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Note F - Significant Customers
9 Months Ended
Sep. 30, 2016
Notes to Financial Statements  
Significant Customers Disclosure [Text Block]
NOTE f—
SIGNIFICANT
CUSTOMERS
 
The Company sells its products primarily through distributors and directly to original equipment manufacturers (OEMs) and original design manufacturers (ODMs) who incorporate the Company’s products into consumer products. The Company’s future performance will depend, in part, on the continued success of its distributors in marketing and selling its products. The loss of the Company’s distributors and the Company’s inability to obtain satisfactory replacements in a timely manner may harm the Company’s sales and results of operations. In addition, the Company expects that a limited number of customers, varying in identity from period-to-period, will account for a substantial portion of its revenues in any period. The loss of, or reduced demand for products from, any of the Company’s major customers could have a material adverse effect on the Company’s business, financial condition and results of operations.
 
Sales to VTech Holdings Ltd. (“VTech”) represented 26% and 32% of the Company’s total revenues for the three months ended September 30, 2016 and 2015, respectively. Sales to VTech represented 29% and 30% of the Company’s total revenues for the nine months ended September 30, 2016 and 2015, respectively.
 
Sales to Guo Wei Electronics Ltd. (“Guo Wei Electronics”) represented 10% and 11% of the Company’s total revenues for the three months ended September 30, 2016 and 2015, respectively. Sales to Guo Wei Electronics represented 8% and 11% of the Company’s total revenues for the nine months ended September 30, 2016 and 2015, respectively.
 
Sales to Samsung Electronics Co., Ltd (“Samsung”) represented 12% and 0% of the Company’s total revenues for the three months ended September 30, 2016 and 2015, respectively, and 13% and 0% for the nine months ended September 30, 2016 and 2015, respectively.
 
Revenues derived from sales through the Company’s distributor, Ascend Technology Inc., (“Ascend Technology”), accounted for 16% and 13% of the Company’s total revenues for the three months ended September 30, 2016 and 2015, respectively. Revenues derived from sales through Ascend Technology accounted for 16% of the Company’s total revenues for both nine months ended September 30, 2016 and 2015, respectively.
 
Revenues derived from sales through the Company’s distributor, Tomen Electronics Corporation (“Tomen Electronics”), accounted for 14% and 18% of the Company’s total revenues for the three months ended September 30, 2016 and 2015, respectively, and 12% and 17% of the Company’s total revenues for the nine months ended September 30, 2016 and 2015, respectively. Tomen Electronics sells the Company’s products to a limited number of customers. One customer, Panasonic Communications Co., Ltd. (“Panasonic”), has continually accounted for a majority of the sales of Tomen Electronics. Sales to Panasonic through Tomen Electronics generated approximately 12% and 15% of the Company’s total revenues for the three months ended September 30, 2016 and 2015, respectively, and 10% and 14% of the Company’s total revenues for the nine months ended September 30, 2016 and 2015, respectively.