SOURCE: NXP

NXP

NXP

April 14, 2011 08:00 ET

NXP Ships 500 Millionth ABS Sensor Module

Continental ABS Wheel Speed Sensors Feature MR Speed Sensor Modules From NXP

EINDHOVEN, NETHERLANDS--(Marketwire - Apr 14, 2011) - NXP Semiconductors N.V. (NASDAQ: NXPI) today announced that it has shipped more than half a billion ABS speed sensor modules -- a key milestone in NXP's relationship with Continental, one of the leading global automotive suppliers. The Chassis & Safety Division of Continental has worked closely with NXP to develop advanced ABS/ESC sensor modules that are now used by most car manufacturers in the world, in both the standard and high-end segments of the market.

"The reliability, precision and functionality of our wheel speed sensors are key for our leading position in the global market -- and our close collaboration with NXP has been important to our success," said Dr. Bernhard Klumpp, executive vice president, Business Unit Sensorics, Continental. "Our wheel speed sensors also form a foundation for our advanced driver assistance -- systems such as Emergency Brake Assist City, which can prevent nose-to-tail collisions in urban traffic."

Installation of anti-lock brake systems (ABS) and electronic stability control (ESC) has grown steadily over the past few decades, and is expected to grow significantly, particularly in emerging markets such as China, India and Brazil. According to Strategy Analytics, total demand for ABS and ESC systems reached 45.7 million units in 2009, and is expected to reach 91.9 million units in 2017, with up to four wheel speed sensors per system. In Western markets, ABS has become standard in new vehicles; in the US, ESC will be required for all 2012 model year cars, SUVs, pickup trucks and minivans by September 2011, while in Europe, ESC is now mandatory for new model types by 2011 (EU Commission) and all new vehicles by the end of 2014.

NXP and Continental are the leading suppliers of speed sensors using magnetoresistive (MR) technology. Working together in close cooperation, the two companies have been leading the introduction of automotive products with MR technology in the marketplace.

NXP's high-quality rotational MR sensors can accurately and reliably detect and measure wheel speed. MR sensors offer clear advantages over devices employing other sensing methods: they are very precise and very robust in harsh automotive environments, since they operate with low noise and suffer less from drifts due to age or thermal influences. Due to their high accuracy, NXP's ABS/ESC sensor modules can even be used for certain tire-pressure monitoring functionality. The NXP portfolio also includes high-end sensors, including the first sensor on the market with the new VDA protocol amongst many others. The high-end sensors provide increased performance, advanced fail-safe features and improved signal processing, which enable safety and driver-assistance functions such as ESC, hill-holder systems and parking assistance.

"Continental is at the forefront of enabling new levels of safety and driver assistance, particularly in brake systems and chassis engineering," said Kurt Sievers, senior vice president and general manager, Automotive Business at NXP Semiconductors. "The proven track record of Continental's ABS wheel speed sensors, which feature MR sensor chips from NXP, is a strong testament to the reliability and performance of our speed sensors. They are also a great example of High Performance Mixed Signal technology in action."

Speed sensors from NXP can also be used in other applications such as engines and transmission. More information on NXP MR sensors is available at: http://www.nxp.com/products/sensors/index.html

About NXP Semiconductors
NXP Semiconductors N.V. (NASDAQ: NXPI) provides High Performance Mixed Signal and Standard Product solutions that leverage its leading RF, Analog, Power Management, Interface, Security and Digital Processing expertise. These innovations are used in a wide range of automotive, identification, wireless infrastructure, lighting, industrial, mobile, consumer and computing applications. A global semiconductor company with operations in more than 30 countries, NXP posted revenue of $4.4 billion in 2010. For more information visit www.nxp.com.

About Continental
With annual sales of more than EUR 25.5 billion for 2010, Continental is among the leading automotive suppliers worldwide. As a supplier of brake systems, systems and components for powertrains and chassis, instrumentation, infotainment solutions, vehicle electronics, tires and technical elastomers, Continental contributes to enhanced driving safety and global climate protection. Continental is also a competent partner in networked automobile communication. Continental currently employs approximately 149,000 in 46 countries.

Forward-looking Statements
This document includes forward-looking statements which include statements regarding our business strategy, financial condition, results of operations, and market data, as well as any other statements which are not historical facts. By their nature, forward- looking statements are subject to numerous factors, risks and uncertainties that could cause actual outcomes and results to be materially different from those projected. These factors, risks and uncertainties include the following: market demand and semiconductor industry conditions, our ability to successfully introduce new technologies and products, the demand for the goods into which our products are incorporated, our ability to generate sufficient cash, raise sufficient capital or refinance our debt at or before maturity to meet both our debt service and research and development and capital investment requirements, our ability to accurately estimate demand and match our production capacity accordingly or obtain supplies from third-party producers, our access to production from third-party outsourcing partners, and any events that might affect their business or our relationship with them, our ability to secure adequate and timely supply of equipment and materials from suppliers, our ability to avoid operational problems and product defects and, if such issues were to arise, to rectify them quickly, our ability to form strategic partnerships and joint ventures and successfully cooperate with our alliance partners, our ability to win competitive bid selection processes to develop products for use in our customers' equipment and products, our ability to successfully establish a brand identity, our ability to successfully hire and retain key management and senior product architects; and, our ability to maintain good relationships with our suppliers. In addition, this document contains information concerning the semiconductor industry and our business segments generally, which is forward-looking in nature and is based on a variety of assumptions regarding the ways in which the semiconductor industry, our market segments and product areas will develop. We have based these assumptions on information currently available to us, if any one or more of these assumptions turn out to be incorrect, actual market results may differ from those predicted. While we do not know what impact any such differences may have on our business, if there are such differences, our future results of operations and financial condition, and the market price of the notes, could be materially adversely affected. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak to results only as of the date the statements were made; and, except for any ongoing obligation to disclose material information as required by the United States federal securities laws, we do not have any intention or obligation to publicly update or revise any forward-looking statements after we distribute this document, whether to reflect any future events or circumstances or otherwise. For a discussion of potential risks and uncertainties, please refer to the risk factors listed in our SEC filings. Copies of our filings are available from our Investor Relations department or from the SEC website, www.sec.gov.