Concentrations of Risk

12 Months Ended

Jun. 27, 2021

Risks and Uncertainties [Abstract]

Concentrations of Risk

Concentrations of Risk

Financial instruments, which may subject the Company to a concentration of risk, consist principally of short-term investments, cash equivalents and accounts receivable. Short-term investments consist primarily of municipal bonds, corporate bonds, U.S. agency securities, U.S. treasury securities, commercial paper, certificates of deposit, and variable rate demand notes at interest rates that vary by security. The Company’s cash equivalents consist primarily of money market funds. Certain bank deposits may at times be in excess of the FDIC insurance limits.

The Company sells its products on account to manufacturers, distributors and others worldwide and generally requires no collateral.

For the fiscal year ended June 27, 2021, ST Microelectronics, Inc. (STMicroelectronics), Arrow Electronics, Inc. (Arrow) and Sumitomo Corporation (Sumitomo) represented 18%, 13% and 10% of revenue, respectively. For the fiscal year ended June 28, 2020, STMicroelectronics and Sumitomo represented 19% and 14% of revenue, respectively. For the fiscal year ended June 30, 2019, Arrow, Sumitomo and STMicroelectronics represented 14%, 14% and 11% of revenue, respectively.

No other customers individually accounted for more than 10% of revenue for the fiscal years ended June 27, 2021, June 28, 2020 and June 30, 2019.

STMicroelectronics and Arrow accounted for 16% and 16% of the accounts receivable balance as of June 27, 2021, respectively.

STMicroelectronics and Infineon accounted for 14% and 11% of the accounts receivable balance as of June 28, 2020, respectively.

No other customers accounted for more than 10% of the accounts receivable balance as of June 27, 2021 and June 28, 2020.