2010 was a momentum-building year for Entropic. The Company is at the center of a massive paradigm shift in the connected home entertainment market, as its silicon and software solutions have been deployed by multiple pay-TV service providers to allow consumers to stream large amounts of content into and throughout the home over the existing coaxial cable infrastructure.
"Over the past 10-years, we have developed innovative technology and a strategic approach to enable the delivery of high definition video and multimedia content into and throughout the home. Our vision has become reality over the past two-years as our software and silicon solutions became deployed, globally," said Patrick Henry, president and CEO, Entropic Communications. "As a company, we are experiencing record growth -- having significantly broadened our customer base and achieving quarter-over-quarter revenue growth in 2010, adding scale to the company and operating from a position of strength to engineer the future of connected home entertainment."
-- From 2009--2010, Entropic grew revenue each quarter and in 2010, posted
record revenue and profitability. A follow-on offering of 10.75 million
shares of common stock was completed on October 5, 2010, raising net
proceeds of approximately $99.1 million.
-- Entropic's MoCA silicon was first deployed in 2009 by Verizon to enable
multi-room DVR as part of the FiOS service. In 2010, the Company saw
adoption from nearly every leading North American pay-TV service
provider including DIRECTV, Comcast, Cox Communications, Time Warner,
and Rogers Cable, and by numerous mid-tier service providers including
Bright House, Buckeye Cablevision, Mediacom and Sunflower Broadband. The
pay-TV service providers are delivering MoCA-enabled home entertainment
through leading OEMs including Cisco, Humax, Pace, Motorola, Samsung and
-- Entropic's direct broadcast satellite (DBS) satellite outdoor unit (ODU)
is being deployed by DIRECTV and DISH Networks in the U.S., by Via
Embratel in Brazil, as well as by major operators in Canada and Italy,
among others, to enable better service by supporting multiple tuners
over a single cable, enabling easy plug-and-play set-top box upgrades,
and reaching new subscribers previously unserviceable due to access
limitations or wiring restrictions.
-- Broadband access was made simpler in Europe and Asia, with Entropic's
broadband access solution being deployed in China by Panyu Cable and in
France by InCoax Networks. Entropic's broadband access solutions use
coaxial cable infrastructure to deliver "last kilometer" connectivity
for high-speed broadband access, to cost-effectively bring
high-performance connectivity to subscribers.
-- Television viewers throughout Europe can now enjoy home entertainment
regardless of digital or analog broadcast service, as Robust Electronics
selected Entropic's multi-mode hybrid silicon tuner to deliver high
performance and cost reduction by simplifying design complexity and
lowering development costs.
-- In 2010, Entropic strengthened its Board of Directors and management
team with the additions of Bob Bailey and Ted Tewksbury to its Board and
Mike Farese as senior vice president, Engineering and Operations.
-- The Linley Group ranked Entropic #1 in its "Communications Semiconductor
Market Share 2009" with a 32% share in worldwide revenue of the top 4
vendors of home networking and access application specific standard
-- Entropic played an important role in the ratification of the MoCA 2.0
specification, ensuring service providers and OEMs could capitalize on
prior MoCA investments through backward interoperability with MoCA
1.1/1.0. Last week, Entropic achieved another MoCA home networking
milestone, unveiling the world's first complete MoCA 2.0 silicon and
software solution that enables up to 1Gbps of throughput throughout the
home for unparalleled home entertainment experiences.
-- Over the past decade, Entropic has received nearly 20-industry awards
from AeA, CED Magazine, EDN Magazine, San Diego Business Journal,
TechAmerica, and TMCNet, among others, and most recently was ranked as
the fastest growing semiconductor company and #44 of fastest growing
companies on the 2010 Deloitte Technology Fast 500(TM). Entropic was
also named as one of Fortune Magazine's Top 10 Stock picks for 2011.
Henry continued, "We are entering 2011 with a great sense of confidence and optimism for what lies ahead. We see 2011 as the year for greater international adoption of our silicon and software solutions -- from pay-TV service providers more broadly deploying MoCA-based home networking solutions to international consumer electronics OEMs leveraging our technology in connected home devices."
About Entropic Communications
Entropic Communications, Inc. (Nasdaq:ENTR) is a leading fabless semiconductor company that is engineering the future of connected home networking and entertainment by providing next-generation silicon and software technologies to the world's leading cable, telco and satellite service providers, OEMs and consumer electronics manufacturers. As a co-founder of MoCA (Multimedia over Coax Alliance), Entropic pioneered and continues to evolve the way high-definition television-quality video and other multimedia and digital content such as movies, music, games and photos are brought into and delivered throughout the home.
For more information, visit Entropic at www.entropic.com.