Philips Semiconductor said customers previously served by its 10-company manufacturers' rep network are now being transitioned and assigned an in-house sales team member.

The supplier said it would add a significant number of technical people, doubling its sales force, to accommodate the shift. The new team is scheduled to be in place during the first quarter of 2004.

Philips Semiconductor has used a manufacturers' rep. network in the United States and Canada for more than 15 years. The latest change will increase the company's emphasis on North America by more than doubling the current direct sales team to improve service to its customers.

The change will have no impact on the company's relationship with its distributors Arrow Electronics, Avnet and Future Electronics, according to Bill Galione, vice president and general manager, Marketing and Sales Americas, at Philips Semiconductors, San Jose.

"This change to the North America sales structure is not a cost-driven decision," Galione said. "It gives us a consistent approach worldwide, better access to customers and customers better access to our capabilities."

The decision isn't being driven by complex products, although only a quarter of its commodity line is classified by the supplier as "MultiMarket Semiconductors," claimed Galione.

"By winning more of the core silicon in more complex designs it enhances our relationship with customers," Galione said. "We don't expect the percentage of the complexity in our products to increase. It has been consistent throughout the past few years."

By: DocMemory
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