Why Analog Devices components are sooo expensive?

[v1.5]

Why Analog Devices components are so expensive? especially compared to TI, ONS and others?

 

[crutschow]

Many of the devices they build have unique functions and/or have offer high performance, and industry is willing to pay the higher price if they need that in their products.

 

[gophert]

Ask yourself these questions....
A) if you are ok using the cheap ones, why do you care if Analog Devices products are more expensive?
B) if you really need the uniqueness, accuracy, performance, of the Analog Devcies parts, why don't the other companies offer a lower priced alternative?
C) if you could make something your customers want and your competitors cannot copy, wouldn't you want the best possible price for the preferred part? What is that called? Oh yeah, capitalism and Free Markets.

Do you also expect to get a BMW for the price of a Skoda?

 

[schmitt trigger]

simple analogy;
Analog Devices is the Ferrari of mixed signal ICs.

 

[gophert]

simple analogy;
Analog Devices is the Ferrari of mixed signal ICs.

I can't figure out why AD is buying Maxim.

 

[schmitt trigger]

My personal opinion: To acquire it before Texas Instruments does.

The industry is rapidly consolidating, and in this instance size does matter.

Also my opinion: OnSemi is the next to be gobbled up.

 

[gophert]

My personal opinion: To acquire it before Texas Instruments does.

Good luck, that was a mentality of the polymers industry in the late 90's. Look who is left standing - the companies that didn't acquire the top prospects.

The acquisitions to get them "before someone else does" means you pay top dollar and that tends to bankrupt the buyers.

The companies left standing are the ones who knew they could get the hot prospect and the corresponding acquiring company for pennies on the dollar to lift them out of bankruptcy.

 

[Ian Rogers]

Ask yourself these questions....
A) if you are ok using the cheap ones, why do you care if Analog Devices products are more expensive?
B) if you really need the uniqueness, accuracy, performance, of the Analog Devcies parts, why don't the other companies offer a lower priced alternative?
C) if you could make something your customers want and your competitors cannot copy, wouldn't you want the best possible price for the preferred part? What is that called? Oh yeah, capitalism and Free Markets.

Do you also expect to get a BMW for the price of a Skoda?

LOL... There is a shop up the road that sells TV's... Very expensive..... I don't go in....

I agree... ON semiconductors have never let me down so I buy them..

 

[gophert]

Devices mad with cheap components are so inexpensive, I'd rather buy the device than build one. On the other hand, high-end devices are super expensive because they have a few $10 to $25 Analog devices chips in them. So I'd knock one of those out myself.

 

[AnalogKid]

Why Analog Devices components are so expensive?

ak

 

[unclejed613]

i've been working with the ADALM-PLUTO SDR transceiver for a project i'm working on. the PLUTO costs $150.00US. the radio chip in it costs about $300.00US... i'd be better off buying quantities of PLUTO radios and just adding the rest of the hardware i need...

 

[ArthurSHamann123]

The industry is rapidly consolidating, and in this instance size does matter**broken link removed**

 

[Nigel Goodwin]

i've been working with the ADALM-PLUTO SDR transceiver for a project i'm working on. the PLUTO costs $150.00US. the radio chip in it costs about $300.00US... i'd be better off buying quantities of PLUTO radios and just adding the rest of the hardware i need...

That applies to masses of electronics - it's pretty universal that you can buy finished products for a fraction of the parts cost.