Boston, MA, 03/06/2014 – Pixelworks, Inc. (NASDAQ:PXLW) has made a surprise revelation in its latest mandatory filing with Securities Exchange Commission (SEC). The company for the first time publicly stated that it is having business relationship with Apple Inc (NASDAQ:AAPL) – you know the iPhone maker that imposes something like a ban on suppliers about discussing their dealings with it, unless where law makes it mandatory.
While the SEC filing that mentions Apple Inc as one of Pixelworks, Inc. (NASDAQ:PXLW)’s top revenue sources is being laid open for the public for the first time, it does confirm speculations that have long associated the two companies as being in business contact.
In fact, the case of Pixelworks, Inc. (NASDAQ:PXLW) and Apple Inc (NASDAQ:AAPL) is similar to the earlier closely guarded deal between Google Inc (NASDAQ:GOOG) and Himax Technologies, Inc. (ADR) (NASDAQ:HIMX) for the supply of display components in Google Glass.
Pixelworks, Inc. (NASDAQ:PXLW) is a maker of displaying processing components. The company provides software and semiconductors for pixel processing solutions. This technology enables manufacturers of devices such as smartphone, tablets, laptops and portable notebooks among other devices, to achieve high level video quality regardless of the format or source of content.
Shares of Pixelworks, Inc. (NASDAQ:PXLW) are up almost 50 percent to $7.40, and a new 12-month stock price high level had already been written in the early morning trading. The stock is clearly powered by the reports that Apple Inc (NASDAQ:AAPL) which is planning new product launches is a high ranking customer for the video display maker.
What does AAPL get from PXLW?
It is not exactly known the kind of items that Apple Inc (NASDAQ:AAPL) is getting from Pixelworks, Inc. (NASDAQ:PXLW). Yet it is known that the company makes pixels processing components and software, the kind that befit Apple Inc’s Retina displays. It could also be that Pixelworks, Inc. (NASDAQ:PXLW) is cranking out component for the much-talked-about Apple Inc devices like iWatch.
There is no doubt that Samsung has shut Apple Inc (NASDAQ:AAPL) out of the television market. But Apple Inc would be more than willing to keep a tight lid on its next big move that could offset the benefits that it is losing in the television market.
Regardless of what Apple Inc (NASDAQ:AAPL) is getting from Pixelworks, Inc. (NASDAQ:PXLW), what is now known is that the iPhone maker accounted for about 10 percent of the revenue realized by Pixelworks last year. And looking at the plans that Apple is having, investors are convinced that better things are still ahead of the video processing maker – Pixelworks, Inc. (NASDAQ:PXLW).