Which product area is the greatest contributor to revenue?
Right now it is ADS, a very large installed base, a very flexible tool for use in chips, boards, and system level. It has a long history and lots of customers are trained on it. It has an infrastructure built around it. It is really our flagship product.
In terms of future direction, is there anything beyond simply more of the same?
It is really focused on the areas we are in right now. The opportunities to solve those problems are really, really strong. We are keeping focused on that.
Is the sales model direct, indirect or a mixture?
It is almost all direct. That goes back to the Eagleware acquisition. ADS and other products are generally sold to large companies. It is very technical. We have a very technical based sales force. Technical people in the field outnumber the sales people by a fair margin. But with the Eagleware product lines, we are starting to build a more manufacturers rep type sales channel. It is good timing too because Agilent Instrumentation is moving into the handheld or lower cost, basic instruments. That organization is also building an indirect channel. So we are leveraging and combining forces. That allows us to pick the top distributors around the world to carry these lower cost products into broader markets. It is really good timing and synergy with the rest of the test and measurement portfolio.
Are there any differences on a geographic basis?
Each geography has some challenges. The US has a wide range of very small startups to very large corporation. In Asia there is a real challenge of just geography; companies are spread very far around. We will tend to use more manufacturing reps in that area. Then there are some emerging areas like Eastern Europe countries where they are just building up there electronic infrastructures. We will use reps in those areas like Latin America. But in the major centers we put our direct sales folks. In places like China we are very strong, previously being inside HP. HP was one of the first companies inside China. We have a strong infrastructure in that part of the world.
Do you see the Chinese moving into the high frequency area at the same rate as the US and Europe?
I think they are moving a lot faster. When you go to China there is a real energy there. There are a number of companies that have been very, very successful there quickly. They will grow to multibillion dollar size companies within 10 to 15 years. There are a lot of people who worked for large companies in the US or Europe that went back home to China and are now running these R&D departments or even companies. They know what to do and how to do it. There is a lot of cooperation with the local governments. There are a lot of very smart people and they are going for it. Their own phones, routers, It is an exciting place to be. There is a lot of investment going in there. A lot of success. It is very interesting. We have tripled our sales force in China in the last three years.
Anything you would like to add? Anything we missed?
We covered a bunch.
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