OmniVision Technologies is the largest producer of CMOS image sensors. Product and process design is carried out in the United States. Fabrication occurs in Taiwan by TSMC while various subsidiaries and joint ventures in Asia fulfill other assembly and related services.
OmniVision is the only major image sensor producer dedicated solely to image sensor and related production.
OmniVision has the widest selection of products, is present in the most amount of markets, is frequently the first to market with the latest technology, and is the largest volume producer at the lowest cost.
The company's technologies are integrated, single-chip CMOS image sensors and CIS cameras for consumer and commercial applications including mobile phones, notebooks, netbooks, webcams, security, cameras, automobiles & trucking, medicine, and entertainment devices.
While, typical of any technology subsector, the list of failed CIS companies is large, there are still a few companies will to compete with OmniVision:
Nevertheless, as the market matures, even OmniVision's largest competitor claims in response to being questioned about OmniVision and TSMC that "if the competition in imaging devices were strictly based on volume and cost, our approach wouldn't succeed. We don't have the large-scale fabs that [OmniVision and TSMC] do, and we won't build them."
While not as fast as pure semiconductors, the average selling price does still decline at a high rate, causing rapid obsolescence of cameras.
Most patents are used by all industry players, thus this portion of the business quickly becomes commoditized, presenting a first-to-market opportunity.
Average Selling Prices are currently $1.42.
Generally, prices are determined by semiconductor wafer size, so the higher the megapixels per sensor, the higher the price.
While OmniVision services every camera market,
OmniVision currently has the largest share of CMOS image sensor market share and for many years and now the highest growth in that market.
OmniVisions employs few main strategies to maintain its' edge over the competition.
OmniVision frequently is first to deliver cutting edge technologies.
OmniVision routinely invests in technologies with the costliest required R&D.
OmniVision is the lowest cost producer due mainly to its' partnership with TSMC and unhighlighted periodic investments over the years in various steps in the production process at attractive prices and productivity such as
OmniVision has a very close relationship with TSMC.
Possibly all front-facing cameras are supplied by OmniVision.
As a result of OmniVision's industry and business model, OmniVision's income, while continually generally rising, has been extremely volatile since its' IPO.
Most analysts have historically kept a short-term focus upon OmniVision's business, predicting the company's imminent collapse or cheap hostile takeover many times since the IPO such as Zacks who frequently give OmniVision high marks when the price is high and low marks when the price is low. Some have managed to keep a balanced view, acknowledging the inherent chaos of the industry and consistent success of the company such as JP Morgan.
Most analysts' price predictions correlate more with current price conditions rather than future realizations such as Wedbush who consistently tracks its' price prediction with the current one offered in the market.
Most analysts have a history of providing mediocre business and industry data while almost completely failing in business and industry prediction. For example, it has been predicted at each large stock price drop that OmniVision has been driven out of the business and/or will be acquired cheaply all while the company was actually gaining share and returning to growth in income.