Note 12 - Segment and Geographical Information
3 Months Ended
Apr. 29, 2017
Notes to Financial Statements  
Segment Reporting Disclosure [Text Block]
12.
           Segment and geographical information
 
Operating segments are defined as components of an enterprise for which separate financial information is available and evaluated regularly by the chief operating decision-maker in deciding how to allocate resources and in assessing performance.  We are organized as, and operate in,
one
reportable segment.  Our operating segment consists of our geographically based entities in the United States, Israel and Singapore.  Our chief operating decision-maker reviews consolidated financial information, accompanied by information about revenue by product group, target market and geographic region.  We do
not
assess the performance of our geographic regions on other measures of income, expense or net income.
 
Our net revenue is derived principally from the sales of integrated SoC solutions, which we sell across both of our target markets. Connected Smart TV Platforms consist of all products that are sold into digital televisions as well as other adjacent markets using chipset products that are designed for video post-processing, products delivering IP streaming video, including hybrid versions of these products, and communication devices that use a standard protocol to connect equipment inside the home and stream IP-based video and audio, VoIP, or data through wired or wireless connectivity.
IoT Devices consist of both smart home applications (including gateways and automated consumer devices) and mobile IoT applications (primarily tracking tags). Our smart home product line is marketed under our Z-Wave brand of wireless chips, modules and Z-Wave mesh networking protocol.
 
Our License and other markets include revenue derived from the licensing of our technology to
third
parties and other sources. Revenue derived from other sources includes software development kits, and engineering support services for hardware and software;
that revenue is
not
significant as it represented
zero
of our total net revenue
for each of the
three
months ended
April 29, 2017
and
April 30, 2016,
respectively.
 
The following tables set forth net revenue attributable to each target market (in thousands):
 
 
 
Three Months Ended
 
 
 
April 29, 2017
 
 
April 30, 2016
 
                 
Connected Smart TV Platforms
  $
27,890
    $
43,708
 
IoT Devices
   
11,674
     
9,917
 
License and other
   
-
     
150
 
Net revenue
  $
39,564
    $
53,775
 
 
The following table sets forth net revenue for each geographic region based on the ship-to location of customers (in thousands):
  
 
 
Three Months Ended
 
 
 
April 29
, 201
7
 
 
April 30
, 201
6
 
Asia
  $
31,922
    $
46,041
 
North America
   
5,819
     
6,615
 
Europe
   
1,823
     
1,119
 
Net revenue
  $
39,564
    $
53,775
 
 
The following table sets forth net revenue to each significant country based on the ship-to location of customers (in thousands):
 
 
 
Three Months Ended
 
 
 
April 29, 2017
 
 
April 30, 2016
 
                 
China, including Hong Kong
  $
21,790
    $
27,457
 
Taiwan
   
6,951
     
13,964
 
United States
   
5,520
     
6,589
 
Republic of Korea
   
1,675
     
1,511
 
Rest of the world
   
3,628
     
4,254
 
Net revenue
  $
39,564
    $
53,775
 
 
During the
three
months ended
April 29, 2017,
Arris Global,
Sunjet Components Corporation, and Silicon Application accounted for
19%,
16%
and
16%
of our net revenue, respectively.
During the
three
months ended
April 30, 2016,
Sunjet Components Corporation and Silicon Application accounted for
22%
and
11%
of our net revenue, respectively.