Novellus devices key characteristics pr term paper

Intel Organization, Operating System, Operating Systems, Ibm

Research from Term Paper:

Simultaneously that Novellus was articulating this strategy, it was keeping mother on their quarterly revenue report; in lots of recent markets, Novellus had produced unsatisfactory results intended for shareholders, less than three cents per discuss in 2003.

Novellus as well made many product announcements, all in line with its proposed moves. Notably, it launched INOVA Up coming, a new type of an existing PVD technology; the market for PVD devices has been prediction by Gartner Dataquest by around $1. 2 billion dollars in june 2006 (Auchard, 2005).

Clearly, the main element strategic issue for Novellus is retaining its superb ‘buy’ evaluations over time against a giant just like Allied Supplies. Attacking the situation by launching new products is definitely expensive: Novellus RD costs have continued to be fairly regular, however , through periods of good income pertaining to the company, and less good.

Table 6:

Comparison of three guidelines for Novellus Systems, Inc.

Gross Earnings (in million. )

RD expenditures

Total operating bills

Source: CNN/Money Web site, june 2006

Recommendations

At the moment, the company offers virtually no financial obligations (CNNMoney Site, 2005). In addition , it has weathered the cyclical nature of the semiconductor sector in adequate shape to get Hooves to issue “buy” analyses consistently.

In addition , it absolutely was able to reduce its operating expenses significantly in the period from the year 2003 to 2004 relative to it is gross income. This is some indication which the company is definitely taking critically its own tips and optimizing manufacturing elements. If the organization is also accurate that this will continue to be the simplest way to assure revenue, then the simply thing Novellus needs to do is stay the course it has previously set. The key, of course , will probably be in certainly not trying to modify something that basically broken, when the temptation could possibly be to become not just a reliable second to Allied Materials, nevertheless the first source instead.

Because company is definitely solid and favored by analysts, it would be a mistake to substantially depart through the procedures which have made Novellus one of the top companies in the field, in respect to Hoovers online.

Performs Cited

Auchard, Eric. “Novellus sees duplicity market share. ” 2005. Reuters News Support. 17 August 2005. http://today.reuters.com/news/newsArticle.aspx?type=businessNewsstoryID=2005-07-12T030741Z_01_N11515910_RTRIDST_0_Business-TECH-NOVELLUS-MARKETSHARE-DC.XML

Performance and Cost Efficiency. Money/CNN. 2006. MoneyCNN. 17 July 2005. http://money.cnn.com/services/tickerheadlines/prn/200507111630PR_NEWS_USPR____SFM117.htm

Novellus Systems. the year 2003. Business. com Web site. seventeen July 2005, http://business.com.

Novellus Systems, Inc.