TS LRDIMM 10 DB, RCD PMIC, 9 DB, RCD, TS I3C Hub, 2 TS RDI
Slide 21: Content Expansion for Data Center: Non-Volatile Memory Example
Infra Industrial IoT CONTENT EXPANSION FOR DATA CENTER SERVER MEMORY MODULE (NON-VOLATILE MEMORY EXAMPLE) Enterprise SSD and NVDIMM content Temp Sensor RCD PMIC PMIC MUX MUX MUX MUX MUX MUX MUX MUX MUX MUX MUX MUX PMIC 2 PMIC 1 Register | 1 Temp Sensor 7 Distributed Power Units 12 MUXes | 1 PMIC © 2
Slide 22: Content Expansion for 5G
Infra Industrial IoT CONTENT EXPANSION FOR 5G PATH TO ACCELERATING RF SALES Beam Forming IC ClockMatrix ClockMatrix Up/Down Converter Up/Down Converter $ Optical Optical Optical Timing Timing Timing RF Small Signal RF Small Signal RF Small Signal 4G 5G Sub-6GHz 5G mmWave Renesas Portfolio Enabling 5
Slide 23: Content Expansion for Industrial
Infra Industrial IoT CONTENT EXPANSION FOR INDUSTRIAL Attaching Analog/Mixed Signal to MCU Selected Applications Conveyor Tool Power Tool Power MOSFET Management Drivers Sorting Orthogonal Motor Conveyor Stage Stage Built-In Roller + Pump Industrial Fan/Blowers ADCs & DACs Op Amps MCU Water Water Hi
Slide 24: Enhanced 64-bit MPU & AI Accelerator Strategy
Infra Industrial IoT ENHANCED 64-BIT MPU & AI ACCELERATOR STRATEGY Industrial HMl + “Vision” + “AI” 64bit 64bit RZ/T & RZ/N Series RZ/G Series RZ/A and New Series Optimized MPU for the industrial market HMI market enhancement with AI technology HMI Well Positioned to Gain Share Deeper Coverage of Sy
Slide 25: MCU & MPU Positioning
Infra Industrial IoT MCU & MPU POSITIONING Performance RZ/A & New Series MPU + AI Vision AI with AI RZ/G MPU Accelerator (e/AI - DRP) High Graphics Performance Including 3D RA MCU Graphics Security, HMI, RX MCU Wireless RL78 MCU Higher Performance Connectivity (BLE, for Industrial NB-IoT) Industry-L
Slide 26: Content Expansion for IoT Systems (1 of 2)
Infra Industrial IoT CONTENT EXPANSION FOR IoT SYSTEMS (1 OF 2) COMBINING SENSORS WITH MCUS Water & Irrigation LED Lighting Control Management • RYZ011 CAT-M/NB1 + BLE 5 Module • BLM25 Module • RL78 MCU • BLE 5 with Zigbee support, MESH • Verizon + AT&T initial • DALI-2 support deployment • Extended
Slide 27: Content Expansion for IoT Systems (2 of 2)
Infra Industrial IoT CONTENT EXPANSION FOR IoT SYSTEMS (2 OF 2) COMBINING SENSORS WITH MCUS Home Based Water Meter: Smart Home: Color Touchscreen Block Diagram Thermometer with Cloud Conn. Voice MCU RX113 + RTC + Temperature Sensor 3.3V LDO ISL80510 + DC/DC ISL854102 + Recognition Module RZ231 RS-48
Slide 28: How We Win
HOW WE WIN 1 Differentiated Portfolio of Products 2 Content Expansion 3 Winning Combinations & Focused Sales Strategy 4 Scalable & Complete Solution Offerings 5 Ecosystem Partnerships © 2020 Renesas Electronics Corporation. All rights reserved. 27
Slide 29: Examples of Winning Combinations
EXAMPLES OF WINNING COMBINATIONS Electronic Valve with HMI SOM using RZ/G2E Chinese AC Servo Market Flowmeter MCU Analog MPU Power MPU Power Power Sensor Timing Analog Timing Analog Motor Control $ Opportunity $ Opportunity $ Opportunity MCU MCUs + Analog/Power MPU MPUs + Analog/Power MPU MPUs + Ana
Slide 30: Sales Strategy: Deeper & Broader
SALES STRATEGY DEEPER & BROADER Maximize cross sell with New customers and winning combinations seed new technology Direct sales force – Assign more customers Lean & efficient distribution network – Extend reach Maximize cross sell with winning combinations & solutions Web & catalog distributors Dig
Slide 31: Evolving Channel Strategy
EVOLVING CHANNEL STRATEGY REACHING BROADER BASE OF CUSTOMERS Fewer • Leverage our scale by “assigning” Distributors… more customers & going deeper into customer base -44% • >80% of resources direct sales Strategic Accounts • 1,125 Assigned Accounts now covered globally Before After Fewer distributor
Slide 32: Deeper: More $$$ per Customer
DEEPER MORE $$$ PER CUSTOMER Pulling MCU into an Pulling Analog into an Existing Analog Customer Existing MCU Customer Korean Industrial US Smart Home Customer Customer SSC Humidity + Gas sensor + MCU MCU + Indoor Air Quality Sensor (IAQ) Sensor Combo sensor for Industrial & Consumer Smart home moni
Slide 33: Broader: Going Broader to Extend Customer Reach
BROADER GOING BROADER TO EXTEND CUSTOMER REACH IC-Core On-Chip Photodiodes Mounted LEDs Jaewon CNC Air Purifier Senseonics Eversense CGM LEVL Fat/Ketone Burning Measurement MCCI- Smart Building Sensors Sharp/Foxconn Module for AQM MIYO Smart Home Irrigation System © 2020 Renesas Electronics Corporat
Slide 34: How We Win
HOW WE WIN 1 Differentiated Portfolio of Products 2 Content Expansion 3 Winning Combinations & Focused Sales Strategy 4 Scalable & Complete Solution Offerings 5 Ecosystem Partnerships © 2020 Renesas Electronics Corporation. All rights reserved. 33
Slide 35: Scalable Solutions for Predictive Analytics (1 of 2)
SCALABLE SOLUTIONS FOR PREDICTIVE ANALYTICS (1 OF 2) CASE STUDY - FACIAL RECOGNITION Low Touch Mid Touch High Touch General Purpose MCU Imaging Micro Processor AI Integrated Processor Renesas / Synergy / A2M Series / New Series Performance: 3.5fps (280ms) *1 Performance: 16fps (64ms) *1 Performance:
Slide 36: Scalable Solutions for Predictive Analytics (2 of 2)
SCALABLE SOLUTIONS FOR PREDICTIVE ANALYTICS (2 OF 2) CASE STUDY - MOTOR CONTROL Low Touch Mid Touch High Touch Low End Motor Control Wide Range Inverter Control High Speed Motor Control / T Series Suitable for Trapezoidal Drive Control Suitable for Vector Control (FOC) Suitable for Motion Control Lo
Slide 37: Complete MCU/MPU + Analog Solutions for Targeted End Markets
COMPLETE MCU/MPU + ANALOG SOLUTIONS FOR TARGETED END MARKETS Motor Control for Health & Sat. Comm. Predictive Industrial & Robotics Environment & Aero Analytics Blower Fan Motorized Rad tolerant multiplexers Air Purifier Cleaner / Vacuum Bicycle Blood Pressure Sensor System Rad hardened Water pumps
Slide 38: How We Win with Integrated Offerings
HOW WE WIN WITH INTEGRATED OFFERINGS SERVER FAN COMPETITIVE COMPARISON Competitor Targets BLDC 48V Server Cooling Fan Application Targets BLDC Ceiling Fan Application Supports 50W Motor Supports 30W Motor and 24V Motor Sensor Less Vector Control Sensor Less Trapezoidal Lower Cost for Key Customers $
Slide 39: How We Win
HOW WE WIN 1 Differentiated Portfolio of Products 2 Content Expansion 3 Winning Combinations & Focused Sales Strategy 4 Scalable & Complete Solution Offerings 5 Ecosystem Partnerships © 2020 Renesas Electronics Corporation. All rights reserved. 38
Slide 40: Robust Ecosystem: Alliance Partner Program
ROBUST ECOSYSTEM ESTABLISHED ALLIANCE PARTNER PROGRAM The Renesas Alliance Partner Program – a network of thousands of trained and certified design service partners – supports every stage in the customer design cycle and offers opportunities to create new business 1,000+ GLOBALLY Tool Software Desig
Slide 41: Ecosystem Partners – Enabling Solutions Across Segments
ECOSYSTEM PARTNERS – ENABLING SOLUTIONS ACROSS SEGMENTS Select Partnerships Technology MCU MPU Data Center Partnerships Connectivity & Cloud AI OEM/ODM NB-IoT Contextual Awareness MRAM Thermopile Sensors NFC BLE 5.0 UWB Electrostatic Cooling - Wireless Power © 2020 Renesas Electronics Corporation. A
Slide 42: P&L Model for IIBU
P&L MODEL FOR IIBU © 2020 Renesas Electronics Corporation. All rights reserved.
Slide 43: Target Financial Model
TARGET FINANCIAL MODEL LONG-TERM TARGET Revenue • Launch initiatives for margin improvement Grow > Market Rate Year 1 • New product launch Gross Margin 55 – 60% Year 2 • Measure progress on Design-in & GPM & OI Operating Margin Year 3+ • Deliver Target Model! 25 – 30% Businesses will gain market sha
Slide 44: Organizational Synergy
ORGANIZATIONAL SYNERGY © 2020 Renesas Electronics Corporation. All rights reserved.
Slide 45: A Well-Blended Team
A Well-Blended Team IIBU GENERAL MANAGER Sailesh Chittipeddi VP Product and Sales Mobility and SoC Shared Tech IoT Power Human PE, TE and Industrial and Data Center MCU Communications Resources NPI Note: As of January 2020 © 2020 Renesas Electronics Corporation. All rights reserved. 44
Slide 46: Summary
SUMMARY • Data traffic growth and migration of data analytics from big data to fast data are major growth drivers for IIBU business • We are well-positioned to win in upcoming marketplace inflections: o Data-center disaggregation at core of network o Move to 5G at edge o IoT explosion and e-AI at en
Slide 47: Renesas.com
Renesas.com © 2020 Renesas Electronics Corporation. All rights reserved.