Dialog Semiconductor, established in 1985, specializes in highly integrated mixed-signal IC design, which can be extensively applied in following areas: personal portable devices, low-power short-distance wireless devices, lighting, displays, automobiles, and IoT.
Dialog Semiconductor used to be a department under a European branch of the American company called International Microelectronics Products (IMP). At its inception, the core business was chip design for power management of consumer electronics. In this line of work, the company made great contributions to the upgrading of mobile device power management. In 1989, IMP (UK) was merged by Daimler-Benz, and then in 1998, it became an independent company which was listed on the Frankfurt Stock Exchange in Germany.
In 2011, Dialog Semiconductor acquired SiTel, which strengthened the Group’s technology scope and patent coverage in the areas of digital enhanced cordless telecommunications, Voice over Internet Protocol (VoIP), and low-power short-distance wireless communications. In 2013, it further merged iWatt and then engaged in the fields of AC/DC converters and LED solid-state lighting (SSL). In 2015, Dialog Semiconductor invested in Dyna Image Corp. – a leading sensor manufacturer in Taiwan — which enhanced their capacity for developing new applications in the areas of smart phones, wearable IoT devices, and sensor solutions.
In 2019, Dialog Semiconductor acquired the brand and mobile communication product line of FCI, which was a subsidiary of Silicon Motion (SMI).
FCI is a global leader in system-on-chip (SoC) devices for T-DMB and ISDB-T mobile TV. Its technologies are mainly used for ultra-low-power Wi-Fi SoC and related modules, mobile TV SoC, and mobile communication transceiver ICs.
Afterwards, in view of the business opportunities generated by the Industrial Internet of Things (IIoT), Dialog Semiconductor acquired IIoT chip supplier Creative Chips GmbH. By taking advantage of Creative Chips’ business network and key accounts, Dialog Semiconductor transformed into an IIoT solutions provider. In addition, the acquisition was key for the business strategy of Dialog Semiconductor, because it enabled the company to further expand its business scope to include wireless low-power connectivity, configurable mixed-signals, and power management.
Dialog Semiconductor is now the 10th largest chip design company. It holds IP rights in the field of advanced mixed-analog integrated signal silicon, and plays a world-leading role in the System in Package (SiP) technology. Focusing on IC design and development as the company’s core value, 76% of Dialog Semiconductor’s 2,100 employees are engaged in the R&D and related functions. The corporate’s CAGR (Compound Annual Growth Rate) from 2016 to 2018 was 10%, and annual sales turnover in 2018 reached USD1.442 billion, up 7% from the previous year. Dialog Semiconductor will continue expanding the Group’s business, and strengthening its leading role in the industry by leveraging the power of the Group’s 29 sites in 16 countries and regions around the world.
Having discovered that Taiwan’s semiconductor industry has the great advantages of a well-established supply chain and industry cluster, Dialog Semiconductor established its operations in Taiwan in 2007. Asia Headquarters President Mr. Leroy Liu, further shared his observation on the human resources of Taiwan, “Taiwan’s semiconductor industry has excellent talent in the fields of semiconductor design and R&D.” Attracted by this impressive talent pool, the Germany-based headquarters decided in 2012 to establish its Asian region head office in Taipei, and made it responsible for exploring the Asia-Pacific market and seizing the emerging business opportunities generated by new technologies.
Currently, Dialog Taiwan maintains operations in Taipei, Hsinchu, Taichung, and Kaohsiung, where it has very close and solid partnerships with Taiwan’s leading semiconductor players, such as TSMC, UMC, SPIL, ASE Holding, and UTAC-Taiwan. Its strong connections with Taiwan’s semiconductor industry enable Dialog Semiconductor to successfully employ the fabless business model and develop its business across Europe, North America, and Asia.
Asia Headquarters President Mr. Liu mentioned that “compared with other Asian countries, Taiwan is equipped with abundant design and R&D talent, an excellent semiconductor ecosystem, as well as rigorous IP protection mechanisms. Taiwan’s R&D capacities not only meet with Dialog’s core value, but have also effectively helped the Group achieve a highly advantageous position in the highly competitive world semiconductor market.”
Continuously Expanding R&D in Taiwan Taking a very positive view regarding the prospects of Taiwan’s semiconductor industry and its R&D capacities, Dialog established a mixed signal focused R&D Center in Taiwan in 2014, which is one of Dialog’s 31 R&D Centers around the world. Taiwan is a key Asian R&D location for the Group.
As IoT, AI, and 5G have become the predominant trends in global industrial development, Dialog has identified Group targets in the following key areas: IOT, automotive, computing & storage, and mobile communication. The plan is to enlarge the R&D Center and the quality inspection unit in Taiwan. Asia Headquarters President Mr. Liu highlights the comprehensive industry cluster in Taiwan, which features a high degree of flexibility, ability to customize, speed, and low cost. “Dialog values Taiwan’s R&D, applications, and manufacturing environments, and looks forward to further strengthening the competitiveness of Taiwan’s semiconductor supply chain by expanding R&D and jointly developing advanced manufacturing with local partners.
Commenting on the challenges posed by US-China trade conflict as well as the US-China tech war, Asia Headquarters President Mr. Liu stressed that “China’s semiconductor industry development is being strongly suppressed by the US, while Japan has put restrictions on the export of key semiconductor and electronic components to Korea. These situations have strongly affected technology-driven multinational companies’ global IP deployment; however, these circumstances also mean opportunities for Taiwan.”
He then explained that if Taiwan strengthened its IP protection mechanism, it would help foreign companies to further augment their IP management in Taiwan. If IP protection could be integrated more closely with industrial development and advanced manufacturing, it is expected that foreign companies would upgrade their operations in Taiwan. This would make Taiwan a more attractive destination for foreign direct investment and secure a prominent role for Taiwan in the global semiconductor sector.
Dialog Semiconductor was listed with the assistance of Daimler-Benz, and then became a multinational company with 2,100 staff and 29 operations throughout the world, within less than 40 years. Asia Headquarters President Mr. Liu believes that its ability to do so should be attributed to its focus on technology R&D.
As for Dialog’s future in Taiwan, Asia Headquarters President Mr. Liu shared his view as follows: “Dialog will keep on leveraging Taiwan’s versatile industrial and manufacturing environments to provide world-class advanced R&D resources. We will provide support to help local talent go overseas, will reap the benefit of synergy that comes from resource integration, and will then jointly seize business opportunities as they arise.” Market demand for semiconductors derived from multiple applications and related developments in IOT, AI, etc., will continue to grow significantly, so the cooperation between Dialog and Taiwan’s semiconductor industry will be tighter and closer in the future.
Source： Department of Investment Promotion, MOEA
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