then TI could be headed for disaster. The current situation shows continued growth in this industry, but as we have all witnessed in the high-tech industry, technology changes very rapidly. The recent acquisitions made by Texas Instruments seemed to have strengthened the competitive position of the company. However, the possibility of over-diversification must be considered. By stretching financial assets as well as managerial assets among such a large number of “new” areas, TI may be setting itself up for failure. It is very difficult to maintain focus on core competencies when making such a large number of acquisitions. TI must also consider the fate of its other two businesses, Materials & Controls and Education & Productivity. While these two divisions make up only a small part of the revenues of the company, they both are leaders in their respective industries. By focusing on semiconductors, TI may be ignoring possible increased revenues in the other two markets that it serves. By investing more into these other markets, TI could balance its business base among different markets and possibly avoid a disastrous situation. OpportunitiesThe opportunities facing Texas Instruments are practically limitless. As the global market becomes more integrated and the digital revolution continues to progress, Texas Instruments market possibilities will grow. As more and more products are developed that will require digital technology and analog integration with the outside world, the demand for high quality DSP’s will increase. As the industry leader in market share as well as innovation, TI is faced with possibilities that will allow for them to remain in the number one position for some time to come. Xybernaut and TI recently announced plans to develop the Mobile Assistant, which will be the first wearable computer, designed to benefit from DSP real-time applications such as speech recognition and wireless commu...
