They have not mentioned the 64 bit solution in the above news release. However, It appears that they would present it in the show. From the past info, it appears to be ATM9xxx.
Here is the latest related info:
"We are excited to participate in the 2015 International CES, a global stage featuring the latest innovations in consumer electronics," said Dr. Zhenyu Zhou, CEO of C. "We expect our new and upcoming products to attract a great deal of attention, especially our 64-bit solution for high-end tablets. Offering an advanced mobile experience including 4K Ultra HD video, leading edge 3D gaming and supporting the Android Lollipop operating system, we expect potential customers and business partners to be drawn to its compelling price-to-performance and price-to-power ratios. We also expect our 32-bit solution supporting Android Lollipop for tablets and OTT-set top boxes, the ATM7059, along with our latest Bluetooth 4.0 solutions for boomboxes and headphones to spark strong interest at the event."
It is hard to tell from the SA article how far along they are. Their 9.2% stake in the company does make them the largest shareholder. I am all for them having seats on the board. Management works for the owners of the company. Based on the outcome of the last tender offer there are many more shares that can be tendered for less than cash on hand. Anyone that has not read the article should definitely do so. I will try to post it.
ATM7059 is just so so. It is an ok product but it will not let ACTS win the contest with the other guys. What could make the difference is the next ATM9xxx that they have hinted about a month ago. It was to be released before end of 2014. Will it be released? So far not a peep from the management.
Still true. There is not even a big contract that has been announced to look forward to.
Sentiment: Strong Sell
I assume this is a proposal and not a done deal. Accretive wants to get a much biggler role but their holdings are only 9% so where do they get power to push through their ideas?
I'm not sure all these are good ideas. ACTS is in a market position battle for the top tablet SOC CPU and its competitors have good product. R&D is needed to come up with chips better than the competition. So far they just pulled close to even. Stopping R&D expenses now makes no sense, unless you decide to withdraw from the contest tith Rockchip, Allwinner and others and stop making these chips.
This is from a Seeking Alpha article by Richard Fearon from Wednesday Dec. 3rd.
Actions Semiconductor will include and endorse two director nominees recommended by Accretive Capital Partners.
Authorize another Dutch Auction tender offer for no less than $75 million at prices up to the company’s tangible book value and retire all repurchased shares.
Address the internal control issues resulting from conflicts of interest among certain Board members.
Reduce the disproportionate research and development expenditure.
Sell the company immediately thereafter.
" 64bit ARMv8 ARM Cortex-A50 series processor to be named ATM9xxx" - this would leap over all the competitors. However ATM7059 does not leap at all. Compare this with the A80 from Allwinner and RK3288 from Rockchip and you can see that ATM7059 barely keeps up with these guys.
It appears that Actions do not want to just do a catch-up. They have plans to lead the tablet SoC market:
Actions Semiconductor launches their ATM7059 Quad-core ARM Cortex-A9 with Android 5.0 Lollipop support, at 1.6Ghz on 28nm on UMC’s HLP 28nm process with a PowerVR SGX544 GPU, now showing ATM7059 samples in 10.1″ 1280×800 tablet samples and shipping the platform through mass production in the first month of 2015 with Android 5.0 Lollipop support. Actions then also teases their 64bit ARMv8 ARM Cortex-A50 series processor to be named ATM9xxx and to be released before the end of the year. Actions launches a low-cost sub-$100 ActDuino S200 development board based on the ATM7029B, with the ActDuino S500 to be released next month based on the ATM7059.
I did some research on competition. MediaTek, Rockchip, and Allwiner are bigger and more established players in tablet market. However, with ATM7059 Actions is in good spot to penetrate the market. All these companies currently only have comparable products in Quad Core segment. It appears that Rokchip may have a lead over the rest because of A17 architecture. Advantage with Actions compared to Allwiner is that it can penetrate the market with lower price. This is based on the assumption that the ATM7059 performs well in its class.
All in #$%$ll, it #$%$ppe#$%$rs th#$%$t for ACTS the only g#$%$me is low cost m#$%$ss sc#$%$le production. Th#$%$t is their strength. With this, it is cle#$%$r th#$%$t the Chinese t#$%$bles will set #$%$ new b#$%$se st#$%$nd#$%$rd for the world for low end t#$%$blets. It is #$%$lso cle#$%$r th#$%$t like ATM7029, Action will penetr#$%$te the m#$%$rket with ATM7059.
They should definitely cut down on R#$%$ #$%$nd go slow for the next chip. R#$%$ should be ge#$%$red tow#$%$rds perfecting the products r#$%$ther th#$%$n coming up with new one.
By the w#$%$y, Sp#$%$rk is not #$%$ comp#$%$ny. It is #$%$ t#$%$blet from Ainol, which needs to be improved #$%$ lot.
Spark and Ramos are their partners in ATM7039. Not that bad. With the new ATM7059 who will buy ATM7039? ATM7059 has better power consumption. Still hard to fight with this RK3288 and A80. I do not see how ATM7059 is better than others. The real turn around might come with the new yet unannounced chip. They have to leap over their competitors. It will not be easy. Meanwhile just keep on competing on price and develop relationship with tablet makers.
It has not worked, and the same management team that organized and executed that failed approach continues to steer this ship. I'm in a wait and see mode, looking for a change in strategy or management. Both are currently failures.
Sentiment: Strong Sell
I would really like to see them find a major customer for ATM7059. Otherwise, what happened to ATM7039? Not much at all. If they just focus on producing new chip and not work on marketing them, they will definitely fail.
I do admit that Action Semi believes in market share based on their history. But, to survive in the new era, they need to find a major player. Old philosophy of low cost production may not work.