TEXAS INSTRUMENTS Business Summary

Texas Instruments Incorporated (TXN) operates a high-margin semiconductor manufacturing model, generating revenue primarily through the direct sale of analog and embedded processing chips to over 100,000 global customers. The company’s business is structured into three core segments: Analog, which provides essential power management and signal chain solutions; Embedded Processing, featuring microcontrollers and connectivity products; and Other, which includes Digital Light Processing (DLP) and educational technology. As of March 2026, TXN is executing a multi-billion dollar capital expansion into 300-millimeter wafer fabrication to secure a structural cost advantage and has recently announced the strategic acquisition of Silicon Laboratories to bolster its wireless connectivity portfolio. In the global semiconductor market, TXN holds a dominant position in the analog sector, competing directly with Analog Devices, NXP Semiconductors, and Infineon Technologies by leveraging its superior manufacturing scale and a catalog of over 80,000 long-lifecycle products. The company was founded in 1951 by Cecil H. Green, J. Erik Jonsson, Eugene McDermott, and Patrick E. Haggerty, evolving from the 1930-established Geophysical Service Inc. The current leadership is spearheaded by Haviv Ilan, who assumed the dual role of Chairman and CEO in January 2026; Ilan is a 26-year TI veteran with an electrical engineering background from Tel Aviv University and an MBA from the Kellogg School of Management. Key executives include Chief Technology Officer Ahmad Bahai, a recognized authority in signal processing, and CFO Rafael Lizardi, who manages the firm’s disciplined capital allocation strategy. The board is anchored by Lead Independent Director Janet Clark and includes prominent figures such as Robert Sanchez of Ryder System. Notable institutional backing includes major stakes from Vanguard and BlackRock, with significant recent oversight from activist investor Elliott Investment Management regarding the company's long-term free cash flow and manufacturing efficiency targets.