SiTime (SITM) 2026 Evercore Global TMT Conference summary

AI and data center growth

• AI and data center applications represent the vast majority of the Communications, Enterprise, and Data Center (CED) segment, which accounts for 50%-60% of annual revenue and is growing faster than other categories.

• Eight consecutive quarters of triple-digit growth have been observed in applications like transceivers, optical cables, compute, switching, and NICs.

• Strong shipment expectations for oscillators at 400 Gb, 800 Gb, and leading in 1.6 Tb, with 1.6 Tb ramping in 2026.

• Pricing for higher-speed solutions increases by 20%-40% per generation, driven by higher performance and bandwidth requirements.

• Physical AI and robotics are emerging opportunities, with precision timing needed for sensors, actuators, and synchronization in autonomous and manufacturing applications.

Supply chain and risk management

• Maintains strong relationships with wafer suppliers and OSATs, including TSMC and Bosch, to ensure supply and forecast alignment.

• Uses longer-term purchase orders and may share CapEx with suppliers to secure capacity, especially for back-end processes.

• Operates at 55 nm and 180 nm geometries, allowing for more flexible inventory management and resilience to supply chain disruptions.

• Keeps healthy wafer inventory to meet customer demands and maintain consistent lead times, sometimes even shortening them as needed.

Market opportunities and diversification

• Aerospace and defense, especially low Earth orbit satellites, present significant opportunities, with up to $2,000 of timing content per satellite and thousands of satellites expected to launch in the coming years.

• Defense applications benefit from products like Epoch OCXO, which provide holdover capabilities for GPS-denied environments.

• Consumer market growth is driven by design wins with large customers transitioning to internal technology, leading to increased content and share gains.