Slide 1: Renesas Industrial Business Overview
▪RENESAS INDUSTRIAL BUSINESS OVERVIEW MICHAEL HANNAWALD SVP, DEPUTY GM INDUSTRIAL BUSINESS UNIT © 2017 Renesas Electronics Corporation. All rights reserved.
Slide 2: Agenda
AGENDA ▪ Corporate Business Overview ▪ Industrial Business Business Status Real-Time embedded Artificial Intelligence (e-AI) Future Spark – Silicon on Thin Buried Oxide (SOTB) ▪ Take Away © 2017 Renesas Electronics Corporation. All rights reserved. Page 2 BIG IDEAS FOR EVERY SPACE
Slide 3: Corporate Overview
CORPORATE OVERVIEW Financials Overview* (FY17 1H) Semi Sales Breakdown by Application*** (FY17 1H) B yen Margin Net Sales 376 ABU BBU Semi Sales 367 Approx. 20% Approx. 50% Gross Profit 171 45.6% Operating Income 58 15.5% Industrial Automotive EBITDA** 94 24.9% IBU Depreciation and Amortization 35 A
Slide 4: Semiconductor Sales Trend & Targets
SEMICONDUCTOR SALES TREND & TARGETS B Yen Long-term Financial Targets 194.3 172.6 2x 163.2 161.4 36.3 BBU 147.5 148.3 24.5 (15.4) Served Available Market 21.0 18.5 (5.8) 18.6 18.5 Growth in Focus Markets 54.0 IBU 49.3 48.2 50.6 45.4 45.1 50% Gross Margin 91.9 91.7 96.6 102.9 ABU 82.5 84.1 >20% FY16/
Slide 5: Industrial Business
INDUSTRIAL BUSINESS © 2017 Renesas Electronics Corporation. All rights reserved. Page 5 BIG IDEAS FOR EVERY SPACE
Slide 6: Investment Focus to 7 Segments
INVESTMENT FOCUS TO 7 SEGMENTS Smart Infrastructure Smart Factory Smart Home 5.4 B$ 1 B$ 1.5 B$* 5.9% 10% 8.6%** Office Building Automation Automation Industry Home Utility Meter ICT Healthcare Automation Appliance *Served Available Market (SAM) **Application CAGR FY15-21 both estimated by Renesas ©
Slide 7: Excellent Market Position
EXCELLENT MARKET POSITION Smart Infrastructure Smart Factory Smart Home MCU ASSP MCU/SoC/MPU MCU No.1 No.2 No.1 No.1 Electronic Network Factory Home Power Meter Memory Automation Appliances Major Players Major Players Major Players Mitsubishi Electric Daikin Industries, Landis+Gyr AG Cisco Systems,
Slide 8: Industrial - Business Outlook
INDUSTRIAL - BUSINESS OUTLOOK Sustainable Outlook until 2021 in Focus Markets Strong Gross Margin Driver 60% Gross Margin >20% Operating Margin FY16 FY17 FY21 (Act) (Est) (Target) © 2017 Renesas Electronics Corporation. All rights reserved. Page 8 BIG IDEAS FOR EVERY SPACE
Slide 9: Real Time e-AI
REAL TIME e-AI EMBEDDED ARTIFICIAL INTELLIGENCE © 2017 Renesas Electronics Corporation. All rights reserved. Page 9 BIG IDEAS FOR EVERY SPACE
Slide 10: Renesas e-AI – Focus on Real Time Embedded Systems
RENESAS e-AI – FOCUS ON REAL TIME EMBEDDED SYSTEMS Learning Inference Core competencies in OT IT AI ▪ Real-time system (efficiency) Information Technology ▪ End-point control (reality) Inference ▪ Safety and robustness OT E-AI Operational Technology ▪ AI on embedded system © 2017 Renesas Electronics
Slide 11: Renesas e-AI – Inference in OT by MCU Edge Computing
RENESAS e-AI – INFERENCE IN OT BY MCU EDGE COMPUTING Learning in IT Neural Code Size many Network numbers Algorithm 300 MB Renesas Translation Inference in OT Code Size [3] 300 KB 99.6% © 2017 Renesas Electronics Corporation. All rights reserved. Page 11 BIG IDEAS FOR EVERY SPACE
Slide 12: Experiment Result at Naka Factory
EXPERIMENT RESULT AT NAKA FACTORY Normal Abnormal Abnormality Detection realized by e-AI Measured Measured ▪ 6x better abnormality detection rate Voltage Voltage ▪ Almost no pseudo alarms in factory ▪ Less maintenance efforts Effects ▪ Cost reduction by earlier detection ▪ Less human interactions ▪
Slide 13: Expansion of e-AI
EXPANSION OF E–AI EXCELLENT MARKET POTENTIAL IN RENESAS’ FOOTPRINT Process Abnormality Detection Time series analysis solution based on Naka factory PoC Semi Specialized Equipment High-End Automotive Vibration Predictive Maintenance Frequency domain analysis PoC with global customer Mechanical Growt
Slide 14: Offload Engine DRP - For Real Time Edge Computing
OFFLOAD ENGINE DRP - FOR REAL TIME EDGE COMPUTING EXECUTING e-AI WITH HIGH SPEED AT LOW POWER DRP*: Key Differentiator Introduce e-AI into embedded world INPUT OUTPUT 10x Faster than GPU 100x Faster than CPU Real Time Edge Computing on MCU at Low Power *DRP; Dynamically Reconfigurable Processor © 20
Slide 15: Expansion of Ecosystem Towards Open e-AI Platform
EXPANSION OF ECOSYSTEM TOWARDS OPEN e-AI PLATFORM Data Pre-Processing Service, Data analytics Learning platform Sample models, Neuro-network implementation Embedded system • Top share footprint Development • Embedded-AI solution environment • AI secure update solution • e-AI Service Platform Board,
Slide 16: Drive Smart Society and Create New Markets
DRIVE SMART SOCIETY AND CREATE NEW MARKETS NEW Pre Processing Learning platform Data analytics Embedded Neuro-network system support Board, Development Tool environment SIer DRP Software IP © 2017 Renesas Electronics Corporation. All rights reserved. Page 16 BIG IDEAS FOR EVERY SPACE
Slide 17: Future Spark – SOTB
FUTURE SPARK – SOTB SILICON ON THIN BURIED OXIDE © 2017 Renesas Electronics Corporation. All rights reserved. Page 17 BIG IDEAS FOR EVERY SPACE
Slide 18: Future Spark – SOTB
FUTURE SPARK – SOTB Conventional Battery System (>200µA) Standby Current (µA) 10 Long Battery Life 28nm Battery Less (<10µW) FDSoI Conventional MCU 90~40nm Target of SOTB 1 130~90nm 0.1 10 100 1,000 Active Current (µA/MHz) © 2017 Renesas Electronics Corporation. All rights reserved. Page 18 BIG IDEA
Slide 19: Future Spark – SOTB
FUTURE SPARK – SOTB Disruptive Ultra Low Power Performance of SOTB Conventional Circuit SOTB SOTB realizes • Light (Solar) Operating Current • Temperature Normal • Vibration x 0.1 SOTB MCU • Water flow Standby Current • Wind x 0.01 •… Battery Battery-free Power supply = Battery Operated by Environme
Slide 20: SOTB – A Technology Which Can Change Our Life
SOTB – A TECHNOLOGY WHICH CAN CHANGE OUR LIFE Realize Battery-less system Maintenance free device enables with Energy Harvesting Solution Autonomous World Wind Water Vibration flow Light SOTB ΔTemp. Solar Pressure © 2017 Renesas Electronics Corporation. All rights reserved. Page 20 BIG IDEAS FOR EVE
Slide 21: Take Away
TAKE AWAY Strong Real Time e-AI Sustainable SOTB Industrial As future growth high profit growth Can change our life Customer Footprint driver © 2017 Renesas Electronics Corporation. All rights reserved. Page 21 BIG IDEAS FOR EVERY SPACE
Slide 22: Vision
Renesas creates leading semiconductor solutions VISION that spark innovation for a connected world, building a trusted brand we can be proud of. © 2017 Renesas Electronics Corporation. All rights reserved. Page 22 BIG IDEAS FOR EVERY SPACE