Amphenol Profile
Amphenol Corporation (Amphenol) operates as a designer, manufacturer, and marketer of electrical, electronic and fiber optic connectors and interconnect systems, antennas, sensors and sensor-based products and coaxial and high-speed specialty cable worldwide.
Segments
The company aligns its businesses into three reportable business segments: Harsh Environment Solutions, Communications Solutions, and Interconnect and Sensor Systems.
Harsh Environment Solutions – The Harsh Environment Solutions segment designs, manufactures, and markets a broad range of ruggedized interconnect products, including connectors and interconnect systems, printed circuits, and printed circuit assemblies and other products.
Communications Solutions – The Communications Solutions segment designs, manufactures, and markets a broad range of connector and interconnect systems, including high speed, radio frequency, power, fiber optic and other products, together with antennas.
Interconnect and Sensor Systems – The Interconnect and Sensor Systems segment designs, manufactures, and markets a broad range of sensors, sensor-based systems, connectors, and value-add interconnect systems.
Strategy
The company’s overall strategy is to provide the company’s customers with comprehensive design capabilities, a broad selection of products and a high level of quality and service on a worldwide basis, while maintaining continuing programs of productivity improvement. Specifically, the company’s business strategies are to pursue broad market diversification; develop high-technology performance-enhancing solutions; expand global presence; pursue strategic acquisitions and investments; and foster collaborative, entrepreneurial management.
Markets
The company sells products to customers in a diversified set of end markets.
Automotive - Amphenol is a leading supplier of advanced interconnect systems, sensors and antennas for a growing array of automotive applications. In addition, Amphenol has developed advanced technology solutions for hybrid and electric vehicles, and is working with leading global customers to proliferate these advanced interconnect products into next-generation automobiles. Sales into the automotive market represented approximately 23% of the company’s net sales in 2023, with sales into the following primary end applications: antennas, lighting, charging stations, passenger connectivity, climate control, power management, electric vehicles, safety and security systems, engine management and control, sensing systems, exhaust monitoring and cleaning, telematics systems, hybrid vehicles, transmission systems, and infotainment and communications.
Broadband Communications - Amphenol is a world leader in broadband communication products for cable, satellite and telecommunications-based video and data networks, with industry-leading engineering, design and manufacturing expertise. The company offers a wide range of products to service the broadband market, including customer premises and distribution cable, connectors and value-add interconnect products, passive components, active and passive fiber optic interconnect components, interconnect enclosures, as well as interconnect products integrated into headend equipment. Sales into the broadband communications market represented approximately 4% of the company’s net sales in 2023, with sales into the following primary end applications: cable, satellite & telecommunications networks; network switching equipment; customer premises equipment; satellite interface devices; high-speed internet hardware; and set-top boxes.
Commercial Aerospace - Amphenol is a leading provider of high-performance interconnect systems and components to the commercial aerospace market. In addition to connector and interconnect assembly products, the company provides rigid and flexible printed circuits, high-technology cable management products as well as sensors. The company’s products are specifically designed to operate in the harsh environments of commercial aerospace, while also providing substantial weight reduction, simplified installation and/or minimal maintenance. Sales into the commercial aerospace market represented approximately 4% of the company’s net sales in 2023, with sales into the following primary end applications: aircraft and airframe power distribution; in-flight entertainment; avionics; in-flight internet connectivity; controls and instrumentation; lighting and control systems; engines; and wire bundling and cable management.
Defense - Amphenol is a world leader in the design, manufacture and supply of high-performance interconnect systems for harsh environment aerospace and defense applications. Such products require superior performance and reliability under conditions of stress and in hostile environments such as vibration, pressure, humidity, radiation and rapid and severe temperature changes. Amphenol provides an unparalleled product breadth, from aerospace and defense specification connectors to customized high-speed board level interconnects; from flexible to rigid printed circuit boards; from backplane systems to completely integrated assemblies; and from sensors to sensor-based systems. Amphenol is a technology leader, participating in major programs from the earliest inception across each phase of the production cycle. Sales into the defense market represented approximately 11% of the company’s net sales in 2023, with sales into the following primary end applications: airframe, naval, avionics, ordnance and missile systems, communications, radar systems, engines, rotorcraft, ground vehicles and tanks, satellite and space programs, homeland security, and unmanned aerial vehicles.
Industrial - Amphenol is a technology leader in the design, manufacture and supply of high-performance interconnect systems, sensors and antennas for a broad range of industrial applications. Amphenol’s core competencies include application-specific industrial interconnect solutions utilizing integrated assemblies, including with both cable and flexible printed circuits, as well as high-power interconnects requiring advanced engineering and system integration. In particular, the company’s solutions facilitate the increasing demands of embedded computing, power distribution and electrification within industrial applications. Sales into the industrial market represented approximately 25% of the company’s net sales in 2023, with sales into the following primary end applications: agriculture equipment, marine, alternative and traditional energy generation, medical equipment, batteries and hybrid drive systems, oil and gas, entertainment, power distribution, factory and machine tool automation, public safety, heavy equipment, rail mass transit, instrumentation, semiconductor manufacturing equipment, internet of things, smart manufacturing, LED lighting, and transportation.
Information Technology and Data Communications - Amphenol is a global provider of interconnect solutions to designers, manufacturers and operators of internet-enabling systems. With the company’s industry-leading high-speed, power and active and passive fiber optic interconnect technologies, together with superior simulation and testing capability and cost effectiveness, Amphenol is a market leader in interconnect development for the information technology and data communications (‘IT datacom’) market. The company’s products enable a broad array of IT datacom systems and applications, including a growing range of systems to power artificial intelligence and machine learning. Whether industry standard or application-specific designs are required, Amphenol provides customers with products that enable performance at the leading edge of next-generation, high-speed, power and fiber optic technologies. Sales into the IT datacom market represented approximately 19% of the company’s net sales in 2023, with sales into the following primary end applications: cloud computing and data centers, servers, gaming systems, storage systems, internet appliances, transmission, networking equipment, and web service providers.
Mobile Devices - Amphenol designs and manufactures an extensive range of interconnect products, antennas and electromechanical components found in a wide array of mobile computing devices. Amphenol’s capability for high-volume production of these technically demanding, miniaturized products, combined with the company’s speed of new product introduction, are critical drivers of the company’s long-term success in this market. Sales into the mobile devices market represented approximately 10% of the company’s net sales in 2023, with sales into the following primary end applications: consumer electronics; production-related products; mobile and smart phones, including accessories; wearable and hearable devices; and mobile computing devices, including laptops, tablets and e-readers.
Mobile Networks - Amphenol is a leading global interconnect solutions provider to the mobile networks market and offers a wide product portfolio, including antennas, connectors and interconnect systems. The company’s products are used in current and next generation wireless communications standards, including in 5G networks. In addition, the company works with service providers around the world to offer an array of antennas and installation-related site solution interconnect products. Sales into the mobile networks market represented approximately 4% of the company’s net sales in 2023, with sales into the following primary end applications: antenna systems, mobile switches, base stations, radio links, core network controllers, small cells, and distributed antenna systems (DAS).
Customers and Geographies
The company manufactures and sells a broad portfolio of products on a global basis to customers in a wide variety of industries. The company’s customers include many of the leaders in their respective industries.
The company’s products are sold to thousands of original equipment manufacturers (or OEMs) in numerous countries throughout the world. The company’s products are also sold to electronic manufacturing services (EMS) companies, to original design manufacturers (or ODMs) and to service providers, including telecommunications network service providers and web service providers.
The company sells its products through its own global sales force, independent representatives and a global network of electronics distributors. The company’s sales to distributors represented approximately 17% of the company’s net sales in 2023. In addition to product design teams and collaborative initiatives with customers, the company uses key account managers to manage certain customer relationships on a global basis so that it can bring to bear its total resources to meet the worldwide needs of its multinational customers.
Manufacturing
The company is a global manufacturer employing advanced manufacturing processes, including molding, stamping, plating, turning, computer numerical control (CNC) machining, 3D printing, extruding, die casting, certain other manufacturing, automation and assembly operations and proprietary process technology for connectors, specialty and coaxial cable production, antenna and sensor fabrication.
The company designs, manufactures, and assembles its products at facilities in approximately 40 countries around the world.
Seasonality
A significant portion of the company’s business, such as sales to the communications-related markets (including wireless communications, information technology and data communications and broadband communications) and sales to distributors, generally have short lead times. Historically, the strongest quarters have typically been the last two quarters of the company’s fiscal year (year ended December 2023).
Research and Development
The company’s research and development expenses for the creation of new and improved products and processes were $342.2 for the year ended December 31, 2023.
History
Amphenol Corporation was founded in 1932. The company was incorporated under the laws of the state of Delaware in 1986.
