Srinivasan Pajjuri

Srinivasan Pajjuri asked about supply constraints on Lattice's side and potential component shortages like memory impacting the business. He also inquired about the criteria for larger M&A and the changing regulatory environment, particularly concerning China.

Answer

Ford Tamer (CEO, Lattice Semiconductor) reiterated proactive ordering of materials and communication with customers regarding increasing lead times, noting tightness in substrate and assembly. He stated that customers assure Lattice that their memory supply agreements comprehend the demand forecast. On M&A, he reiterated the completion of four small IP/software tuck-ins and a patient approach to larger M&A, requiring alignment on strategic fit, accretion, business model, team synergy, product roadmap, and regulatory factors, noting the strong organic business reduces urgency.

Srinivasan Pajjuri inquired about potential supply constraints, both on Lattice's side and for other components like memory, and their impact on the business. He also asked about the criteria for larger M&A, given Ford's expressed openness, and the current regulatory environment, particularly concerning approvals from China.

Answer

CEO Ford Tamer reiterated that Lattice has been proactively ordering materials due to consistently increasing lead times, with substrate and assembly being particularly tight. He noted that customers assure their memory supply is locked in. Regarding M&A, he mentioned several small, unannounced IP/software tuck-ins completed, but for larger deals, factors like strategic fit, accretion, business model, team alignment, and synergies must align, with regulatory approval being an additional consideration. He emphasized that the strong organic business means they are not in a hurry.