WRAPUP 1-Maxim Integrated, Integrated Device see weak qtrly rev
* Both companies see March qtr rev below Street
* Maxim to reduce opex by $15 mln sequentially
* Integrated temporarily suspending share buyback
BANGALORE, Jan 29 (Reuters) - Chipmakers Maxim Integrated Products Inc (MXIM.O: Cotización) and Integrated Device Technology Inc (IDTI.O: Cotización) forecast quarterly revenue below market estimates due to weak demand for their products amid a global economic meltdown.
Semiconductor makers around the world are struggling a near two-year sector downturn, caused by chronic oversupply and weak demand for consumer electronic gadgets.
"We estimate that approximately a third of the expected declines in the March quarter will be related to weak demand, another one-third to inventory drains, and one-third to typical seasonality," an executive from Integrated Device Technology said on a conference call.
On a conference call, Maxim Integrated said it took several measures to reduce operating expenses, excluding stock-based compensation, by about $15 million sequentially.
These actions include reduction of annual bonuses of employees and cutting manufacturing test operations work hours by 20 percent. Maxim also said the shutdown of its Dallas facility is on track and will be completed in the fourth quarter.
Maxim, of Sunnyvale, California, makes analog and mixed signal chips used for power, management and digital sensing functions in a wide range of electronics. Continuación...