Concentration of Risk

12 Months Ended

Jan. 28, 2024

The following significant customers accounted for at least 10% of the Company's net sales in one or more of the periods indicated:


	Fiscal Year Ended
(percentage of net sales) (1)	January 28, 2024		January 29, 2023		January 30, 2022
Trend-tek Technology Ltd. (and affiliates)	*		16	%	17	%
Frontek Technology Corporation (and affiliates)	10	%	13	%	18	%

CEAC International Ltd. (and affiliates)	*		11	%	11	%
Arrow Electronics (and affiliates)	*		*		10	%

(1) In each period with an asterisk, the customer represented less than 10% of the Company's net sales.

The following table shows the customers that have an outstanding receivable balance that represents at least 10% of the Company's total net receivables as of one or more of the dates indicated:


(percentage of net receivables) (1)	January 28, 2024	January 29, 2023


Frontek Technology Corporation (and affiliates)	15%	*

(1) In each period with an asterisk, the customer represented less than 10% of the Company's net receivables.

For fiscal years 2024, 2023 and 2022, authorized distributors accounted for approximately 66%, 85% and 87%, respectively, of the Company’s net sales. The lower percentage of distributor sales in fiscal year 2024 primarily relates to sales channels associated with the Sierra Wireless business, which we acquired in January 2023. Generally, the Company does not have long-term contracts with its distributors and most can terminate their agreement with little or no notice. For fiscal year 2024, the Company's largest distributors were based in Asia.

Outside Subcontractors and Suppliers

The Company relies on a limited number of third-party subcontractors and suppliers for the supply of silicon wafers, chipsets and other electronic components, and for product manufacturing, packaging, testing and certain other tasks. Disruption or termination of supply sources or subcontractors have delayed and could in the future delay shipments and could have a material adverse effect on the Company. Although there are generally alternate sources for these materials and services, qualification of the alternate sources could cause delays sufficient to have a material adverse effect on the Company. A significant amount of the Company’s third-party subcontractors and suppliers, including third-party foundries that supply silicon wafers, are located in the U.S., China and Taiwan. A significant amount of the Company’s assembly and test operations are conducted by third-party contractors in China, Malaysia, Mexico, Taiwan and Vietnam.