Q5 Interview - John Lavery, Steatite

John Lavery, managing director of ruggedised embedded systems specialists Steatite, talks to Electronics Weekly about how the requirements of embedded systems customers have changed over the last few years, the interest of Microsoft and the impact of Windows XP in this area, and what impact Intel's Atom will have in ruggedised systems applications...

1. How would you characterise the market for ruggedised embedded systems in the current climate?

The market for ruggedized systems has grown steadily from the traditional military requirement to areas of industry that require products which need to survive harsh environments and perform to the very latest capabilities using wireless technology. This has resulted in equipment and hardware evolving from laptops to tablets, servers and PDAs.

We have seen recent growth in all of the bespoke rugged systems we produce for specific customer applications in market sectors from the military through to the retail sector. It is important that we try to develop the market rather than follow standard formats, as engineering specialisation is key to our growth plans.

2. How have the requirements of your embedded systems customers changed over the last few years?

Requirements for embedded systems are continuing to develop and the market is going through a major transformation both in terms of design and functionality. The demand for devices to communicate with each other via the internet has helped increase market applications and has created awareness from software companies. The continuing need for hardware to perform faster in both operation mode and start up means that embedded structures support these requirements, whilst enabling advanced filters offer greater security and reduced power consumption in key areas. We are seeing applications from the gaming to utilities markets and even in automotive where systems are being developed using our embedded knowledge.

3. Microsoft seems more interested in the embedded market than ever before, what impact is Windows XP having in the industrial embedded systems market?

Microsoft has been quick to see the opportunities that windows XP Embedded offers the market, hence the interest that they have in specific customer applications. Using companies like Steatite, Microsoft can develop product knowing exactly what the end customer wants rather than just shifting boxed product. Steatite has moved from a Microsoft Silver partner to Gold status in a period of just 12 months, this is due to the many applications we have been able to successfully develop using Microsoft Windows Embedded. As the X86 embedded market grows, with applications from home entertainment right up to secure military systems, we have been quick to respond with delivered systems that meet customer requirements.

4. Intel is also looking more closely at the embedded market. What impact do you see Atom having in ruggedised systems applications?

The continuing development of processing capabilities such as Atom has meant equipment evolving to lower power and fanless solutions helping the embedded market to capitalize on the need for systems that operate as efficiently as possible and stripping out operating functions not required and that slow performance. This has also assisted us in designing systems that have longer battery life - a key driver in portable rugged systems applications such as utilities, local government and logistic.

Recent design wins for us have seen the development of mobile ruggedized solutions that can operate for shifts of up to ten hours. This kind of performance is due to X86 technology such as the Atom CPU and Windows Embedded being continually developed & enhanced.

5. What are the biggest business challenges for a UK-based electronics firm at present?

The greatest challenge we face in such an uncertain International climate is to remain focussed and competitive in our chosen markets.

The UK has faced many challenges during my 32 years within the electronics industry with downturns and offshore relocations causing a reduction in our manufacturing base. But it is important to remember that we still have a highly skilled engineering base here in the UK. If businesses can manage overheads whilst training their workforces and continue to develop products focused on market requirements then there is a bright future. Our growth of more than 20% last year supports this idea. Many markets such as Military, Aerospace, utilities and industrial infrastructures are still growing. Companies that explore these markets will come through this downturn stronger and more competitive ready to seize the opportunities that will present themselves.

See also: Q5 - Interviews with electronics industry leaders
Read all the Electronics Weekly Q5 interviews. From ARM's chairman, Sir Robin Saxby, to touchscreen technology firm Zytronic's MD, Mark Cambridge, the business leaders share their particular insights on the UK electronics industry.