NXP Semiconductors CEO Rick Clemmer aims to retain its leading position in supplying automotive chips and grow sales by 5 percent to 7 percent a year between now and the end of 2021.
NXP, which posted revenue of $9.26 billion in 2017, also aims to boost its gross margins from the current level of about 53 percent to 55 percent by the end of 2019 and to as much as 57 percent by the end of 2021, while possibly selling off low-growth or low-margin businesses.
NXP’s $44 billion merger plan with Qualcomm ended in July due to lack of approval from China to Qualcomm. The plan of Qualcomm was to add more business in the rapidly growing auto chip market.
New NXP team
NXP Semiconductors said Kurt Sievers, executive vice president and general manager of NXP’s automotive business, will become president of NXP Semiconductors. Kurt Sievers will oversee all of NXP’s business lines under the new structure.
“This new structure follows the natural evolution of our strategy, as we strengthen our focus on secure connected devices through the automotive and industrial & IoT businesses while also participating in the mobile and communications infrastructure markets,” Rick Clemmer said.
Ruediger (Rudy) Stroh has decided to leave NXP, after a nine-year career during which he served as executive vice-president and general manager of NXP’s security & connectivity business.
Jennifer Wuamett, deputy general counsel and chief IP officer, will succeed Guido Dierick as executive vice president and general counsel of NXP Semiconductors. Guido Dierick retires as general counsel but remains country manager of NXP Semiconductors Netherlands.
