NXP Semiconductors pushing boundaries

The roller coaster ride in Equity markets experienced in the past few years has led many to believe that somehow industrial innovation has stood still. This is far from the truth; the boundary that limits everyday life is being pushed aggressively further by technological developments. At the forefront of this advance is the internet of things.

The internet of things is the networking of physical devices, vehicles, buildings and other items—embedded with electronics, software, sensors, actuators, and network connectivity that enable these objects to collect and exchange data.

This network enables the remote monitoring and control of devices. A simple example is the ability to track were your car is on your mobile phone. The car unlocking as you approach and playing your favourite music as soon as you enter.

Soon the car will also send you message when a service is due, book an appointment with you garage, order the require parts and settle the bill directly.

Other applications include remote health monitoring, emergency notification systems, home automation, fleet management, connected cars and smart retail. And as this network continues to expand the need for the required sensors and software is accelerating. Investing in this sector now is probably similar to investing in Apple ten years ago.

NXP Semiconductors

NXP Semiconductors N.V. is well placed to gain from this transformation. The company is a semiconductor manufacturer headquartered in Eindhoven, Netherlands. The company employs approximately 45,000 people in more than 35 countries.

NXP Semiconductors provides mixed signal and standard product solutions based on its security, identification, automotive, networking, RF, analog, and power management expertise. With an emphasis on security of the connected vehicle and the growing Internet of Things.

The company's products are used in a wide range of "smart" automotive, identification, wired and wireless infrastructure, lighting, industrial, consumer, mobile and computing applications. For example, in order to protect against potential hackers, NXP offers gateways to automotive manufacturers that prevent communication with every network within a car independently. NXP manufactures automotive chips for in-vehicle networking, passive keyless entry and immobilization, and car radios.

NXP is also the co-inventor of near field communication (NFC) technology along with Sony and supplies NFC chip sets that enable mobile phones to be used to pay for goods, and store and exchange data securely.

NXP manufactures chips for eGovernment applications such as electronic passports; RFID tags and labels; and transport and access management, with the chip set and contactless card for MIFARE used by many major public transit systems worldwide.