By Ed Sperling
The MEMS sector is beginning to look more promising, bolstered by new end-market demand and different packaging options that require more advanced engineering, processes and new materials. All of this points to higher selling prices, which are long overdue in this space.
For years, the market for microelectromechanical systems was populated by too many companies vying for too few opportunities. Some devices became commoditized to the point where costs failed to keep up with selling price reductions. Even in the more specialized and higher-margin fringes of this segment, such as MEMS-based microphones and speakers, market sizes were too small to support more than a handful of smaller companies.